Anybody who has followed OWCP since the initial buzz back in late September and early October knows they’ve had several BIG runs, followed by nearly as many big retraces/consolidation periods. It’s been normal and quite frankly, expected. Many will tell you it’s quite common and healthy from a technical data perspective. Take a look at AXIM’s 3-month run from late October 2016 until late January 2017:
Lots of the same, right? Run up, walk back. Run up, walk back. As of writing this, they’re trading under $8.60 (with a Market Cap of $449 Million) after hitting $19.80 in mid-January.
OWCP has more in it’s near-future pipeline than AXIM. An article written by SECfilings.com talks about AXIM’s closest-to-market product as just entering a trial for efficacy — a product they don’t expect to have ready until 2018/2019.
AXIM is still reporting less than $15,000 in quarterly revenue.
So, why has AXIM been able to run from $0.395 to $19.80 in 3 months when their closest-to-market product won’t be ready for another year or two and they’re still barely considered “post revenue” (with a $3.2 million loss on their last quarterly)? Part of it is their future potential, I suppose. The other part, though, might be their frequent PRs? PRs build hype and hype builds unsustainable runs. I’m sure AXIM will return back to the $20/share area in time because they’re definitely showing a lot of promising signs of real, future growth. In fact, if they keep it up, they should easily be a multi-billion dollar company by 2019/2020.
OWCP’s Upcoming, Predictable Run
As most of you know, OWCP has several products in their pipeline. We were updated on February 25th about the IRB Approval from Israel’s Helsinki Committee, which allowed them to proceed with the final Efficacy/Safety Study — which is expected to be completed by March 2017, according to Page 14 of OWCP’s Investor Presentation PDF. So, again, OWCP is about to release the completion details of their Efficacy Test Results within the month of March — the same type of testing that AXIM was just getting started on during their big run.
If you look at Page 15 of that previously mentioned PDF, you’ll see the Roadmap. It would appear as though the Psoriasis Cream formulas may be tweaked to treat other skin conditions such as: Acne, Basal Cell Carcinoma, Atopic Dermatitis, and more. What a coincidence then that OWCP added a 15+ year dermatologist to their Advisory Board.
That same Roadmap page points to their Sublingual Soluble Tablet delivery system as being used for PTSD, Fibromyalgia, and Pain (Migraine).
Despite what any “basher” will tell you about the stock price collapsing (which, obviously they do to scare you into selling so they can buy low and sell on the next run) — you should easily be able to connect the dots here and determine for yourself what’s coming.
This is just the near-future stuff you could expect in the next 1 or 2 months, most likely. (OWCP hasn’t given a precise date or month to expect official product launch, but various 8K’s, presentations, etc. suggest early on in Quarter 2.)
Decide for yourself if you should hold through the consolidation. Obviously there are good opportunities to flip, sure, it’s just whether or not you have the time to watch the stock daily to make those decisions on executing Buy and Sell orders — and hope they don’t drop another 8K to initiate the next Bull Run.
Disclosure that should be obvious: I’m simply making comparisons of OWCP with AXIM (and in other blogs to GWPH). There’s no way someone can ever assure you the same type of run will happen, but similar industry companies with similar characteristics often see similar stock performance. But, at the end of the day, anything can happen depending on who is buying and who is selling. So, again, decide for yourself if you feel there’s more Reward than Risk.