We kicked off the 'Winter 2015' season last Wednesday with a NASDAQ-listed alert.
The company traded as high as $0.4199 for a +7.42% gain on extremely heavy volume, before eventually closing the session at $0.3909 per share for a -2.10% loss.
For our next pick, we will be focusing on a Micro-Float, Half-Cent Marijuana Alert with incredible upside potential.
AMFE is a Toronto, Canada based technology company that provides custom engineering and integration of ozone based technology for the food and beverage industry, as well as the medical marijuana industry.
Simply put, ozone technology is a Food and Drug Administration (FDA), National Sanitation Foundation (NSF), Canadian Food Inspection Agency (CFIA), and U.S. Department of Agriculture approved use of a gas that is composed of three oxygen atoms that becomes an extraordinary antimicrobial and sanitizing agent for food-borne pathogens, direct product application, water purification, and equipment cleaning and sanitizing.
In 2004, AMFE developed a new technology, known as the mPact Cleaning Antimicrobial System, for food manufacturing plants that used ozone technology as an antimicrobial agent and replaced the need for traditional sanitizers and chemicals.
Since then, AMFE’s oxygen based technology has been integrated into the food and beverage industry and utilized by well-known companies such as Nestle, Pepsi, Sun Pacific, Sysco, and many others.
With the use of ozone, the food industry can improve the safety and reduce liability of prepared foods, increase product shelf life, eliminate residual chemical byproducts on food surfaces, improve product taste, and eliminate up to 100% of all a sanitization, degreasers, and foaming agents needed as the technology is FDA approved for direct contact for raw, ready-to-eat meat and poultry, fish, commercial eggs, and fruit and vegetables.
Using the mPact Cleaning Antimicrobial System as the core, AMFE revamped the technology and developed a new environmentally friendly, patent pending system that can extend the application from the food and beverage industry into the medical marijuana market.
The GROzone is a triple-function sanitization unit that is capable of naturally eliminating 99.9% of airborne pathogens, common cultivation pests (such as spider mites, whiteflies, and aphids), microbe, mold, fungus, and bacteria.
Additionally, the unit is also capable of constantly regulating a facility’s water supply by oxygenating the water with a consistent infusion of ozone to prevent algae, mold, or bacteria formation and allow for water recycling and will assist in maintaining the ideal room temperature needed thus reducing the need for fans, High-Efficiency Particulate Air (HEPA) filters, and ventilation systems.
Currently, AMFE has integrated its technology into “Today’s Healthcare”, a medical marijuana dispensary in Colorado Springs; for beta testing that has generated favorable results in its four grow cycles.
As a result, the company has numerous appointments with other licensed producers in Denver and Colorado Springs Area who have received lawsuits from pesticide issues. This coincides with the Booming Cannabis Industry’s need for quality control for the increasing legalization of marijuana.
Recent Developments:
AMFE announced on July 20, 2015 that it was Featured in the Marijuana Index, the leading equity tracking index that monitors the performance and news of cannabis stocks.
The Marijuana Index is the leading equity tracking index featuring public companies involved in the legalized marijuana and hemp sector. The Marijuana Index provides the most robust data set in the legal marijuana industry with a perpetually expanding assemblage of information available to brokers, analysts, investors, and media.
"To my knowledge, we are the first company on the index to be an insurance policy, so to speak," said Ambrose Fillis, President of the Grozone Project, "to ensure grow facilities that their product does not succumb to product recalls or failure due to bacteria, pests, and mold growth, which is common in these medical marijuana grow facilities."
The provisional application allows the company to establish and "lock in" an early effective filing date for any one or more continuing patent applications or modifications made in the future and later claim the priority date of this provisional application.
The PCT submission was assigned patent pending number PCT/US15/40303 by the USPTO.
AMFE announced on October 20, 2015 that its product line is ready to meet the demands for the near-future cannabis legalization of Canada.
Mr. Ambrose Fillis, President of The GroZone Project, will be returning to Colorado next week following THC's recent purchase of additional parts and miscellaneous equipment needed to pipe in the GroZone 60 system throughout the rest of the Today's Health Care facility. This will fully integrate the aqueous aspect of the system throughout the rest of the segregated grow rooms. The full automation and integration of the gaseous aspect will be a topic of discussion throughout the visit as it is a more costly component and needs some minor site planning and preparation on behalf of both parties to execute. AMFE anticipates rolling out this addition to their existing operations in the near future.
While in Colorado, Mr. Fillis has a line-up of appointments with licensed producers in the Denver and Colorado Springs area including companies that have recently been highlighted in the media with pesticide issues which have led to lawsuits filed against their companies. AMFE is confident that had these facilities been utilizing the GroZone system these problems would have been avoided and while damage has been done to these specific companies reputations, it is not too late to create the peace of mind now to ensure this problem never arises again and set a new standard over and above their competitors moving forward.
During Mr. Fillis's trip to Colorado, samples of product will be taken from a control room and compared to samples of product grown in the GroZone 60 room and will be sent to one of the most reputable third party lab testing service providers in the state. This information will be posted in a future press release once the company receives the results which it expects to be favorable. While visual and in-house testing has been performed to date with positive results the company wants the third party lab results to confirm the "no-brainer" decision any potential customer should instantly make when considering integrating a GroZone system into their facility. The company is hoping to see, among other things, increased yields and increased potency on either the THC or CBD level dependent on the strain as well as most obviously a zero content of residual bacteria's, mold, mildew's etc. associated with production of this particular crop. The facility itself gauge's the reduced water consumption, increased overall health and well-being of the plants, the extended life of the nutrient mixes and the elimination of the need for pesticides as 99.9% of all pathogens both airborne and in the water supply are prevented and/or destroyed.
From Ontario to the West Coast it has been AMFE's mission over the past few months to develop relationships from seed to sale and showcase the product line to various companies throughout Canada. While the initial focus was on Colorado and the company is still very much active in pursuing the Colorado market, we have also now been recently focusing on Canada. With operations and manufacturing occurring North of the border, the company wanted to position itself for rapid expansion of all sizes of the GroZone product line to the companies that are closest to the infrastructure. Having laid the foundation with a number of companies and the increase in sales the Canadian market should experience in the near future with the apparent coming legalization, the company feels that it is poised to capture a large portion of the industry's need for our product over the coming month/years.
Last night's majority government win of the Liberal Party and their dedicated commitment to the immediate legalization of marijuana on the recreational level countrywide upon their election should naturally see production facilities working in overdrive to keep up with demand in the future. With facilities attempting to immediately ramp up production with the limited allotted space they have to work with, the possibility for problems to arise increase. For facilities that are utilizing all of their available growing space, one of the options will be to increase the number of plants within the same growing area. With anything from potentially reduced air flow due to crowding of plants or the increased volume and potential of the spreading of disease from one plant to another before being caught by the grower, it is likely some companies will experience some crop loss and/or instances of bacteria and mold in product as seen in the recent past. This more than likely scenario should lead to increased acceptance and demand of our all-encompassing GroZone product line to ensure the peace of mind on behalf of the facility owners and operators that their product is protected.
The future of the marijuana industry and the role that our company will play in it is as promising as has ever been. The first-mover advantage we have created having gone through the trials and testing of the product line since the summer of 2014 and the now upcoming lab results to solidify what the company has always believed and what has been seen and experienced through our licensed beta-test partner in Colorado, has set the stage for the next phase in the development and acceptance of the GroZone brand. Sales. We anticipate that our efforts to date will now allow GroZone to become a recognizable, household name within the industry as we push the product into facilities across North America with proven and undeniable results to back it up. We are looking forward to the exciting times the future will bring for the company and its loyal and dedicated shareholders.
Market Outlook:
As of June 2015, the Canadian Supreme Court legalized all forms of medical marijuana.
In October 2015, Canadians Elected a Liberal government who pledged to legalize marijuana for recreational use and create a new, annual $1.8 billion - $3.6 billion industry; however some analysts predict the market could reach $5 billion.
There are currently only 26 companies licensed in Canada to legally cultivate and sell medical marijuana to 50,000 licensed medical marijuana users.
As a whole, the legal marijuana market in Canada could have as many as 8 million customers.
Currently the U.S. medical and recreational marijuana market is valued at $21 billion however, if all 50 states legalized marijuana it could become larger than the $45 billion organic food industry.
According to the ArcView Group, a cannabis industry investment and research firm, the legal retail and wholesale cannabis sales from 2013 and 2014 increased 74% from $1.5 billion to $2.7 billion and will possibly increase another 33% to $3.5 billion by the end of 2015.
Market analysts predict cannabis sales have the potential to total between $7.4 - $8.2 billion by 2018 while others forecast the industry will see $10.2 billion in sales by 2019.
Technical Analysis:
AMFE closed Wednesday's session at the subpenny price of $0.0048 per share.
Historically, most of our largest intraday gainers have been cut from the same cloth as AMFE .
A move of just a fraction of a penny could result in quick double, or even triple-digit percents in profit for traders!
We did the math, and that's just over $806K worth of shares available to the public for trading.
Let's not forget that shares of AMFE were trading as high as $0.012 within the last 52-weeks.
Traders now have the opportunity to grab up shares of AMFE at a -60% discount from that 52-week high.
A run back to $0.012 per share would equate to a gain of over +150%!
That would be like turning $1,000 into $2,500 in just one trade.
We've watched these subpenny picks go viral and deliver small fortunes so many times before....
Will AMFE be the next subpenny ticker to do the same? We certainly think so!
We are asking all of our subscribers to add AMFE to the top of your watchlist right now, and be ready to trade tomorrow morning when the clock strikes 9:30am EST!
