Dewmar International BMC Inc’s (OTCMKTS:DEWM) was one of the big gainers Wednesday morning as investors aggressively bid the stock up.
Market Action
As of 12:45 shares of DEWM were trading at .0019 up .0008 gaining 72% on the day. Volume was 1.8 billion shares crushing its 30 day average volume of just under 4 million shares. Over 2700 trades have taken place making DEWM one of the OTC’s most active. Trading opened at .0013 and ranged between a low of .00125 and high of .0035. At the high DEWM was up 218% but profit taking has put pressure on the stock and it is giving up some of it’s gains. Todays high of .0035 is a new 52 week high beating the previous high in February of .0028.
Today’s rally was triggered by the announcement from Dewmar International BMC Inc’s (OTCMKTS:DEWM) that it signed a product development agreement with the business arm of the Culinary Institute of America, CIA Consulting. The product development agreement is going to focus on the reformulation of its premium relaxation brownies that are sold under the brand Kush Cakes.
Dewmar told shareholders earlier this year announce that one of its primary goals is to turn the Kush Cakes brownie into a functional baked good product in America and in order to achieve that it is also necessary to completely change the very nature of the product through reformulation.
“We are truly excited about this collaboration with CIA Consulting,” said Donald Hunter, Chairman and Chief Executive Officer of Dewmar. “As a result of the agreement, we have access to world-class baking and pastry experts who we believe will create a better taste that will help take the brand to the next level. We expect to complete this work by early summer.”
It will be interesting to see what happens now. DEWM has traded sideways for the last few months. Today’s price action and volume will surely put DEWM on many watchlists for this afternoon and the days to come by investors looking for momentum plays. If the stock holds on to a significant portion of today’s gains that may be enough to start a DEWM rally.
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