Alkame Holdings (OTC PINK: ALKM) took a giant step toward enhancing its revenue stream by adding a new line to its flagship product. On Monday, ALKM announced the product launch for its All-New Sugar-Free EVERx CBD Sports Water. The specialty water will complement the already marketed EVERx CBD Sports Water, which generated roughly $2 million in sales last year. The sugar-free version has the potential to do even better.
The move follows a trend in the sports and energy drink sector, where “sugar-free” alternatives to brands like Monster Beverage (NYSE: KO) are starting to fill shelves as consumers remain “carb conscious” in their diets. For EVERx Sugar-Free CBD Sports water, the move makes sense and leaves all the benefits of its original formula while reducing calories and removing unnecessary carbs. Expectations are for the new product to earn massive consumer adoption.
More good news is that the new product also extends its relationship with Puration, Inc. (OTC PINK: PURA), its long-term partner who was instrumental in developing and bringing the original EVERx CBD Sports Water to market. Even better, the team is working together to create new CBD-infused products beyond EVERx and anticipate another product announcement coming soon. When that happens, expect valuations to follow higher, especially from having its distribution and marketing team in place.
Partnerships And A New Facility
Another company will add logistical and sector expertise. Alkame noted that along with PURA, North American Cannabis Holdings, Inc. (USOTC: USMJ) is on the team to assist with the market introduction program for Sugar-Free EVERx CBD Sports Water. USMJ adds expertise in the CBD space and can also maximize the product launch through its familiarity with specific distribution channels.
Keep in mind, too, ALKM Holding has a strong distribution network already in place, which could help accelerate product and market penetration. Although the stock has been churning at sub-penny levels, behind the scenes, it has been ramping up the buildout of its new West Coast Co-Packer facility. The new facility will nearly double production capabilities and utilize high-speed equipment to expand production capabilities at the Salem facility. Thus, revenues should get a substantial boost this year.
Beyond extra space and capacity, the new production location will also allow ALKM to advance its third-party health inspections beyond what it is currently able to accomplish. The better news is that the Gervais facility enables ALKM to pursue one of the highest-rated compliance certifications available. That certification opens the door for exponential growth and will likely enhance partnerships and create new opportunities for companies needing a distribution and sales channel partner.
Better still, ALKM has also initiated a multi-channel distribution strategy with a direct-to-consumer sales model, which is expected to be deployed over the year. That model will leverage its acquisition of DistributorCorp and provides an online avenue for the company to supply Sanitizer and various PPE products to national clients. Those products fit under its non-hemp related products and include its Alkame brand of premium oxygenated alkaline bottled water. The company is working to secure approvals to export some of its popular consumer brands and products.
And while the share price may be missing the mark today, once these plans take further root, the expectation for a rapid increase in shareholder value is undoubtedly well-placed.
Optimism In 2021
In fact, it can already be argued that Alkame Holdings may be in its best operating position ever. An optimistic shareholder update explained how the company adapted to the unprecedented economic challenges to business and how its CEO positioned the company to emerge from the difficulties faced in 2020. Most notable, he made clear that while the disruptions were unprecedented, its supply and distribution channels remain viable, and the slowly recovering economic markets are providing some relief to retail locations.
Thus, Alkame stock should be judged on what’s happening now instead of how it survived the pandemic-ridden markets. In fact, Alkame Holdings has done well to enhance its capabilities and is exceptionally well-positioned for a surge in growth from improved facilities, new products, and accretive partnerships.
A Growth Spurt In 2021
Indeed, businesses faced an unprecedented challenge navigating through the roadblocks placed by the pandemic. While many failed, others took advantage of the unforeseen downtime to rebuild, retool, and set new strategies to address a changing way of doing business. Alkame is an excellent example of the latter.
Not only did the company survive the disruption, but its distribution subsidiary contributed to stopping the spread of COVID-19. That social contribution was simultaneous to its advancing new strategies to compete in a changing consumer products world. ALKM was a survivor, and they are stronger than ever.
The better news is that with restrictions easing across the country, ALKM stock could be positioned for a rally as its products and services make their way back into normalized market channels. Analysts are united in saying that the pent-up demand for consumer products could cause one of the most incredible snap-back rallies of all time. And the spending will likely benefit all sectors.
For Alkame Holdings, its decisions to build up rather than break down could return massive rewards this year. Indeed, its improvements to facilities, the streamlining of its process technologies to increase production and lower costs, and its ability to create and maximize value-enhancing partnerships positions ALKM to have its best year in history.
And with new products coming online and its facilities enhanced, record performance could come sooner rather than later.
Disclaimers: Hawk Point Media is responsible for the production and distribution of this content. Hawk Point Media is not operated by a licensed broker, a dealer, or a registered investment adviser. It should be expressly understood that under no circumstances does any information published herein represent a recommendation to buy or sell a security. Our reports/releases are a commercial advertisement and are for general information purposes ONLY. We are engaged in the business of marketing and advertising companies for monetary compensation. Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. The information made available by Hawk Point Media is not intended to be, nor does it constitute, investment advice or recommendations. The contributors may buy and sell securities before and after any particular article, report and publication. In no event shall Hawk Point Media be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or made available by Hawk Point Media, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information in this video, article, and in its related newsletters, is not intended to be, nor does it constitute, investment advice or recommendations. Hawk Point Media strongly urges you conduct a complete and independent investigation of the respective companies and consideration of all pertinent risks. Readers are advised to review SEC periodic reports: Forms 10-Q, 10K, Form 8-K, insider reports, Forms 3, 4, 5 Schedule 13D. For some content, Hawk Point Media, its authors, contributors, or its agents, may be compensated for preparing research, video graphics, and editorial content. As part of that content, readers, subscribers, and website viewers, are expected to read the full disclaimers and financial disclosures statement that can be found by clicking HERE.
The Private Securities Litigation Reform Act of 1995 provides investors a safe harbor in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact may be forward looking statements. Forward looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through use of words such as projects, foresee, expects, will, anticipates, estimates, believes, understands, or that by statements indicating certain actions & quote; may, could, or might occur. Understand there is no guarantee past performance will be indicative of future results.Investing in micro-cap and growth securities is highly speculative and carries an extremely high degree of risk. It is possible that an investors investment may be lost or impaired due to the speculative nature of the companies profiled.
Company Name: Hawk Point Media
Contact Person: KL Feigeles
City: Miami Beach
Country: United States