mCig Inc (OTCMKTS:MCIG)‘s latest corporate update helped it to rally by a whopping 96% in a single session, but did not help the stock price to remain heading up the other day. The stock is crumbling fast as investors’ realize that the company’s update had less of facts and more of fancy projections. A closer review of the update reveals that there are too many gaps in it and does not support the company’s tall claims.

New developments

In a press update released last week, mCig Inc (OTCMKTS:MCIG) talked about the closure of its best quarter for the period ended on April 30, 2015. The company’s CEO Paul Rosenberg stated that they are finally beginning to see the results of its overhaul strategy and positive developments are fast taking place. However, mCig Inc (OTCMKTS:MCIG) failed to evidence its claims with any single claim.

Further, Rosenberg expressed confidence that the company’s revenues are set to accelerate from this points amid the projected launch of new products, new partnerships and revision in the company’s corporate structure. Without revealing the details, Rosenberg estimated the company’s revenues to touch $7-10 million in the current fiscal year.

Lacking evidence

The company credited role-play of several factors in achieving successful quarter. It said that the company’s transformation into a premiere holding company in the cannabis-related market alongside the shift of focus in its sales force has worked wonders. mCig Inc (OTCMKTS:MCIG) further pointed that the appointment of global sales manager has also helped the company in enhancing its sales structure and adding new sales contracts.

Eventually, the company’s efforts has yielded results in the form of higher sales that led to the record quarter. Additionally, mCig Inc (OTCMKTS:MCIG) stressed on its efforts to launch a new website that helped it gain traction. The company also elaborated on the progress of the em-j product, which is set to come on shelves soon.

Despite the slew of these announcements, mCig Inc (OTCMKTS:MCIG) failed to give enough proof of its workings and the update looked more like a pump news. Resultantly, the stock of the company crashed by more than 15% to $0.0880 during the last session as 1.60 million shares exchanged hands.