RE:CRON Massively OverpricedTECHFAN49
Do you remember when the Marlboro bought into the company? Cronos received 2.4 billion bananas. Divide that by the float approx 160 million at the time and the book value of the company per share jumped by $15/share. What did the market do at the time? They popped it 2 bucks on the news then pulled it back. After pulling it back to 11 dollars the market makers have slowly adjusted the sp according to its balance sheet which became huge overnight. The balance sheet will not always contain 2 45 billion but if their next cc if the earnings are positive, as in positive eps, then the price will be readjusted to low to mid 20's. Remember that at the time of the investment by Altria the sp was around 10 and it held about 50 mill in the coffers. Now it holds 40 times more. Pre investment cash per share was .33 Post investment cash per share is 15.33 based on original float size. Altria has the option to buy more. Present sp broken down 15.33 per share is cash The rest is the business value. Is the sp overpriced? No. Can we expect an adjustment? Yes. The float wont be the same next cc. Whatever the float divide cash balance into the float. EPS could be a blow out. CIBC upgrade target is conservative. I see 24 to 28
Read more at https://www.stockhouse.com/companies/bullboard?symbol=t.cron&postid=29253664#6CbYW5FGIO7ETiCU.99
You know nothing Prof Moische...here is why...Cronos isn't in the business of growing pot. They have IP that will get them under $1000 a kilo for PURE OIL. That is 7 times cheaper than the lowest cost producer. Do you think a 100 billion dollar company invested in them for nothing? Wake up Aphria lost the deal to a company who is on the verge of making them farmers again while they produce in a lab and if they need some local flower production they have it down the street with the Mucci Farms to the tune of 70,000 kilos in 2019 as well. Also, until Aphria ACTUALLY produces 40,000 kilos of product it would be best to not throw rocks based on the future as for now the only future is speculation. Nothing for Apha is guaranteed anymore. I can tell you that the almost $20 a share for Cronos and the 43 plus percent run up wasn't a mistake. Apha is up 17 percent over the same year end timeframe...
Now with regards to Prof. I think he's genuinely trying to help. But unfortunately it isn't working. I wish for the sake of other investors he'd say less as many people are getting burned...or already have been. If 2 years of claiming that Aphria is the next big takeover hasn't shaken your confidence then you'll earn every penny you make and deserve every loss you take moving forward. You can't cry wolf forever.
I suggest that some of you investors on the fence have a HARD LOOK at other companies in the industry that don't have a black cloud. Aphria should be good to $10-11 dollars but after that you're gambling. I prefer to have my money in places that don't put it at risk and then don't bother explaining it their shareholders.
With that I'm gone. I thought Vic and Cole were permantly going to bow out...but nope they are still on the board and that is my signal to bury this stock for good. Good luck to the people I've met here and I sincerely hope that Aphria gets to $20 plus dollars so that you all do well. I just don't see it.
Atheena