Ventura Cannabis and Wellness Corp CVHIF

RE:RE:gohan BBC

[Backwardblade]

Actually, with a stock that trades like this either prediction is entirely possible.  As such a lot of the action will be dictated by those that a) are trying to maximize their bets with trades in between news and b) those who see 5-10% of their capital go up or down in a day and act accordingly and c) the houses (and their clients) taking profits when they can or decide to

The fact is this is an early roll up strategy with lots of cash, yet only have 2 revenue generating facility on the books right now.  Great numbers but still only 2 facilities

The fact is there are 43  milliion warrants at 50c which equals another 20 million in the bank so to speak, and will hit the  market about November due to acceleration.  Thats the expectation anyways.  Right now these guys are up almost  20% on paper.

The fact is there was a 43 + mill shares issued at 40 c on March 31st with the over allotment and are free trading come AUG 23rd.  Right now these guys are up almost 50% on paper.

The fact is there are 2.3 million shares vesting at 55c in the next 3 years.  Dalsin gets almost $1.5 million alone.  And they are in the money.


The fact is the shares have hit a high of .82 c (insane valuation honestly), which means there are people that are 30-40% under water. Will they dump?  

The fact is there have been trading days of up to 9 million that I know of.  

The fact is that they are going to buy 2 more facilities but no-one knows how many shares are going to be issued and what the valuation of those shares are going to be valued at  when the deals close.  Very important detail that. 

The fact is that management has proven themselves once, albeit wildly successful.  Still, a lot can happen.  It doesn't neccessarily mean it will happen again.  It's a very good momentum bet but not a guarantee.  

With these facts in mind there is A LOT that can happen between now and the dates that I have mentioned.  You can pretty much throw all valuation metrics out the window since only the latest closed deal will validate the shares.  And we are waiting for just that announcement.

I'm all for technical analysis as a guide for entry points and sell points on stocks that have a proven trading record but this is entirely different beast.  This is a news driven stock.  It trades anywhere from 1 to 9 million shares on a given day.  There are some very important dates coming up that will entirely change the share structure of this company depending on the deals that are closed.  I'm not a technical guy, but this has to really F%%k with the variables, yes?

So with that in mind, I will not give a prediction of any future share price except that on any given day that I can get 5,6,7 % on 50% of my shares, I'm a seller.   I'm going to average down everytime it drops 5,6,7 % till August.   If it  actually hits 40c before August, I will have to do a serious re-evaluation on my personal risk tolerances depending on whether they have purchased enough facilities to justify the valuation.  But honestly, this is a crapshoot on who, what where and when.  

If volatility is your game, this has got it in spades.  Yes, I'm long....probably.   :-)

GLTA

BWB