Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Aurora Cannabis Inc T.ACB

Alternate Symbol(s):  ACB | T.ACB.WS.U

Aurora Cannabis Inc. is a Canada-based medical cannabis company. The Company's principal business lines are focused on the production, distribution, and sale of cannabis related products in Canada and internationally. The Company’s segments include Canadian Cannabis, European Cannabis and Plant Propagation. The Company's adult-use brand portfolio includes Aurora Drift, San Rafael '71, Daily Special, Whistler, Being and Greybeard, as well as CBD brands, Reliva and KG7. Its medical cannabis brands include MedReleaf, CanniMed, Aurora and Whistler Medical Marijuana Co, as well as international brands, Pedanios, Bidiol and CraftPlant. Its cannabis products are primarily cultivated and manufactured in the facilities in Edmonton, Alberta; Bradford Ontario; Pemberton, British Columbia, and Odense, Denmark. The Company is focused on offering its cannabis products to global medical cannabis market, recreational cannabis market and global hemp-derived cannabidiol (CBD) markets.


TSX:ACB - Post by User

Bullboard Posts
Post by MeAndMyTwoCentson Jan 16, 2017 2:40pm
144 Views
Post# 25713835

Question regarding potential revenue and market cap

Question regarding potential revenue and market capI know this has been posted before (likely many times), but in the absence of those previous posts, I thought I would revisit the question.

I am trying to get a handle on potential market cap and revenue. If we assume they sell all 10M grams they produce at a price of $7/gram on average, with a cost of somewhere around $1/gram, that gives them net revenue of $60M per year. If we apply a 15 x multiple on that we get a market cap of somewhere around $900M. This number, based on current outstanding share count comes to a share price of only around $3.15 / share. 

My question is....what am I missing(?), as this really doesn't seem all that exciting based on the current share price. I realize the multiple I am using is a huge variable, but I am trying to be conservative. This is NOT a bash or a pump. This is a genuine attempt at trying to guage what a reasonable valuation is for Aurora. Comments please. 
Bullboard Posts