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Bullboard - Stock Discussion Forum Supreme Cannabis Company Inc. (The) T.FIRE

The Supreme Cannabis Co Inc is a Canada-based company engaged in the production and sale of medical and recreational cannabis. Its portfolio includes products that address recreational, medical, and wellness consumers. Its brands include BlissCo, Truverra, 7ACRES, Sugarleaf, and Hiway.

TSX:FIRE - Post Discussion

Supreme Cannabis Company Inc. (The) > 3 Scenarios - Capacity/Revenue/EPS - Price Predictions
View:
Post by Exponentialpick on Oct 19, 2018 10:32pm

3 Scenarios - Capacity/Revenue/EPS - Price Predictions

SPRWF Price Estimates - 2019      
3 Scenarios       
  100% Capacity 75% Capacity 50% Capacity
Kilo Grams              50,000.00                 37,500.00                        25,000.00
Total Revenue @ $6000 per kilo  $300,000,000.00  $   225,000,000.00  $          150,000,000.00
Estimated 25% Profit Margin  $   75,000,000.00  $     56,250,000.00  $            37,500,000.00
EPS @ 350 Million Shares   $                    0.21  $                      0.16  $                             0.11
50 Multiple  $                 10.71  $                      8.04  $                             5.36
40 Multiple   $                    8.57  $                      6.43  $                             4.29
30 Multiple  $                    6.43  $                      4.82  $                             3.21
20 Multiple  $                    4.29  $                      3.21  $                             2.14


Based on growth in this sector, I am assuming SPRWF will trade between 40x-50x multiples. Realistically I am prediting between 50-75% capacity. So anywhere between $4.29-$8.04 per share is possible in 2019 for SPRWF. Higher for FIRE. 
Comment by Realist610 on Oct 19, 2018 10:39pm
This post has been removed in accordance with Community Policy
Comment by Exponentialpick on Oct 19, 2018 10:52pm
:) It was simply a post showing an observation that support held on that particular move. It did not hold today. I am confident the dips should be bought. This is a long term hold for me. If you are an options trader and play both sides congrats on your trade. I say, ignore the noise and focus on the big picture.  I am in this for next 12-24 months. 
Comment by Realist610 on Oct 19, 2018 10:58pm
This post has been removed in accordance with Community Policy
Comment by Exponentialpick on Oct 19, 2018 11:05pm
I am aware of this, they actually announced it publically on Canadian television the other day. One of the funds said they short the stock to hedge their risk. Which leads me to believe they are about to switch sides.  Once listed on the Toronto Stock Exchange, their arbitrage play will unwind and force them to go net long.  You know what happens next.  I have followed stock for 2 ...more  
Comment by Realist610 on Oct 19, 2018 11:15pm
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Comment by OptGreen on Oct 20, 2018 3:27pm
Appreciate the scenarios Expo, the estimates are reaonable/ balanced and cover a broad range of options....but that is the reality that seems to be missed often every day, every aspect of this sector and the companies trading in it are just estimates based on estimates because everything is all brand new. How can anyone assume with traditional accuracy, based on traditional critera assessments ...more  
Comment by Exponentialpick on Oct 20, 2018 6:29pm
What we do know to a fair degree of certainty  is that demand will exceed supply first year. Whatever Supreme grows, will be sold for a profit. All of this will be happening while Supreme is building out capacity, expanding internationally and making investments to grow their top and bottom lines.  Another thing we do know is that the investment funds backing Supreme are short the stock ...more  
Comment by OptGreen on Oct 20, 2018 8:56pm
Agreed for the most part Expo and have been saying much the same for a long time but the reason this stock is even at current levels is due to estimates of future preformance, not unlike the sector and all the companies in it, to varying degrees....FIRE has less than $20mil gross revenue to date, which is less than the average monthly projected gross revenue of the fully operational existing ...more  
Comment by Exponentialpick on Oct 20, 2018 9:21pm
What is your target price? 
Comment by OptGreen on Oct 20, 2018 11:11pm
If this market and FIRE unfold in normal fashion going forward I will start selling around $4, and depending on market and SP stability over the next 10yrs or so I will then look around $8 and the rest north of there, if everything rolls out reasonably with regard to the sector/ stock, the national economy and geopolitically, and of course health, JMHO.....Opt 
Comment by Bever73 on Oct 20, 2018 12:18am
You expect between 50-75% of capacity??? That is a pretty sorry statement regarding mgmt no ? What about the recent capital raise to build existing and/or neighbouring facility ?? which is it!? The lack of transparency is disgusting! How much of the build out has been paid for , and how much is required to finish this build (to 100% capacity) and how much is new facility gonna cost?? 20x multiple ...more  
Comment by TraderPilot on Oct 20, 2018 6:15pm
Scenario 4, this company continues to flounder under current management then "suddenly" more share dillution via private financing and the share sit at 2 bucks until someone take them out back of the shed and puts them out of their misery with a take over. 
Comment by Exponentialpick on Oct 20, 2018 6:38pm
If they have been floundering so pathetically, how did they convince a group of accredited investors to give them a $100 million dollars? They are doing something right and the proof is now. They are ready to sell out their capacity moving forward. 14,000 KG -15,000KG to start and 50,000 KG by mid 2019. Total output next year estimated at 35000 kg, that’s my speculation. 10 x run starts now. 
Comment by SILVERSTOCKS3 on Oct 20, 2018 7:18pm
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Comment by Traderx11 on Oct 20, 2018 9:33pm
Silver.  Kid.  The more you swear and harass on the THC Biomed board I will go after you.  Stop or or I will reveal your identity. Just so the many who want to wreck havoc on you they can 
Comment by TraderPilot on Oct 22, 2018 2:46pm