actually quinlash - I didn't say the book value calculation you used as published by Stockhouse was mathematically incorrect - I said that the number was inflated, as the $4 billion in assets contains $2 billion in 'goodwill' - an intangibale asset.
Also - it contains $200 million in Inventory, so at year end the moldy old inventory will be destroyed and written off - leaving a more realsitic asset value.
An intelligent, informed investor doesn't just take a Stockhouse, purely mathematical calcualtion as a source on which to base investment decisions - he'll do some actual research which includes drilling down on the numbers.
Personally, I don't need SH, fintel or a broker to do a simple math calculation or ratio - I learned ratios in Grade 6 - but if you feel comfortable doing that (or uncomfortable doing your own calculations) that's fine.
Using inaccurate, inflated numbers could lead to poor investment decisions - such as Nevada Copper, Zenabis and Hexo, all bankrupt or near bankrupt companies.
Thank you again for your calculation example below, but that is NOT how the potential value of a stock is done, not even remotely accurate.
Example: with ratio of .35 1 - .35 = .65 1 + .65 = 1.65 $2.40 CDN * 1.65 = $3.96 CDN Comment by
quinlashon Jun 12, 2024 1:01am 
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Post# 36084092
RE:RE:69+ % upside from here
quinlash wrote: quinlash wrote:I checked the price to book value and it's around .35 at the moment. In order to be trading at book value this ratio needs to be 1. This indicates more than 60% upside on this title.
If I were to pull up the PB Ratio on other cannabis stocks that get more media coverage we could be targeting greater upside if we are to view those ratios as plausible.
Volume has dropped off, this may be an indicator that current investors are simply not willing to sell or short the stock at these levels.
Looking forward to hearing more about the acquisition target TLRY eluded to. Expecting this new company will position the company well for US sales / entery (depending on how they go about things)
JMHO/GLTA
Minor correction. I stated Price to Book Value when I meant to say Price to Book RATIO.
To get value from ratio just subtract ratio number from 1. Take the result and add 1 to that and multiply by current shareprice
Example: with ratio of .35
1 - .35 = .65
1 + .65 = 1.65
$2.40 CDN * 1.65 = $3.96 CDN
To use a higher ratio than 1 you just add the extra ratio to step #2. I believe CURA is at 5 or 6 (haven't looked this week)
The Price to Book RATIO I used was taken from the Quote Menu item in the stockhouse main menu.
If you disagree with the ratio number then you can take it up with Stockhouse Admin.
Others sources that can be used are Fintel, MarketBeat and even from within your own trading account assuming your broker provides basic fundamental data.