RE:For Sale? Investors need to look over the qtr reports to see real numbers and, at a minimum, read over the transcript for the last report out.
The raising of capital should be no surprise to anyone. When a company / sector is just emerging there are more expenses than revenue while the company is getting going. Coming into the sector, or HEXO, investors should be expecting this until things get going and the company goes cash positive. There are no LPs out there that are cash flow positive at this point as far as I know.
Sales Q over Q growth has stellar. Sales growth of 10 to 15%
YEAR OVER YEAR is outstanding for any company but the LPs have been seeing double digit increases in sales
EVERY QTR. HEXO's current QTR report beat analyist expectations.
The private placement made last year was done perdominately by insiders. So those people who already had a stake in the company ponied up and injected another 70+ million dollars into HEXO this includes the CEO. Is that a vote of non-confidence? I don't think so.
Insiders have been buying the stock in the last 6 months at $2.12 and $1.67 if they thought the company was headed for trouble they could have simply sat on their hands an not bought however they ADDED to their positions in the company.. a vote of non-confidence.. again, I would say that is a positive indicator.
Regarding the supply agreement lawsuit, everyone should read over the transcript. HEXO's position on the deal is that it was done between NewStrike and MediPhram under "Bad Faith". What is the basis of all this, I have no idea however HEXO believes they have a case to break the contract, will they win? That's what we have the court system for, speculating on the outcome of that is a coin toss, either they win or the lose, that's all we can expect.
Q
INVINCE wrote: The bad.
- Surprisingly stock sale offerings
- continously quarterly declines
- 70 ML private placement from a certain ( group ) of investors
- MediPharm law suit plus other potential law suits coming
- April 30 2020 DEADLINE
- Racing against time ( time is our ruler ) in avoiding bankruptcy
- persistent write downs including the recent large impairment charge MILLION
- Medical cannabis sales declining patients choosing lower cost brands ---- BUY STASH :)
- All cannabis sectors feeling the pain spiraling down Equity drying up
- Hexo now choosing to spread their wings in Canada only?
- Hexo sold 12 Million shares at $1.67
- How many outstanding shares do we have now?
I can go on and on but what's the point anyone who's blind sided needs a wake up call. It boils down to I would say We all have a difficult ride ahead and I wish our ride takes us to Cash Land