RE:Newbie QuestionsMartins6 wrote: Dear Longs,
i am new in the Canna Business , thinking about investing and have some questions.
Would be great im someone takes time for me so that i can learn.
1) What are your expectations in stock price and why ?
2) I informed myself about AGRA. Do you think Eve has a brighter future and why ? The Things about AGRA i read sounded great
3) The biggest argument i read from the BASHERS is oversupply.
For me this sounds logical and right.
This is the reason why i have not invested yet.
I want to know why you think that this argument is not right ?
Thank you very much for your time
Sorry for my English....i live in Germany next to the guys of bavaria weed
1. In the short term, we'll continue trading sideways until the next big news comes out.
In the medium term (By the end of the year) if we can get GMP and selling in Germany
we'll be trading at higher levels (around 30-40Cents)
In the long term once everything is rolling, we can be trading upwards of $2
With conservative numbers, I came up with this
40 000Kg sold per year at a profit of $1000 per KG (40 000 x $1000 = 40M per year)
40M / 256M (outstanding shares) = 15.6cents Earnings per share per year.
With that said, if you were to invest today at 18C, you'd make your money back in just over a
year once we start selling in Germany (Biggest customer)
15.6Cents x P/E of 10 = $1.56, that's my conservative SP estimate once we start selling in Germany and get edibles rolling. $1 profit per gram sold is very realistic and conservative. We still don't know how profitable edibles/drinks/vapes etc etc will be... It can be much more than $1 profit per gram which has me believing Eve can be trading for $5, $10 down the road.... That's the only way the bigger companies like ACB and WEED will survive, and if the profits aren't there, they'll go bankrupt and I still see EVE trading above $1.
Unlike ACB or Canopy, EVE is n't overvalued, they're not worth Billions of dollars.
EVE is trading for about 50M today. 50M isn't alot for a company with 1MSQFT facility and generating 50M in profits for EVE is much more likely and easier than it is for someone like ACB or WEED where they'd have to generate Billions in profits.... and as of right now, that doesn't look likely for them.
2. Don't know much about AGRA. I expect EVE to be successful and a good investment.
3. Look at answer provided above, I'm not afraid of oversupply. Eve has contracts, solid management and are valuated at a fair, cheap price (50M) compared to others that trade in the Billions. We already see companies like ACB cancelling facilities, which will reduce the pressure on oversupply. Also, with time, hopefully the black market will start to dissappear. The oversupply is for legal sales, it doesn't account the Billions of Black market weed being sold. Government needs to open more retail stores, and shut down the black market.