Good Natured Products Inc. V.GDNP

Long is the only logical approach with this one. My reasons

[fairweather1]

I'm not into "timing" and I won't make any grand short term claims about direction, but I will say that drastic corrections to GDNP SP shouldn't surprise anyone. The whole ESG thing was getting crazy. I envision government employees sitting at home, getting gov't covid grants and plunging it into stocks based on superficial information. 

This sets up the potential for intense corrections of stocks like GDNP:

• high beta to begin with
• unprofitable
• somewhat dependent on government policy
• NO current book value (actually negative)

This last point becomes huge in larger market corrections, because stock prices tend to pare back to basic valuations like book per share, for safety. So the bottom may be a lot more sever than some people here are suggesting.

So, IF the market tanks in the short term, GDNP SP will get slaughtered, even if they announce more acquisitions or rosy forecasts. The only way to put a floor under the SP is with tangible (or at least predictable) value. When that happens, and I believe it will if management continues to diversify and stay on top of technological developments, it will be exponential, and yield dazzling returns to patient investors. 

Until then, hang onto your seats.

[fairweather1]

One addition to my original post: Although we have been witnessing an ESG sector correction, I talk about the "IF there is a broad market correction", but I'm not saying there will necessarily be a broader market correction in the near term. There might be, but as economies reopen in the coming months, there will be a huge amount of economic activity that could suport the general

[Padu4000]

Litterally, 20 secs after I placed a BUY order at $1.04 the stock jumped 5 cents just now at 14:20EST.... WOW !!!

[jermoguy]

This is a good assessment and a timely reminder of the dynamics at play here.  I don't have much else to add except to mention that I was listening to a podcast done by my equity advisor in which they discussed GDNP, and they said while revenues are good, their biggest concern aside from lack of profitability is their debt levels on a consistent basis.  I always thought, well, for an

[DaveInvestor59]

This stock is extremely volatile. It's either really up or really down. It's never in the middle for long. It had a huge swing to the upside a few weeks ago. Now it's right back to where it was before that. Forget consistency, it doesn't exist here.

[Padu4000]

I'm Buying at $1.01 again... only trimming some profits at $1.99 ! - that's it that's all... Either GDNP goes to ZERO or it makes me Millions  - if BIO is not the future - the planet will die and we won;t need money !!!

[dileas48s]

Jermoguy, I listened to the exact same podcast last evening and it definitely gave me pause in my decision making process. Although they based their evaluation on the Q3 Sedar numbers, which ignored a lot of things, their strict evaluation criteria of profitability was something I was previously not too concerned about. I do think it's almost impossible to put a valuation on GDNP today

[jermoguy]

Dileas48, glad to see someone else listening to that Podcast. I am a paid subscriber to three of their services, and I will say this about profitability - in this recent downturn (if one calls it that), the stocks that I have that are profitable have shown some degree of resiliency - some have even gone up, while those that are down are down marginally.  I agree that non-profitability would

[Canoutchie]

You're right. Paul has stated that while Good Natured is in its growth phase, that revenue growth will trump profitability over the next year or two, so nobody should be surprised with the bottom line numbers while patently ignoring that topline numbers (revenue) have been doubling for the past few years. So as a certain crowd whines about profitability while ignoring revenue growth, they

[Chitoryuteacher]

to support Canoutchie and dileas.  Amazon started in 1994. they didn't turn a profit for 9 1/4 years, in 2003. It frustrated investors at times. Bezos focus on growth and when the profits came, they poured in. 

[TheeRook]

That would only happen if they start up a competing Cloud service like AWS .. AWS is where Amazon brings in most of its profits, while only 10% of sales..    Cloud computing is where its at eitther with Providers like IBM,  AWS, MSFT  or  application providers like HealthSpace  HS,