RE:As it occurred to anyoneSim ur comments look to me to have completely ignored that their stated mission is to use 90% for extract products and cannabis 2.0. Not trying to sell it as dry flower. I think that has implications for movement of product and shelf life but am not an expert. I do agree that things are moving slowly at the legal retail level but think extract products will be more manageable (insert new vape anxieties and uncertainties here, however)
Regarding what the facts are. Until the teleconference they had been very clear about their harvest projections and maintains full confidence in them. Somewhat differently during the teleconference, and after the surprise departure of JVM, they changed their approach stating that they would make NO projection other than fulfilling the very modest pre existing agreements. They were asked to ball park by the eight capital caller (the ONLY one who asked questions) and maintained their vague position.
I am sorry but as a NRTH supporter since good and green this is very unsettling. It leaves us with SO MANY questions. In my mind I can see NO reason not to ball park unless they are really uncertain. Under promising and over delivering has its limits and I don’t believe they would stretch it to that extent.
SO as someone who is heavily in by my standards do I get out and save what’s left, maybe break close to even? Not sure. I still believe:
- they are a legitimate business enterprise with a legitimate business plan
- they are forward thinking and interested in long term profitability not short term share prices
- the fields look full of big budding plants from multiple video and photo sources
- they are fiscally minded with a cash position to outlast flimsier companies to reach their ultimate goal of being one of the true players in the space
- the QUILL acquisition and US introduction is more impactful then it has got credit for; as a cbd arm and also as being poised in a massive market if US fed legalization goes thru
- the current SP is a buying opportunity; their assets, cash, licenses and product alone will see a return to higher levels.
Whether they reach the promised land remains to be seen. So what do I do? For the most part sit tight but if I can add a small bit at 0.55 I will. Tried Thursday and Friday but it never got back down there.
Going long. Good luck to all.
sim_1 wrote: That we don’t need 40000kg if we can’t sell 40000kg?
it’s no longer about capacity, it’s about sales, actual deals, and NRTH has about 11000kg committed from the farm, which is huge for a company with 5MM$ in revenue as of June 2019; should translate in 30-40MM$ of revenue comes June 2020. That’s the target for now: deliver on the signed contracts... and would be a tremendous leap forward. But come on, we’re not going to sell 40000kg this year... harvesting 50000kg, 60000kg would be a waste of resources in my opinion.
Agree that they need to prove the model, show that the farm is viable - but if we end up destroying excess inventory down the road might as well leave that energy in the soil for future seasons...