RE:RE:RE:Pumper Parry Strikes Again......
Let's assume their new 52,000 sq. foot facility will be sufficient to produce and sell 4000 kilo = which is 4,000,000 grams x $7.50/gram = $30,000,000/revenue top line.
Their EBITDA is 22M from that = lets call it 2/3, or 66%.
They are current cash flow positive from operations with current sales and their COGS is a bit higher due to imported product vs. locally produced.
The following catalysts will drive the valuation over the next 60 days.
1) Facility is complete
2) Production license
3) Local product
4) New Profitability figures for this quarter.
The stock is trading at a $30M discount to its peers. The stock will trade well above $1 by end of year, providing company with effectively up to $15M from warrants.
The company does not need additional working capital. IMO. EOM.