RE:RE:Anyone think ACB will be $15-$20 Per Share down the road?BatmanMTL wrote: In the next 4 years, based on everything I've read, I believe it is reasonable to be $10.
Today is $2.40ish with mark cap of $585M. To be $10, mark cap will hover around $2.4B.
When considering Aurora Sky maximum capacity, we expect 100,000 KGs or 100,000,000 grams.
- At a $5 selling price before taxes etc (really conservative), we are looking at $500M in annual revenues.
- If ACB trades at $10 per share = $2.4B market cap / $500M annual sales,we have a multiple valuation of 5 times sales.
$10 is a reasonable share price expectation. Obviously this assumes there is logic and structure in market. However this is not always the case.
To add to this, if you look at the multiples of Alcholic beverages or Tobacco, you see that their share price on average is also 4-5 times sales.
https://pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/psdata.html