Emblem Corp EMMBF

Target $3.75

[cabz]

Globe says Marouka rates Emblem "speculative buy" 2017-03-14 08:11 ET - In the News The Globe and Mail reports in its Tuesday, March 14, edition that Canaccord analyst Neil Maruoka started coverage of Emblem with a "speculative buy" rating and $3.75 target. The Globe's David Leeder writes that analysts on average target the shares at $4.58. Mr. Marouka says in a note: "Although Emblem is a higher-cost indoor grower, we believe the company's medical focus differentiates this LP from its peers. Emblem employs a patient acquisition strategy through its GrowWise clinic network that we expect will allow new patient recruitment to keep pace with its growth in capacity. Further, through its pharmaceutical development focus, Emblem is developing novel cannabinoid formulations that are likely to command premium pricing, which we expect could be almost three times the average wholesale price for peers. Although the company is awaiting Health Canada approval to sell cannabis oil, we believe this could be a significant catalyst for investors in the near term. We forecast Emblem's revenue will grow at a three-year CAGR [compound annual growth rate] of 140 per cent to $148-million in fiscal 2021. ... Emblem is the only LP in our coverage universe where our valuation of medical alone supports our rating." 2017 Canjex Publishing Ltd. All rights reserved.