VIVO Cannabis Inc. V.PDA

The Pumpers Keep Pumping!! Caveat Emptor!!!

[Invest4Life2016]

Pumpers keep pumping without any facts or real info.  Posting profound cr@p like "This Stock Will Surprise", "Getting In", "In For The Long Haul", "Backing Up The Truck" "To Da Moon" with not one bit of useful info to back up those claims make ya'll look desperate!   Most don't' get that the risk prone investor has inflated this sector's market caps to an average of 50X earnings - in other words the 1st year of legalization is already baked into these market caps so there'll be no upside from here until at least another 12 months.  However there's still a lot of downside risk to the majority since many bought way too high based on hyped hearsay legalization projections and numbers.

Some MMJ plays have already declined 40% in 3 weeks, be sure to expect at least another 30-40% over the next few months.  Reasoning being that there's exactly 100 ACMPR applicants in the final stage of obtaining commercial grow licenses and there's approximately another 1200 ACMPR applicants in the beginning stages for license approval.  The IPO race is on since no bank will finance this sector until it's proven that these companies can be profitable.  Eventually financing and interest will dry up since many risk prone investors are already in and down 40% and dropping.   The big $$ (risk adverse) investors will not enter this sector till these companies can prove to capture a nice piece of the legalization pie - and be profitable!!  These companies will take a minimum of 2 years of legalization revenue to justify their current market caps and assuming they'll do so already sure is giving them the benefit of the doubt.  Last summer was the ground floor to get into this sector - now it's full of holders who bought too high last Nov and held on through April in high hopes of another feeding frenzy!

I entered this sector late 2015 and cashed all out mid April, because too many have jumped in with delusions of grandeur without much dd.  Due diligence is not about dreaming about the big legalization pie and assuming these companies are automatically going to succeed.  When one looks at the many possible hurdles that this sector faces, the hype definitely dampens.  Hype is a dangerous recipe for downside market corrections and unfortunately this sector will go through at least a couple over the net several months!

Caveat emptor!