RE:RE:RE:RE:RE:Pros and Cons for Over or Under $ 6.00 sp 8.4 billion dollar market cap by 2020?...
Morloch wrote:
I think your being more conservative than you could be on valueing it. Aphria has been somewhat aggressive than the ithers aside from Canopy. Aphrias has been ahead of Aurora and the others with there international plays in the U.s and partnerships etc. Not only that but this is a parabolic growth industry once recreation begins and sales will be met with way too mich demand. By 2020 they can pull in $600 million reason i say that is cause 75 million grams at 7.50$ + royalties and Arizona and Tbp stakes will pull in the other chunk to equal $600+ million. Tack on 35% ebitda and a pe ratio of 40... Thats pretty low considering this is technivally still a growth industry brings its market cap to $8.4 billion. All those numbers are realistic with one full year in 2019 of recreational mj. I was just using dried flower only too, not including value added oils, edibles( there building a bakery also with there phase 4 expansion) and etc. Im not pumping but based off the numbers, average per dried flower sold and capacity they will have its easy to say it will be worth more than 33$ cad. Example. Mobil eye only brought in 358$ million at a market cap of $9.4 billion with 224 mill shares outstanding. They had an ebitda of 30% and there pe ratio was 135...( i gave aphria 40 and thats when u start noticing growth slowing down which wont cause we got other markets opening probably by that time and mj in Canada consumption will still grow year by year). They had gotten bought out this march for $15.3 billion by Intel. competition non existent as only top 3 are pretty much as aggressive as you get.