RE:Here is the realityBuyLowKeepLong wrote: This MJ correction all over the place was previsible.
LP was overvaluated on only promised revenues.
BUT..
Namaste is not an LP. Their strategy is not based on how much weed they will be growing and selling to Canada customers. Legalization or not, Namaste already sell massive quantity of vapes and accessories in multiple countries. Legalization or not, people will continue to consume pot.
Here is the reality, right now, each month, Namaste generating revenue of at least:
350k from Australia (approx 32% of total)
250k from Great Britain (approx 23% of total)
175k from USA (approx 16% of total)
And guess what? Canada right now represent 2% (26k montlhy) of Namaste revenues.
So this Canada post legalization correction is totally unjustified for Namaste.
Give you a head shake and realize that Namaste is right now way too much affected by this bloodbath.
SP are now trading approx 1.5x annual sale. Compare this with any other in MJ sector...
Next quarter will almost be profitable (maybe we will have a surprise here) and the subsequent, the first with complete 3 months including autralian vapes, will be for sure profitable.
Keep the faith, hard to see red day after day, loosing thousands of dollars, but time will come that we laught of this bad sequence.
Bumping this because he has it right.