RE:hodsonthedave2006 wrote: He is cautious on that space. This is the biggest one in the space. The store front locations are very tiny. There will be some very big players in the industry but all money raised in this industry goes into production. He cannot get a handle on the valuation. If you are not taken over in the next year you will be in big trouble.
I'm assuming were supposed to care who Hodson is, and why his opinion matters over the rest of the analysts that have been poo-pooing the LP's since forever.
Store front locations are tiny? WTF are you talking about. Store fronts have not even been built, or decided on in every province.
Yes, the money raised in this industry is going to production. There will be a massive supply shortage, and those that CAN supply will establish customer loyalty and brand recognition from the start. What are they supposed to invest their capital in? I dont get you point.
Our 2B valuation is based off expected marketshare of the Canadian market, and the potential of our International plays. Is it a high valuation? That depends on how far out your looking. I certainly can get a handle over it. Canada alone will be a 20B dollar market in the first few years.
What exactly would be the problem if we dont get taken over? Thats a very vauge statement. I'm not even going to counter it because it's obvious why it might not be a bad thing...