RE:RE:RE:RE:RE:CGC/Sector Predictions for the Long-Term *Going on Record****FLASHBACK TO 15 MONTHS AGO***
It’s fun to look back and read the opinions of people who were so convinced they were right. He thought big industry buying in would hurt all others??? Quite the opposite. It legitimized the industry and raised the tide for all boats.
For the record, I respect Falcon a ton for giving his opinions with his reasoning to back it up. This isn’t a shot at him. I just thought it was cool to look at what seems like forever ago and how far we’ve come. No ones predictions are perfect. And I'm glad he didn’t wait to buy back at $3-4!
FalconM wrote: Wow. I can't believe how consistently my point has been missed or avoided. The past year no highly capitalized corporations (pharma, tobacco, booze) has entered the sector because there is a speculative element to the regulatory framework. When that ambiguity is removed (task force report), they will likely begin to make their moves, likely next year before the LPs reap the benefits of rec. market. When these mutli-billion dollar companies enter the market they will create the winners. For example, say OGI is bought out by a 100 billion dollar pharma company. What will happen to all the other LP stocks? They will go down because their competition just extremely intensified.
Hence new risks will come with the task force report. It marks the end of an era of nearly risk free gains, because we could always depend on political hype and also the hesitation of large corps to enter the sector.
CGC will survive but their SP could really suffer as people pay a premium for them being the dominant player. This may not always be so. You can live in delusion and hope tomake enough money to retire, or you can be strategic and realistic and start to factor in the new risks. Things don't always stay the same.
You can get lucky and hold the one that gets bought out, but if you hold other MJ stocks they will go down. For all you know the buy out could simply mitigate the losses you endure in your other LP stocks. This is why institutional investors have said they will be waiting out until "winners emerge". We've ignored institutional investors but now we need to start listening as the sector matures. We are still in complete infancy despite what others have said. I think that's an ignorant claim.
I won't be buying back until the 4.00s and 3.00s. I don't care how long it takes. I'l wait months, so don't take this as me trying to manipulate your opinions. The stock is super volatile, a few retail investors won't make the slightest difference with 5+ million shares traded per day. Take this a genuine warning to start thinking about the future, YOUR future.
One love.