RE:GMP Securities 363 million grams @ $3 is roughly $1 billion dollar profit at max current production, so trading at 8 times potential proft - seems slightly undervalued but not crazy.
What happens when supply overshoots demand 6 months after legalization and they either only sell 250 tons or drop margins and only profit $1.00 per gram, or both? I'd say they become overvalued pretty quickly.
You gotta think profit margins will come down to the same area as liquor/beer companies (10 to 15%), it's not like they have a patent on growing marijuana and the gov't buyers are gonna be squeezing hard to maximize their profits.
In Ontario your allowed to grow up to 4 plants yourself, personal growing is probably gonna be the main supplier - one dedicated person in good outdoor conditions can get 2000 grams in a year, that's enough to keep themself and quite a few pot smoking buddies going for a while.
As for share price, they have about a year of hype left before they need to actually report any meaningful numbers so it could go anywhere from hear, with the amount of interest I see from people who know nothing about markets or even what stocks are I wouldn't be surprised to see it keep climbing.