Canopy Growth Corp T.WEED

RE:RE:RE:RE:RE:RE:Canopy Weed seling price 3 MOU with provinces

[Viking49]

chainey wrote: The $5.00 number came from one of the regular posters who suggested we low ball until we know the actual price. Good idea, under promise over deliver.
 The medical price will probably always be higher because there is less over head and the gov't is not the middle-man. I expect the push in Europe will come when the Germans decide what the game is and who gets to play. Maybe that's where all the new cash is going to end up?

krisruna wrote: (1) Are we sure we are only getting $ 5 per gram on these 3 MOUs ?

(2) At one time, Canopy was suggesting (to the Govt) that LP take home is needed to be $ 10 per gram).

(3) If we see our quarterly report, as I recall I remember prices between $ 7 to $ 8 per gram.

(4) If we get much more price in export, then why we will not give preference to exports (or setup more manufacturing in the countries which gives higher price).  Higher quality does cost money to produce.

Just few of my thoughts (my sixth sense saying $ 5 per gram seems extremely low.  We should not be working for nickels & dimes.  Thanks.

I crunched numbers from Aphria’s last quarterly report and came up with Aphria selling bulk wholesale bud for $4.57/gram.

Sales to the provinces require further processing and packaging so I would think LPs will get something north of $5 but probably under $5.50 per gram for mid grade and more for premium strains.  Price negotiation could have an impact on the size of the MOU from provinces, maybe not at the beginning but when more production comes on stream.

But for a bigger picture we have to look past bud wholesale and rec sales.  The market will gravitate to oils and edibles which will provide more profit margin as the bud is processed.

International markets will provide higher margins till they develop their own domestic producers.

$5 a gram can be used as basis but additional processing upgrades the revenues and margins.  And current on-line medical gets about $8/gram