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Supreme Cannabis Company Inc. (The) T.FIRE

The Supreme Cannabis Co Inc is a Canada-based company engaged in the production and sale of medical and recreational cannabis. Its portfolio includes products that address recreational, medical, and wellness consumers. Its brands include BlissCo, Truverra, 7ACRES, Sugarleaf, and Hiway.


TSX:FIRE - Post by User

Comment by theTransporteron Feb 04, 2019 12:02am
32 Views
Post# 29313203

RE:RE:RE:RE:RE:RE:RE:RE:Q2 next

RE:RE:RE:RE:RE:RE:RE:RE:Q2 nextI confused you then with another user who’s handle was “meowmeowmeow” that used to bash on this board. 

MeowMeowFC wrote: I never bashed this company. I ALWAYS consider the worst case scenario. It's my background in studying accounting in University that has led me to think this way aka the "Conservatism Principle." $10 a share would be nice, 

theTransporter wrote:
Taking into considering your previous posting history here being that of a bashing nature, I’ll take your numbers as extremely conservative and pessimistic as what the worst case scenerio would look like for this company. 


MeowMeowFC wrote: Food for thought. The P/E ratios offer me no comfort as they are out to lunch and likely to implode again. When the dust settles, profits will do the talking. I look forward to seeing what the financials have to offer. I think whether or not FIRE posts a profit will be the deciding factor on people selling or buying this stock. 

I think we could see $3.30 again with profits posted and hold above $2.70, otherwise, I think we'll peak near $2.47 before we fade and range in the $2.00 - 2.30 range until the next major catalyst.

We'll find out shortly. I hope for $3!   

Go0B3r wrote: MewMew, I know in the past you've gotten some flack on here for your post so believe me when I say I appreciate your post just now.  Think about the information you just posted.

"IF Fire becomes a $75mm a year company", that alone would put it in the billion dollar mark.  The average P/E ration for most companies on an average type market is x15.  Most are doing way way above that but even at that conservative number it's close to 1.2bn dollars in market cap.  As for internation business, and the potential for it, we all know that hasn't always been a hit out of the park, take Aphria and how their "internation market" investments have effected them.

My advice is, if you don't like to get burnt, don't play with fire.  This isn't going to be an easy climb for this company, but the boys are ready for anything that's going to get thrown at them.  So either you have faith in the Supreme team, or you don't.  Simple as that my friend.

Namaste to you and yours Buddalover


MeowMeowFC wrote:

Analysts on "New Cannabis Ventures" seem to believe FIRE will be in the $7.5 million range for the quarter. With a fully diluted share count of 400 million and no profits to date, how high can this SP go?

There are 260 million shares outstanding as of last financial statements, which brings us to a market cap of approximately $580 million.

What are the chances that we move to the $1 billion club before we have the rest of the warrants exercised? 

I'm concerned that we will not have the same premium applied to FIRE as that of ACB, WEED, CRON, etc. simply because of a lack of international assets. If FIRE posts a $75 million year in 2019, can it be possible that we maintain our market cap in the face of dilution, meager profits, if any, and increasing competition for investment dollars from American firms? 

Rhetorical questions I guess. I just feel like this company might already be peaking in SP for the year. I'll wait to see how the market reacts to the next financials, but I'm thinking I'll sell the news. Someone give me some insight on what the future holds here. I joined in on the swing. Worth holding or time to move on?

 

buddalover wrote: Cosmic post dude, may budda smile upon you and yours. I believe we will be at the higher end dude, due to the fact that Supreme only considers product approved for sale as Biological assets, not any other stage plant from seed to harvest, unlike most of our peers, which means there could be a lot of Supreme Green that got the green light if you know what I mean. Peaceout Budda sure to smile upon supreme shareholders. Do something kind everyday. Peaceout

 

 

Go0B3r wrote: So here's my take on what we can expect in the next quarter Financials(Q2)
 
The "biological assets" they had in the vault at the end of Q1 approximately $5mm
 
In June they were still licensed to grow about 10,000kg of Flower
In Sept they were given the go ahead for an additional 3,330kgs of flower
 
The way they staggered the crops is unknown to us, and will remain that way, all we can do is take a guess.  Believe me I've tried to guess and rotate their crops since they first got the sales license from HC, and it's impossible to work out a proper number.
 
So lets just say they have the perfect plan in place to maximise the amount of flower growing for legalization(dreaming with the supreme team).  10k of flower by November and another 3.3k of flower for Dec (though I don't much like taking the best case scenario into consideration, I'll rectify this later in the math best I can.)
 
10,000kg = 10,000,000 grams x $6 = $60,000,000 year / 4(quarters) = $15,000,000
  3,330kg =   3,330,000 grams x $6 = $19,000,000 year / 4(quarters) = $  4,995,000
 
The total "possible" amount of sold product just from the last few crops cycles is almost $20mm.  Add the approximately $5mm in Biological assets left in their vault in September and this gives you a total possible sold product(s) of 25 million dollars for periods of Oct - Dec (Q2).  Best case scenario!!  I'd split this in half just cause, I hate getting my hopes up and I would think they have the potential of a 12.5 million dollar income in this Q2.  could I be wrong, yes.  But the math is what it is, and the rest is all up to how much product they were able to get rid of through the different contracts they have with the provinces and B2B sales.  Could they have 12-25mm dollars worth of product under their belt, and only sold 7 million dollars worth, yes, it's anyone's guess.  Unfortunately we haven't had enough "Recreational Market" quarters to compare to.  So I'll suggest it can be anywhere between $12mm - $25mm in income.  From here on in, it's the job of every LP, no matter the size, to start gaining bigger shares of the market, and this is the fundamentals that are going to take effect going forward.  Grow as much as you want, but unless you can sell the product, your grow space is going to be fruitless, or in this case it's going to be turned into oils... Supreme really does have the right idea in that they are going for quality over quantity, and it will show going forward.

Looking forward to this months activities, hope you all are too.

 


 

 

 




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