GREY:CNTTQ - Post by User
Post by
Duediligence33on Mar 25, 2019 5:44pm
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Post# 29533793
Good Business vs Stock Prices
Good Business vs Stock PricesI agree with the poster that says in a recession MJ will do well as a business because it is a vice. This is true however the respective stock price will also be dependent on investors who may he on margin and in need of cash. The high stock prices will be dependent on buyers who will be less inclined to buy and bid higher due to need for "cash safety" and the "hot risk-on money" certainly will leave stocks and go to bonds or treasuries of GIC. So we still may have a thriving MJ business with good earnings however the stock prices will not be inflated as they are now and they will be more realistically priced so we may have a situation where we have a very good business but low stock price relative to where we are now or I would say a more realistic stock price based on actual earnings which right now all MJ stocks are overvalued based on hype and projected future earnings and the gambling mentality of FOMO. In any recession "cash is kin" and then you can pick up the best MJ business companies at real sustainable P/E ratios of 15 to 20 IF they even have earnings (Weed loses cash). Canntrust will be the leader in value as they have the most robust and stringent profitable business plan and growing medical patients and future partnerships. $ 20 will be a realistic 2 billion market cap.