juneau103 wrote:
Here is the begining part of Doug Coopers, MBA Beacon Research Report as of April 17, 2019. GrapeApe, do us all a favor, bite us! In fact, in box me, I will bet every share I own, that this goes to $4.00 before it ever gets close to .20. You are just ignorant, no other way to say it! But I to have shorted my position, not here, in OSK,
and won, not big, but HUGE! Look at their chart, @ $3.65 I shorted it, bought it all; back at $2.87 ( 100,000 ) shares, took me three weeks but I am a patient and steadfast investor. Now with OSK, I wont short it again, they have a huge N! 43 -101 coming and a Deep Hole thats going 2.5 miles into mother earth. WTF? Why would I mention this, whats my point......play with the big boys, you either make money or get killed, but ive been doing this for 27 years, I am no child, nor a seasoned investor...but tech analysis, I m pretty good at. I knew at $3.35-$3.60 this would retreat, or retrace, but I am collecting a position, and you dont get 1M shares plus by standing on the sidelines....my pockets are deep, and I am not running scared and I doub there are too many on this board that are truly bothered by you. Whats bothersum, is your an idiot, a fool and everyonce an awhile the numbers will play in your favor. Did you watch the CEO interview, the 12 min long one? If you did, he gave you lots of clues, enough to make you either really smart, or really stupid.
" I am not worried about the stock, it will take care of it self"!
To night, all I will say to you, is your market stupidity, actually paid off, but your still an idiot, and the charts will change, one they finance this up. When the CEO owns 26M shares of 76M shares, i would suggest you pay attention! When 67% of the stock is owned by the managment team, you pay even more attention! If you dont know where to go look for this info, try Sedar and or the INK report. Charts dont lie, people do, The RSI is 37.98 and bending...no diffinitive answer just yet, were right at the 50 MA and yards ahead of the 200 MA, the SCTR has not showed up yet, but the CMF is still in green territiry, there will be a time, that this chart changes and moves.
MY call on all this is a NASD listing, in conjunction with a large financing, which this company, revenue model, expansion plans and managment stake will support. For them to go from 76M out to 145M out is nothing, pick one or two, Grape and lets talk comparision, toe to toe, hook to hook, I am in! In box me, I will take your .20 bet, in a heart beat,
J 103 ( now read the balance of Dougs report, as he picks the stock to $7.25 and gives his supporting reasons why....not why not!
| Planet 13 (PLTH-C) “Super”Store Lives Up to its Name |
| - Almost 6 months after opening its SuperStore, we believe it is a good time to take stock of the progress of Planet 13. To paraphrase US Presidents, “the state of the company is very strong”.
- In the following analysis, we will look at the company on a number of different levels including market share, growth potential, strategic positioning and valuation.
Current Market Share: - a) P13 recently reported its March traffic numbers with 1,987 daily customers (defined as those who made a purchase) and 3,194 daily visitors. In other words, ~100,000 people passed through the turnstiles in March. That is a phenomenal figure.
- b) With an average March ticket of $89.17, the company generated $5.5 million in revenue for the month.
- c) To put this success in perspective, all of Nevada cannabis sales in January were $51.9 million in January. While numbers for March have not yet been released, we believe they are likely in the $52 million range given state revenue has been flat since October. That would mean that P13’s market share for the ENTIRE STATE was 10.5% in March.
- d) When considering its core market within the Las Vegas tourist segment, numbers are a little more difficult to ascertain but if spend/population (local) is $100 per year, that would imply a $324 million tourist market. Based on its run-rate in March of $66 million, we estimate P13’s SuperStore has a 20%+ market share of the LV tourist market.
Nov Dec Jan Feb March CAGR Avg Daily Customers 1,405 1,429 1,552 1,716 1,987 9.1% Avg Daily Visitors 1,848 2,207 2,262 2,425 3,194 14.7% Avg Ticket 79.73 $79.03 $84.69 $89.57 $89.17 2.8% Revenue (US$000s) 3,361 3,501 4,075 4,304 5,493 13.1% Annual Run Rate (US$000s) $40,888 $41,221 $47,975 $56,101 $64,671 12.1% Source: Company Reports - • As per the table above, P13’s average daily traffic has shown a 9.1% monthly CAGR since November and perhaps more interestingly a 15% monthly CAGR of daily visitors, which has accelerated in the most recent months.
- • Those 1,207 daily visitors in March who did not make a purchase represent an attractive market opportunity for P13 as the company improves its rate (62% in March).
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| Phase 2 Expansion and Future Market Share: - • Future market share gains and revenue growth will be driven by the continued growth of the SuperStore and potentially the addition of an on-site consumption lounge. Furthermore, we believe that P13 could enter the wholesale distribution business within the state as it looks to expand the breadth of its brand portfolio. In particular:
- a) The company is adding a caf and bistro on-site, which will be run by third-party operators. P13 will charge them rent and participate in profit sharing. Such amenities will augment the SuperStore’s status as a true destination for LV tourists. The key here, in our opinion, is not only the incremental revenue from the aforementioned sources, but their ability as a draw and increase the average time spent at the Superstore. The longer people spend on-site, the greater propensityspend. A growing number of average daily visitors coupled with a better conversion rate will naturally lead to higher daily spending customers and a higher average ticket.
- b) P13 is dramatically expanding its extraction/production facility (which is currently being done at another company-owned facility) and which should be operational in Q3/FY19. Within it (and which customers will be able to see through glass, thus adding to the experience), P13 will manufacture its own brands including TRENDI (vape), Medizin (flower) and its new Leaf & Vine (vape and concentrates). In fact, management has indicated that its TRENDI line is now the #1 concentrate brand in Nevada. The dramatically increased production facility will not only give the company the ability to provide more of its own line of products within the SuperStore (thus increasing gross margins) but also the potential to significantly increase its presence within the Nevada market through wholesaling to other dispensaries.
- c) The final piece of the puzzle could be the approval of an on-site consumption lounge. While taking longer than originally anticipated, the legislation is with the Nevada Cannabis Commission and a final decision on it is anticipated in the summer. As we have stated before, if such a facility is allowed, we believe that could be the final shovel in P13’s moat as the company has not only already established itself as the prime destination for the (cannabis) tourist but also may be one of the only companies in Las Vegas who has the physical space to construct a meaningful lounge/club. Such a facility could drive material traffic and spend.
- • All of the above is backstopped by a very strong balance sheet. On a fully diluted basis, there are 154 million shares outstanding. We believe the company has ~$20 million in cash and the exercise of the warrants would add ~$28 million (C$37.5 million). The Phase 2 expansion (not including the lounge) is budgeted at ~$6 million or in other words, is more than fully funded.
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