OTCQB:VVCIF - Post by User
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1hot-techwomanon Jul 03, 2019 8:06am
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Post# 29882398
Current Target is $1.80 for Vivo !! Buyout soon?
Current Target is $1.80 for Vivo !! Buyout soon?The first half of 2019 has been focused on increasing VIVOs production capacity. With the recent doubling of capacity at both our Canna Farms and Vanluven facilities, we have been very successful in that regard, CEO Barry Fishman said. Our goal has always been to increase long-term shareholder value by establishing ourselves as a premium provider of cannabis products and services. We are lowering our cost per kilogram through increased production capacity, thereby realizing economies of scale. Zandberg notes that Vivos topline fell short of his expectation of $6.5-million. He explained what happened to produce the result. VIVOs revenue declined compared to Q4 FY18 partly due to initial product stocking for the adult-use market by provincial distributors that benefited the Company, the analyst explains. Management also highlighted that $4M of the total revenue came from cannabis sales in BC. VIVO only sold 215kg of cannabis during the quarter vs. 342kg in the previous quarter, highlighting its slow roll out in the adult-use market post legalization. In a research update to clients today, Zandberg maintained his Buy rating but trimmed his price target on VIVO from $2.00 to $1.80, implying a return of 157 per cent at the time of publication.