JDinvestiGooch wrote: i appreciate your response, and perhaps i am not the most qualified.
however everything you have suggested is just speculative at this point. more stores will be more $ and less black market, but a company that is not making $ to foot the bills is a huge red flag.
This is true for all the MJ companies because of the bad handling at the government level with a lack of stores. Aurora raised 216 million that was supposed to be done in March for 230 million. ACB has enough cash for many months. The US legalization i think will be one of aurora's biggest foundations. I would not get my hopes up though. I think US companies will be the main Producers for the US and to hope that Canada's LP's will march in and own the sector is abit naieve. Given the canadian gov't had a proper roll out then it would be hard to deny that canadian LP's would be sitting prettya and waiting but thats not the case.
Naive? There are many good established companies in the US where it is legal. I don't know where you got the idea that the Canadian LP would own the US but there are certainly a place for them. Aurora Cannabis' next big play: The US CBD market
Im just saying that right now, its a shaky company to join in on, theres no denying that. Yes if you have a position, average down, or if you are comfortable enough to take a risk buy in. I jusst wouldnt recommend it yet.
I never said it was the time to take a position now. I did at a lower price. I will trade a part (not day trading) keeping a core. If there is an injection of cash by a partner the stock could easily triple. I am talking about one or two billions. There are other partnerships that can be done. The US is big with many states where it is illegal at the state level. 216 million dosnt foot their bills for long with negative profit margins.
I don't know exactly how they will use the money but since the conversion limit was in March 2020, I expect the money to last many more months. At that time, many more stores will be opened. This is not speculation. The speculation will be how many stores. Acb could have raised money in a less favorable way and could still do it. BC has more store than Ontario but it will be fixed soon. The Ontario government is considering a plan that would abandon the maligned lottery process that has left it with only two-dozen legal pot shops, and instead pivot as early as January to a system that could lay the groundwork for up to a thousand stores in the province, according to a person directly familiar with the matter.
Provincial officials have proposed moving to an "open allocation" system for issuing pot store licences next year, allowing would-be shop owners to simply apply online and pass a series of background checks to sell legal cannabis in a bricks-and-mortar shop in the province, the person said. It would mark a return to the Progressive Conservatives’ original plan to open enough cannabis stores to support what it believes is a mature market, which analysts estimate to be between 750 to 1,000 outlets, the person added.
I believe we are at the point where we are going to see new leaders emerge to take the head of the pack, and they will be the conservative Canadian LP's that managed to turn a profit.
I already invested in some of these leaders and ACB is one of them. Just an opinion, and im always open to discourse and info. I was a long holder and sold befor this crazy decline in price, became pretty fond of aurora, but gotta break the emotional connection and look at it the way it is. I think acb has potential to be #1 but their reckless spending of investor $ put them in a precarious spot with way far out valuations of the sector.
All the Canadian MJ companies were fooled by the poor handling by the governments of the legislation making hard or impossible to open stores. I will buy back in at the new 52-week low either next week or early spring.
I will too if it happens and good luck. It will be a roller coaster for a while and I don't expect a big increase in price unless there is a major deal. My reply was about what you said... "for a company thats exsistance solely relies on the next quatrely results" which I found extreme. If I thought this could be the case, I wouldn't even buy on a low or only a very small amount. best of luck to all
get rich or go poor tryin
goochi