RE:RE:RE:HEXO Q3 highlights recap - just the factsyou know VVern, how start ups work right....they earn and grow and borrow and grow, they have debt and no debt and more debt and profits and grow..... they can take a good 5+ years to stabilize and anyone seriously buying into pot at legalization would have talked to their accountant and understood that this is a massive opportunity and will be a very bumpy ride over the next 3-5 years. Hopefully everyone has taken advantage of the time and prices to average down and is still
HOLDING for the uptick...it's coming, almost there!
Split, RS - both normal and acceptable strategies in business - seriously it's been around a long time. BTW being the first to grab marketshare by lowering prices to be more competitive - again a long time proven business strategy and is not how you lose marketshare - it gives a company a
HUGE ADVANTAGE and builds your reputation as an
INDUSTRY LEADER, especially when you have the good quality products like
HEXO has, a well established, solid company in the medical cannabis community long before Rec. legalization.
VeritasVern wrote: So as we approach the 2nd anniversary next month of legalization, LP companies are not profitable by a long shot. At the time of legalization people would say and think they would have been rich at this point and were highly critical of those that expressed caution to that notion. Where are your profits at this juncture? Down what 50-90% for some and they don't learn....
This is a high risk sector as Roth has correctly pointed out a company that has to dilute by +220 million shares, resort to FMV manipulation of inventory and offload expenses from one quarter to the next to show improvements will only end badly.
One other point to make is that Hexo was the first to offer low budget weed. Others have now matched so that is the end of gaining market share.