GREY:SLHGF - Post by User
Comment by
Rc0gburnon Sep 30, 2020 12:48pm
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Post# 31642161
RE:Anybody know why the sudden interes tin CB2
RE:Anybody know why the sudden interes tin CB2 Eppy - There are a few reasons for CBII recent performance.
1. The company has pivoted their business model to a more universal health and wellness platform utilizing their existing Software and clinical network to include tele-medecine and online services.
2. The comps in this space include DOC, WELL and other names that are valued well in excess of 5x revenues . WELL might be 20x....
3. With the business shift, the company was able to drive serious support from the investment community, particularly from strategic brokers. A planned $3million raise, anchored by Merida, became a $5million feeding frenzy with follow on orders.
4. At 24c and a fully diluted share count of roughly 125million shares - this values the company at $30million CAD. Super cheap given they are on a 2020 run rate of $15-20million and target much more for 2021.
5. They have lots of cash and are cash flow positive. Not a stretch to think they acquire accretive assets and we see this at $.50c very soon. Dont forget this was 40c-50c when the market misunderstood their business and slowly cratered the stock to 7c in the March Panic
Hope this helps
RC