GREY:YOURF - Post by User
Post by
nozzpackon Dec 11, 2020 10:20am
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Post# 32087759
Hollister Compared to Curaleaf
Hollister Compared to CuraleafCURA ( $15.5 market cap of $10.5 billion ) is considered the premier cannabis extract company in the US.
Its current annual sales rate is $700 million and like all concentrate brands is growing in leaps and bounds.
That is, it is trading at about 15 times irs annual extract sales.
Hollister will exit 2020 at an annuliazed revenue rate in excess of $60 million.
Its Venom extracts holds over 25 % of the Arizona and the Californai market is 7 times larger.
Venom will begin sales in California in Q1 of 2021.
Along with new products and expanded production facilities, Venom is a sure bet to exit 2021 with annual revenus well above $100 m.
But, taking the 2020 exit rate of $60 m in annual sales, HOLL market cap should be $60 m times 15 = $900 m
Divide by 2 to be conservative and the fair valueof HOLL on current revenues would be about $450 m or about $1.70.