Aleafia Health Inc ALEAF

Monday Morning Thoughts

[Toweringmars]

With UNIFOR under our belt, along with a handfull of international medical supply deals, its looking like we may eventually emerge as one of the medicinal superpowers.

I've said it before, but its quite clear we've taken that route over the adult use route, and its starting to come to fruition. The margins are that much better, the moat around the business is that much larger, and based on our patient count we're starting to see some real growth.

When you grow at one of the (if not THE) lowest costs in the market, and sell to the higher end of the margin spectrum, then its a matter of time before you emerge victorious. I'm sure we're bound to see more consolidation across the sector as more and more companies find that they simply cant carve out a niche or any sort of market share. As this happens I think you'll start to see more mothballing of non-core facilities. Mix that with the losers and we're going to see a pile of market share open up, largely on the adult use side. 

Apart from becoming one of the mainstays in the medicinal market we seem to be pricing our products to take a chunk out of the adult use side as well. Premium flower, ultra low cost vapes, high margin kin slips, high dose oils, and soon to come edibles (likely to be aggressively priced like our vapes) its a matter of time before Aleafia is one of the most saught brands.

I mean, everything done in house, our extraction game is real strong, especially considering we grow outdoor flower at 0.10/g. I now see why they kept refering to Paris as our crown jewel. This combination of assets is a game changer.

Onwards and upwards!! Dasher and Blitzson!