RE:RE:Raymond James: Underperform rating and $2.00 target for VLNS Raymond James underestimated PTQ too. When the stock price blew through their target price they raised the target price....
We update our valuation methodology to an analysis of EV/EBITDA (replacing EV/Revenue). With this shift, we raise our target price to $3.00 and maintain our Outperform rating,” Sarugaser wrote.
KelownaClown wrote: Sounds like sour grapes to me, like they wanted to get a piece of the action on the bought deal and were excluded from it.
I mean seriously, they just admitted that they gave a public estimate / rating of the company's future performance that was NOT 100% based on objective criteria, not only based on their proprietary research and intellectual property, but was at least partially based on something else like the analyst's hunch, his intuition, an instinct, maybe a pre-existing relationship with someone on the exec team? So although he had a doubt in the back of him mind, instead of providing a prudent, conservative rating, he gave them a free ride like throwing a dog a bone??
Wow, if I was a Raymond James customer and had followed their guidance, and lost money, and NOW learn that they had over-estimated the company's peformance because they gave them "the benefit of a doubt", I'd be calling my lawyer.
Ochung230 wrote: https://www.theglobeandmail.com/investing/markets/inside-the-market/article-tuesdays-analyst-upgrades-and-downgrades-145/
January 26, 2021
After announcing a plan to liquidate its cannabis oil inventories as well as the acquisition of LYF Food Technologies and a $40-million equity raise, Raymond James analyst Rahul Sarugaser downgraded The Valens Co. (VLNS-T) to “underperform” from “market perform” with a $2 target, down from $3.50 and below the $3.96 average.
“Throughout our coverage of The Valens Company, we have consistently given this company’s management team the benefit of the doubt,” he said. “With this cascade of recent announcements however, it is evident this rosy outlook was misplaced, so we are resetting our opinion on VLNS.”