Recent Comment on Reddit, Getting a Lot of ResponsesSomeone, not me, made this post on Reddit:
DD- Valens is a MUCH better weed stock fundamentally than SunDial you retards. Highly undervalued. Epic growth, entering Australia, profitable, strong balance sheet, tons of cash
VLNCF : I asked people yesterday to explain why SunDial is the move given their horrific financials and performance. The answer was "we smoke weed and its a momentum play". Ok, but why not go with a company that has even more future growth ahead, already profitable, fortress balance sheet, cash out the @ss, and great marketing ? When you make moves on an undervalued company, you get a huge margin of safety compared to being randomly retarded.
Valens is focused on oil based products and extraction. They do the extraction for all your fav companies including Tilray and Sundial. As those companies grow, they use Valens more for extraction. Valens benefits from everyone's rise as their premier oil extractor.
(Valens) (VLNS on TSX) VLNCF's revenue is 98M with market cap of 220M; OGI’s revenue is 80M with market cap of 1.3B; SNDL’s revenue is 97M with market cap of 4.4B. Thus, VLNCF’s SP should be between $10 and $35.
How does that make sense?
105 Million is short term assets vs 22 M in short term liabilities and only 30 mill in long term. Clearly got cash. In fact too much cash since investors were upset recently with the company raising more money. They believe it was unnecessary and the stock price dropped. I believe they did it to acquire a key partner. When this announcement hits, it will all make sense.
Valens. 88% yearly earnings growth according to 8 analysts. Current price 2.10$ cad, analysts target is 3.61. Recently fell down because they raised more money they didnt need.
Simply Wall St rates them 91% undervalued with a target price of 27.40$. That seems pretty excessive to me though. My target price is 6-10$, which would make it only a 1 billion $ market cap.
They are entering the Australian market which is ripe. Read about their plans in their presentation: https://thevalenscompany.com/investors/
Insider buying: Last 6 months, the ceo, directors and board of directors made 6 purchases, and 0 sales.
The stock price is currently at a low so you get a huge margin of safety since you are not buying hype, but are buying undervalued. If there were options on this baby I will get them right away. Since there is not, I got stock.