Great analysis from Chris on Yahoo board!I am using a model of Expected Value (EV) - What has the greatest expected value and certainty. I found two companies that I love.
1. Empower Clinics (CBDT) Why?
a. They have the best CEO I have ever listened to. Guess what- he is Canadian. He also was CEO of General Electric (GE)
before he became CEO of CBDT. Steve McAuley is a winner and six sigma.
b. Long term shareholders are extremely loyal. Ed is not selling; Kim is not selling; My father is not selling nor am I. Ed has told me perhaps @ $10. the only way I am selling is if the stochaistics tell me and this would only be temporary (or if Steve was to retire); then I would sell. Long shareholders are not going to sell. Demand is going to continue to rise for the shares and the supply will not be there. What happens to a product where demand increases and supply is rather limited. Economics 101 happens. The price goes up long term.
c. Comparison of companies. WELL.TO has $40 million in sales and a $1.4 B market cap. Steve is being realistic when he says that we could be at $100 M in sales in the near future (1-2 years) or less. That would imply a $3.5 B market cap (That would imply a share price of 15x$1.20 = $18. Like all good CEOs, they underpromise and over deliver. This will be higher in my opinion
d. They have three lines of revenues. The testing. (Room for $54 M - 12,000 tests / day x 365 days x $150 / test) Clinics (Room for $40 M - 13 clinics x $3 M / clinic ) Hemp products (Current production of 6,000 kg x 1,000 g/kg x $12/gram) $72 M
e. Insider Buy In - 9.5% (Steve owns 7 M shares)
f. Constant press releases and CEO doing multiple interviews. Steve is interviewed weekly and three press releases per month. News = Share Price ^ Up.
g. A great product / service. The Kai test is the only one that I am aware of that detects the variants of COVID (UK version and South African virus. The service is we have one stop shop for the Clinics and there are partnerships involved. We are teaming up with other companies to piggy back off one another. Therefore I can go to the chiropracter then see a family physician and pick up my drugs.
h. The CEO has many connections. He was a CEO in the UK. (100 million people) and his business contacts. The company is listed on the Frankfurt Exchange. Therefore, Europe is in the plans. Empower has a US subsidiary - Kai Labs. (smart move) Americans buy US more than Canadians buy Canadian. The US and European market is the opportunity for real growth.
i. Steve consistently mentions uplisting currently and uplisting to the NASDAQ. This will be when we hit the big time. NASDAQ means exposure to the international community and the US market investor. NASDAQ is not just American. There are international investors there.
j. All my numbers above do not include future announcements like 6 months from now. There will be many more clinics opening up this year. There will be contracts signed with major players. Steve is talking about airports (We have a bid in for DFW (Dallas Fort Worth). I did not know this but it is the 2nd busiest airport in the world for annual passengers. (65 million annual passengers). There will be three companies who will win the bid. Our CEO is talking about airlines, sports arenas, cruise ships and others.
k. The message boards (social media) are massive about such a small company. Many, many people are talking about this small Canadian company and this will only grow once we are exposed to the US market.
l. There are many opportunities in the pipeline. Wait and see. Announcements are coming!
Please do not sell your holdings but add to them. CBDT (Venture Exchange) EMPWR (on the OTC) There are advantages and disadvantages to each. CBDT is much simpler to do. You push a button and buy/sell shares. EMPWR is much more complicated. Call your discount broker and wait, wait, wait. It will get done but you could waste two hours of your life. However, I believe the advantage of making money on the currency as I think $US will beat the $Cdn and thus more money in my pocket. Currently, I have more CBDT than EMPWR for the simplicity. Probably, what I should have is more EMPWR.
I am not going to make a prediction on this stock because I will jinx it. I have provided you another forum that I like to do to rate a stock. Document why you like a stock. The Excel spreadsheet is another way that I love from Ed.
Will we have dips? Yes we will and we saw it this week. Markets were down and CBDT was down even way more. I noticed many small cap stocks like CBDT were way down much more (5x more)