RE:RE:RE:2.60 target by Beacon From the Beacon article:
Cooper is projecting VIBE to generate 2021 revenue and adjusted EBITDA of $41.1 million and $11.4 million, respectively, and 2022 revenue and EBITDA of $50.4 million and $17.2 million, respectively. From Vibe's latest SEDAR filing:
Positive EBITDA and Adjusted EBITDA. The Company recorded EBITDA of $965,617 and $3,360,561 and Adjusted EBITDA of $842,364 and $2,965,075 for the respective three and twelve month periods ended December 31, 2020; So, Cooper is suggesting that VIBE will grow EBITDA from one quarter of $965,617 (which is $3,862,468 annualized) to $11.4M annually over the next 12 months (and then another 50% in 2022)
I would guess it's possible to get to those 2021 numbers by building or acquiring more retail locations. But can they do it without additional debt, or dilution which will be a drag on share price? The answer is perhaps - with $13,000,000 in the bank that could potentially lead to a significant increase in retail operations, but who knows what all they need that money for?
In my experience Beacon over estimates practically everything. I could see $8,000,000 in 2021 EBITDA. I remain unconvinced it happens without further dilution though (either options / incentives / acquistitions, etc.)
I'm too much of a pessimist without further granularity on how they'll get to $2.60.
lscfa wrote: