RE:RE:Canopy needs to right size their businessI do not hold any CGC at the moment - I am waiting to see if single digits (CAD) comes around and maybe I will throw a dart as I do believe there is one more FOMO drive in the works (America Fed legalization) but that won't solve the hot mess these guys are.
However the acquistions made of late will be/are integral to them being able to one day get to profit. Think about there revs - without Supreme and Ace they would have been done 34% b2b yoy. Supreme sales have masked that people are not interested in Tweed products. Supreme was an all stock deal - Not one penny spent. Dilution, yes but necessary dilution. Was a great move by CGC horrible move by Supreme.
THEY NEED MORE OF THIS or else they better cut more of their existing operations.
Starsearcher80 wrote: I agree with you completely Colorado. But I see no indication that Klein is either up to the task, or able to execute on the task. And the best he has to say is "no guidance"??? The problem I think, is that Klein is at heart, an accountant. Not a businessman. Not experienced in what the industry is looking for. Not a visionary. Just a bean-counter. Seriously, I thought putting him in was a massive mistake at the time, and I think it has proven to be a even more massive mistake now. The company is drowning, and I'm seeing either "deer-in-the-headlights" manouvers, and/or trying to spend their way out of their mess via aquisitions, with money that they should NOT be spending. People get excited about these acquisitions. Really, all they are is an acknowledgement that they screwed up in the first place, and that the problem continues. But instead of "getting things right" in their own house, they're continuing on a Bruce style spending spree that does NOT show signs of traction. If anything, it is only adding to the speed of the drowning, hence the most recent numbers.
I'll say it again.
NORTEL Coloradobuff wrote: Canopy needs to be smarter with their cash. They are not hitting their 250 million target without the USA market opening. They can't count on that. They need to kick their bad products to the curb, which they are now doing. They need a better grower to make sure their bud is high quality. They also lost 7 million on storz Bickel sales. Between that and thr 34% reduction b2b cannabis, if they fix those will be better off.