Post by
Toweringmars on Oct 08, 2021 9:42am
One thing I've noticed
It seems like the US MSO's are trading at a much higher multiple than their Canadian peers. It could be said that the prospects are brighter, or that some of their teir 1 operators are generating positive EBITDA. But certainly both of those are attributable to having a larger more underserved market. More states are opening up both medically and recreationally, and it would seem like legalization at the federal level is inevitable. I would almost bet the process starts before the new year, considering the SAFE act is on its way through the process.
Now sure, having a dance partner for the big event is nice, but not something privvy to the small and mid teir Canadian players, we simply arent in a position to joust with the big boys piggy banks.
But...
With legalization comes the export/import market.
Surely the new landscape in the US is not going to showcase its current form, which is (due to lack of legalization on the federal level) to have growing operations in every state you sell, as it cannot cross state lines. Will the new and current operators want ten-twenty different small to mid sized grow sites across the country?? Doubt it. And what becomes of the current states that dont allow sales and have no infrastructure built?? Operators are having a hard time keeping the shelves stocked in some of the more prominent states as it is. I remember Liberty Health (pre-buyout) couldnt supply enough product to keep the shelves stocked in Florida, and they had some decent sized facilities there, I want to say like 300,000sf.
This is going to open up the market in a big way, and even provide some of that needed market share for the 'ankle-biters' of the Canadian market. Certainly those with operations scaled to fuel exports. And if im not mistaken, our outdoor operations are still one of THE lowest cost productions in North America. We'd be able to compete with their flower/2.0 offerings even with the cost of export.
The market is entierly oversold right now, and I dont think thats by accident.
The spring is being loaded. Shares are being collected by someone... And we're prepping for another run, only this time the gains will be more IMO than the Feb jump.
Pretty good timing for a company ramping up sales QoQ with a monster harvest.
Comment by
ShakngMyHead00 on Oct 08, 2021 10:43am
Gooo read. Touched the plants myself. Was there for the recent invite. Plants are huge, healthy, happy.
Comment by
Yojurr on Oct 08, 2021 11:09am
Don't be surprised if they are not already shipping (3rd party eugmp certified). They will easily double in kg's from last year. 70,000kgs minimum. The real $$$ is the greenhouse product that's going to end up sold in Germany.
Comment by
KeyserShose on Oct 10, 2021 9:04pm
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KeyserShose on Oct 10, 2021 9:20pm
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Comment by
IMB on Oct 08, 2021 12:49pm
Thank you for your reply, but I think you are going to be disappointed. I saw that crop I believe closer to 50 to 60 but high grade THC. The budtenders really liked the pineapple nuken it had a lovely smell to it. I could see it selling out quickly.
Comment by
rad10 on Oct 08, 2021 12:54pm
Indeed they did IMB. It was great to meet with the "post modern real ale" types. So much facial hair! I like the name bud tenders.
Comment by
GroceryGateway on Oct 08, 2021 1:00pm
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Comment by
rad10 on Oct 08, 2021 1:09pm
It's absolutely hilarious - The effortless sophistication, piercing intellect and acumen of the pot savant...... I almost burst out laughing but didn't want to get busted. Completely misjudged Ivy League material. The ear spacers are actually cultural appropriation - massai I believe, and white boys with dreads are always suspect.
Comment by
GroceryGateway on Oct 08, 2021 1:32pm
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Comment by
Scumraiff on Oct 08, 2021 1:43pm
That right there is "comedy gold."
Comment by
Toweringmars on Oct 08, 2021 1:35pm
Rad, we're you out scouting for fluffers for your bukkake modelling career?
Comment by
KeyserShose on Oct 10, 2021 9:37pm
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KeyserShose on Oct 10, 2021 9:06pm
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KeyserShose on Oct 10, 2021 9:20pm
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