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Bullboard - Stock Discussion Forum Aphria Inc. APHA

Aphria, which is headquartered in Ontario, produces and sells medicinal and recreational cannabis. The company operates through retail and wholesale channels in Canada and internationally. Aphria is a main distributor of medical cannabis to Germany and has operations in over 10 countries outside of Canada. However, it does not have exposure to the U.S. CBD or THC markets due to the constraints... see more

NDAQ:APHA - Post Discussion

Aphria Inc. > An alternative opinion on market cap....
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Post by hevin on Aug 14, 2020 10:59am

An alternative opinion on market cap....

because market cap is just the # of shares a company has X the current share price, imho it is meaningless (sorry this will upset some), and has no bearing on the real value of a company. There have been many a company with ginormous market caps, which went bankrupt; investors unfortunately forget to look at the fundamentals, the MOST important thing. Look at the massive market caps of some of the other canna companies which we know are failing, taking losses and bleeding money like a major artery has been cut. Meanwhile, Apha has 5 ebitda positive quarters and is increasing market share. We had the most revenue too. Yet our market cap is relatively small. Evidence market cap has nothing to do with value. 
In other words, if market cap had anything to do with value, ours would and should be higher than canopy's.
This doesn't mean I don't respect the other posters!
glta real investors
Comment by DSEEGS on Aug 14, 2020 2:49pm
Cash on Hand also justifies market cap . So if Canopy had 4 billion injected from Constellation Brands that certainly justified a 8 billion market cap . Something to also think about.
Comment by N00bInvesT0R on Aug 14, 2020 8:13pm
Agreed, company with highest market cap in a sector not always the best indeed. If you follow all the publicly traded companies of a sector in the past 10 or 20 years, you will notice that it's not the same company that stays with the highest market cap. It can even go bankrupt like you said. Due diligence important, market cap alone is not an indicator of success. Cannabis sector with ...more  
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