A research report issued on Thursday (June 14) from Greg McLeish, an analyst with Mackie Research Capital, maintained a ‘Buy’ rating for Hiku and a share price target of C$3.75.
The analyst is now projecting 2018 revenue for the company with 3,671 kilograms of cannabis sold. For 2019 Mackie Research is estimating 20,139 kilograms sold at an average selling price of C$5.17 per gram.
According to the report the new combined company will hold “pro-forma cash” of nearly C$70 million.
“This strong cash position will allow management to continue with its capital expansion plans, pursue strategic acquisitions, and address potential working capital requirements,” McLeish wrote.