Emblem Corp EMMBF

Valuations

[PruneFace]

I was offered a position in another licenced MJ company looking to raise some cash and go public within 90 days of closing the transaction. "management expects a revenue run rate for 2017 well in excess of $10 MM, and expects to be profitable in 2017." Their special warrant "would imply a proforma enterprise value of approximately $135-160 MM." My largest market position is in a company that forecasts $70 million in 2017 revenues and will also be profitable. It currently has a market cap of $102 million. I think I have enough money tied up in MJ for the time being, especially at current valuations.

[ledrog]

Expectations are forward looking and safe harbour protected, thus there is no assurance that they will be met.  I would take a long hard look at the management team to gauge what experiene they have, if any, in managing profitable businesses.....there are lots of companies jumping into the MJ space right now that are sketchy....former mining companies that never developed a successful mine

[Seraphim1]

Man, you took the thoughts and words right out of my mouth. Obviously not everyone here understands "forward looking" valuations. All we hear is how this stock is overvalued on current sales, earnings etc.Today MJ stocks can't  be measured the same way other stocks and mature sectors are measured. Perhaps the valuations are slightly ahead by current metrics, but this sector

[ledrog]

I hope those thoughts and words are absent all the syntax and spelling errors that mine have...my thoughts run ahead faster than I can type and I don't bother with proofing what I've written. Cheers.....I'm planning on another blog post explaining the reasons why I think a $1+ billion USD valuation (market cap) for Emblem is more than reasonable.  But of course if I'm right

[Seraphim1]

Looking forward to the next blog. Last one was very well written.

[Bella2017]

I agree about Stewart being on board, one of the reasons I will invest in Emblem.

[PruneFace]

....former mining companies that never developed a successful mine are now rebranding themselves as Cannabis plays. Read more at https://www.stockhouse.com/companies/bullboard?symbol=v.emc&postid=25731778#aXCf2J0f8Uw6B4yz.99.......That in itself is a red flag for the sector in general IMO. When everyone is jumping on the bandwagon, it may suggest the space is becoming a flavour of the month

[brentkosta]

This post has been removed in accordance with Community Policy

[ledrog]

Using the tech bubble as a barometer,  market experts who predicted that e-commerce, tech companies and dot.coms would be huge.....they were right.  Imagine if you had bought stocks like Apple, Intel, Amazon, Google Microsoft and some other big winners when they first started trading. Those who did and held on with decent sized investments....they're probably not posting on boards