Medipharm Labs Corp T.LABS

I have a 40 page LABS research / valuation report available

[deadlock]

I have been picking away at this report since summer but wanted to see the lawsuit settled and what Q3 financials would look like. While I wish I could have arrived at a higher "current" valuation (12 to 14 cents), it is difficult with the state of the industry and microcap stocks in general - which have been dismal for two years now.

However, after seeing Q3 progress, I remain very confident / bullish for 2024 and if they can achieve break-even next year, I believe 19 to 25 cents is fair value. There are several catalysts that would provide "blue sky" potential, but that is not something a person should bank on.

Even at 12 to 14 cents, that is a solid gain from 7 cents. And 19 to 25 cents seems very realistic and would provide a great 12 to 18 month gain. I am turning my MicroCap.com site into an educational site for penny stock investors so as a shareholder this worked well as I was able to prepare a research report on a very good company that demonstrates what is required to complete "proper" due diligence on a company.

A Forty page report is excessive but Medipharm has a lot of irons in the fire and I enjoyed the "deep dive". I likely went too far down the rabbit hole, but I believe I covered most everything. 

If you are a shareholder, I would encourage you to share the report (or link to the report). Good companies like this struggle to get analyst coverage so it's often up to the shareholders to "tell their story". The more potential investors we have that can understand this story and its potential, the better chance of achieving a "fair valuation" that will help when the time comes for them to consider mergers or acquisitions (saves excess dilution).

You can find the report on my MicroCap website - https://microcap.com/pdf

[rejaj]

Firstly, thank you for taking the time to prepare such a comprehensive analysis of Labs. I had a quick read through the information you have compiled just to get an idea of the style of reporting you are providing, and to better understand the facts you are using to come to your conclusions.  You've definitely got a forensic type rigour with respect to getting all the pertinent details

[mdjbrown]

Thank you Mr Deadlock Quick link to the PDF       https://microcap.com/pdf

[mdjbrown]

https://img1.wsimg.com/blobby/go/342467c3-17f6-418e-b1b7-957767f6c423/LabsPDF%20112023.pdf

[TreborTheGreat]

So what are revenue estimates for Q4 2023?  Q1 24? Lots of helpful market analysis but did not see specific Company level info to suggest they have traction on any of those markets you write about. Thanks.

[rejaj]

Trebor, on Danny's spreadsheet I saw a column called "Estimated 2024 Net Revenue". For Medipharm he has $40 million in revenue anticipated for next year. So breaking it up by quarter he's probably anticipating about $8 - $10m. From my perspective, given what we know, that seems about right. As all of us can see - there are lots of potential avenues for sales growth, but

[subaru1i]

I am impressed, just standing back as an observer, how Danny has better insights than the CEO of LABS.   I'm really impressed, but carry on because no one knows how much market share the generic version of Epidiolex is going to take away from GW nor what the structure of the contract terms and conditions are between Medipharm Labs and their global pharma partner.   If this

[okgonow]

im impressed by the assumptions you are making again who is to say that all generic EPIOLEX will be made with plant derrived CBD the makers of the generic stuff may opt to go with the syntheticaly produced stuff for many different reasons im not going to get into (you can figure out the dis/advantages of either. but here is a little science for you to read: introduction: Cannabidiol (CBD)

[okgonow]

Generally, the demand of medical cannabis is high, knowledge about medical cannabis is random and depends on the sources used [[10], [11], [12]], and the demand of CBD is increasing consequently. The CBD market is more related to health issues, with discrete evidence in efficacy for several disorders such as pain and anxiety [13] as well the idea of optimizing tooth paste [14].

[Olaf123]

I think because it is cheaper. The moves of GW, preparing mass production with a new facility producing natural CBD gives a hint. They must prepare themselves to compete. I would be stupid to invest large sums of money on a more expensive method.

[Olaf123]

But they could be stupid. IDK yet but the new factory will be in the UK. We might have a currency advantage in Canada. We will (I hope) also have the retail and medical market discipline, we are still working on that.  

[alleyesonme]

I've previously consider the risks of synthetic CBD and have discounted such threat because....consumers always opt for "natural" compounds when given choice...sythentic CBD is costly and epidiolex..all trials I've seen are for naturally derived cannabiniods.....I really don't see synthetic ever taking over...the whole beauty of the industry is Natural...no one wants

[unplugged1]

found it took forever!  have a read it's the most comprehensive all inclusive critique on a LABS investment ever told!   thanks again deadlock! https://microcap.com/pdf 

[subaru1]

Effectily, very good report, very honest and looks at both side of the business,  things might get going in 2024, 4qrt of 2023 will mean a lot for the future. 

[unplugged1]

cred:danny deadlock   https://microcap.com/pdf I have a 40 page LABS research / valuation report available  I have been picking away at this report since summer but wanted to see the lawsuit settled and what Q3 financials would look like. While I wish I could have arrived at a higher "current" valuation (12 to 14 cents), it is difficult with the state of the industry

[mdjbrown]

Thank you unplugged. Eyes are starting to look our way https://www.theglobeandmail.com/investing/markets/stocks/LABS-T/pressreleases/22679109/medipharm-labs-top-10-undervalued-healthcare-sector-stocks-on-tsx-labs/

[rejaj]

Thanks for the link mdjbrown. Very interesting that the article is in the Globe - and that it is AI Generated (as noted near the top of the article). It could very well be that this stock requires such completely objective, black and white, hard facts only analysis that machine thinking can offer to highlight what we already all see here.  Hitting the noted target would be a nice start