Bedrocan Cannabis Corp. V.BED

Pharmaceutical Focus is a big plus for Bedrocan

[ChupacabraBueno]

as there is no legal recreational market in Canada. And the prospects of a legal rec market are so far in the future that investors must heavily discount the value of any foray into that realm. You can't invest in a publicly traded company that deals in an illegal product. So while other MMJ company stocks have vacillated wildly over the last 3 months, BED has been relatively steady & outperformed them (though not as much as we'd like) Health Canada projects hundreds of thousands of legal medicinal users within a few years. No company needs or can expect to have the whole market to itself. And it isn't all about being the low cost producer. Plenty of people are happy to pay a premium for quality or there would not be a marked for VSOP brandy, single malt scotch and premium gasoline. But it may be just as well that BED is sizing it's first domestic facility at a modest 4000Kg/year rather than risk overextending themselves. That 4000Kg/year could service as many as 8000 customers, and should BED actually get near capacity it would then be worth several dollars per share - assuming only a few million new shares are issued. -GLTA

[MagicBeans]

This post has been removed in accordance with Community Policy

[ChupacabraBueno]

We're in general agreement. The $22,800,000 in EBITDA you quote at capacity with 75 million shares (just under 70 million outstanding today) and a PE of just 10 gives almost exactly $3 per share. Historically both Liberals and Conservatives have followed the lead of the Americans. Regardless of what Mr. Trudeau may say, and the exemplar of the Dutch, I wouldn't count on a legal rec market

[MagicBeans]

This post has been removed in accordance with Community Policy