Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

Buzz on the Bullboards: Big Week for Cannabis


Omri Wallach Omri Wallach, Stockhouse
1 Comment| October 17, 2019

{{labelSign}}  Favorites
{{errorMessage}}

A crazy week for the markets made sure that thanksgiving dinners in Canada this past weekend weren’t lacking in conversation topics! From swings in the cannabis sector to the ongoing federal election and a potential thaw in the US-China trade war, investors had plenty to talk about.

So it’s no surprise that the Stockhouse Bullboards were full of discussions on the biggest market movers. Even with a turkey dinner and gravy to distract them, Stockhouse investors and readers had to visit the Bullboards to get more information on their investments.

For this week’s review of the Bullboards, we dive into the hot-again cannabis sector, a continued battle at the top of the mining Bullboards, and a clear favorite in healthcare.



After a rough Thursday for the cannabis sector, all eyes shifted to Aphria Inc. (TSX:APHA, Forum), and the Canadian LP delivered. APHA was due to release quarterly results that were being used to gauge the health of the sector, and the Bullboards heavily focused on the company leading up to the release on Tuesday.



Keep in mind, the traffic chart is from before Aphria officially announced their fiscal results, which exceeded expectations and lifted the cannabis sector. Shares of APHA had dropped to $6.19 on Oct. 10 before bouncing back up to $7.17 following the news on Oct. 15.


What the "Buzz"

Our Bullboards have up to 2 Million pageviews a day. Get the inside scoop on conversations around the most significant trends and stock appreciations in our weekly wrap up.

Get "Buzz on the Bullboards" delivered to your inbox every Thursday!

Buzz on the Bullboards | Sign Up Here



Though the market seemed to think it had climbed a bit too high and overcorrected the following day, analysts expect the positive quarter to help Aphria’s share price recover. The discussion on the APHA Bullboard, however, was one of confusion. When Stockhouse Member Alloparc compared the company to its competitors, they couldn’t understand the interest in potential short sellers targeting APHA.

“Doing some quick and dirty math based off of the last financials, APHA shares have a Net Asset value of about $6.47/share ($3.82/share if you remove goodwill).

Just blows my mind that shorts continue to push APHA down to these levels. Does Zamporos really believe that APHA has no value beyond what they phyiscally hold? Even if you remove goodwill, how can anyone think there's enough left on the bone to make money shorting with so many others out there with more potential downside (looking at you ACB & CGC)? I'm not even slamming the other companies, but the balance sheets are so much more inflated...”
(Po?st: $6.47/share Net Book)



Compared to the cannabis sector which had one clear-cut leader, the metals and mining Bullboards are as tightly contested as ever. Less than 400 views separated first-place Ucore Rare Metals Inc. (TSX-V:UCU, Forum) and runner-up Great Bear Resources Ltd. (TSX-V:GBR, Forum), two companies that have staked their claim to the Top-6 most-viewed chart in recent weeks. In the end, however, UCU’s eventful week put it on top.



The heavy REE company had two key news releases over the past week, first winning an appeal court decision on Oct. 9 in an ongoing legal battle, and then upgrading its mineral resource with co-products on Oct. 15. Still, UCU shares slid from $0.145 on Oct. 8 to $0.105 on Oct. 15.

Over on the UCU Bullboard, everyone was trying to figure out the lower price, and especially the higher volume of trading. Many pointed fingers at an ongoing Rights Offering, but for users like Stockhouse Member my69z, at the end of the day, the company has everything it needs.

“This is only modeled for the 11 year initial mine, ‘select’ non-REE metals that easily offset any REE price fluctuations. All 15 REE's, Scandium Bokan PLS, 6 new USG-CML metals, Bokan open all-around; justifies other additional steps we've been waiting for. Not to mention the 99% concentrates in reserve… Other ‘deposits’ are developing flow sheets based on only being a typical mine, with a tech flow sheet that is only for their deposits... Not Ucore. Bokan is today; 5 DENTY metals & so far 6 high value CML metals & Ken Collision said, ’We haven't scratched a tenth of the resource...’



Our final highlight this week is at the top of the healthcare Bullboards, where Theratechnologies Inc. (TSX:TH, Forum) stands tall. The pharmaceutical company has been on the Top-6 for the past few months and seems to have cemented its position as a Stockhouse favorite. Unfortunately it didn’t have the best of weeks, with TH shares going from $5.52 on Oct. 7 to $4.85 on Oct. 15.



The culprit? On Oct. 8, the company released its latest financial results showing a net loss in operations. The timing of the drop was unfortunate, as the company announced on Oct. 10 that it had started listing common shares on the NASDAQ.

But where lower prices are unfortunate for some, they are very fortunate for others, and the TH Bullboard was full of users re-evaluating the company at it’s new position. Even following a poor quarter, positive results from the company’s drugs have many looking to FDA approval, and Stockhouse Member palinc2000 believing that the results, and politics, will play a big role.

“TH's biggest ally might be President Trump who many times has sought to change how the FDA vets new drugs by speeding up the slow and burdensome process. I agree with SPCEO that reason should prevail, especially as BFW has stated many times the first priority is to do no harm!

Egrifa is safe, but I am not predicting any outcome. The odds of favorable FDA response are between 0 % and 100%...
(Po?st: RE:Two items stick out from a re-read of it all)

Last week, we finished our highlight on gold prices by asking readers to chime in one last time on where the precious metal is headed. After an initial overwhelmingly positive response, a few responded with expectations of a slight decrease. The overall sentiment, however, remains largely positive:



For our new Investor Pulse Poll, we want to jump back to the cannabis sector and the top story on Aphria. Some see the company’s results as positive indications for the sector as a whole, and a whole new market of products is about to open in Canada. We want to know which LP will be the next to post a profit, so head to the homepage or click the image below to cast your vote.


(Click image to go to the poll)

We’re only able to capture small bits of the large dialogue here at Stockhouse, so don’t forget to come back to the Bullboards throughout the week to see how the conversations change. For previous editions of Buzz on the Bullboards: click here.


Get "Buzz on the Bullboards" delivered to your inbox every Thursday!

Buzz on the Bullboards | Sign Up Here




{{labelSign}}  Favorites
{{errorMessage}}