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Originally Posted by SMD
Not really sure what your point is. People who do not believe that the current valuations make sense =/= being against legalization. Hence, the strawman argument that you are knocking the stuffings out of.
I would think given your prior prognostications (APH to 80-90 based on your “conservative” multiples) a smidge of modesty would be in order. Reminds me of the old adage - frequently wrong but never in doubt.
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Actually, I’m not exactly sure what YOUR point is. In Early December, I recommended that people take a look at Aphria when it was trading at $10.47, and within a month it traded up to $19.80, before the entire sector corrected when the vote and subsequent launch of legalization was delayed.
I still believe Aphria will trade to $80 at some point once earnings are normalized at full capacity and when edibles are finally allowed, likely in 2020. Personally, I had over $2.3MM invested in Aphria alone up to the cannabis correction starting in late-February. So again, what is your point, other than being a non-constructive extremely negative Monday morning quarterback. I put my money where my mouth is and have taken some high six figure profits at certain points, also taken some six figure losses at other points, and currently hold 100,000 shares, and am close to investing another $800k in the company, possibly as soon as next week. How about yourself? Do you actually even invest in the space or only sell “media” to black market growers.
Kind of feels like you are rooting more for the thugs running the criminal black market than for regulated cannabis. Is that your primary customer base as opposed to legal grow ops? Personally, I believe regulated cannabis will bring the true potential of the plant out of the shadows, allow for safer lab tested consistency, garner ground-breaking progress towards researching its use in a currently unfathomable amount of medical, recreational, nutraceutical, and cosmetic products.
BTW...Nobody said Aphria is going straight to $80 without lots of fits and starts, as the entire industry grows, matures, expands into new and previously unimagined ways. The global shift towards legalization is proceeding at an exponential rate daily/weekly/monthly. I’m looking way down the road at far greater things for the company and industry. With that said, I think trading a volatile sector is probably a more prudent strategy than buying and holding the entire time, unless you are only investing small dollar amounts.
If I recall, if I had listened to your initial negativity, I would never have booked some monumental profits as an investor in Aphria, Aurora, and Canopy. I think I’ll stick with my own investment thesis. Regarding valuations, they are all across the board, and most smaller companies ARE overvalued and will likely be out of business by the end of 2019, especially if prices do drop. Even some larger companies are not what they appear to be (Cronos for one), but the cream will ultimately rise to the top, and it is hard to envision a world where Canopy, Aphria, and Aurora are not leading the pack.