Publicly-traded Cannabis Industry Companies

[superdog]

Originally Posted by cornerstore

You are correct, however it is the whole picture that must be considered. This sector is about growing weeds not a lot of barriers to entry or proprietary rights. Sector also has competition with an existing underground market thriving for decades, unlike those you mentioned

Thank you for all of your comments. I am learning a lot from them. And I appreciate you expanding on what your thoughts are. It helps greatly.

[Brenngun]

Originally Posted by SMD

Barriers to entry.

Originally Posted by cornerstore

You are correct, however it is the whole picture that must be considered. This sector is about growing weeds not a lot of barriers to entry or proprietary rights. Sector also has competition with an existing underground market thriving for decades, unlike those you mentioned

Wouldn't a requirement for a federal license be considered a barrier to entry. You can argue that the government is handing them out too easily but they have a vested interest in making sure the industry doesn't become top heavy on the supply side. Taxes only become realized when inventory moves.

[mcorliss]

Originally Posted by Mosco

https://midasletter.com/2018/04/5-qu...ijuana-stocks/

Fairly certain the anti-legal cannabis lobby has some pretty invested players in the alcohol, tobacco, pharma industries, black market millionaires, plus the anti-weed conservatives.

This will be a brutal tug of war for investor sentiment until the stocks finally explode to the upside again. That will flush out the shorts pretty quickly once they are hemorrhaging money again like Nov-Jan.

Only way to make that happen is to keep buying shares until next round of positive catalysts occur (WEED NASDAQ listing, earnings, further supply agreements confirmed, and June 7th Senate vote). Keep the faith.

#weedstrong

[Mosco]

Originally Posted by mcorliss

Fairly certain the anti-legal cannabis lobby has some pretty invested players in the alcohol, tobacco, pharma industries, black market millionaires, plus the anti-weed conservatives.

This will be a brutal tug of war for investor sentiment until the stocks finally explode to the upside again. That will flush out the shorts pretty quickly once they are hemorrhaging money again like Nov-Jan.

Only way to make that happen is to keep buying shares until next round of positive catalysts occur (WEED NASDAQ listing, earnings, further supply agreements confirmed, and June 7th Senate vote). Keep the faith.

#weedstrong

What bothers me primarily is how much influence the shorters have on SP in this sector. And i have a feeling they will have another run at it pretty soon.

[SMD]

Originally Posted by Brenngun

Wouldn't a requirement for a federal license be considered a barrier to entry. You can argue that the government is handing them out too easily but they have a vested interest in making sure the industry doesn't become top heavy on the supply side. Taxes only become realized when inventory moves.

Similar to building a viable competitor to amazon or Spotify? No.

[cornerstore]

[QUOTE=Brenngun;8456932]Wouldn't a requirement for a federal license be considered a barrier to entry. You can argue that the government is handing them out too easily but they have a vested interest in making sure the industry doesn't become top heavy on the supply side. Taxes only become realized when inventory moves. :smokin
http://business.financialpost.com/cannabis

[cornerstore]

Originally Posted by superdog

Thank you for all of your comments. I am learning a lot from them. And I appreciate you expanding on what your thoughts are. It helps greatly.

Trading profits can be made if one stays nimble and one does not get emotionally sidetracked. Long term holds at this stage are like throwing a dart at a board in an industry trying to find winners vs short term story plays.

https://www.google.ca/amp/s/www.forb...he-market/amp/

[superdog]

Originally Posted by SMD

Similar to building a viable competitor to amazon or Spotify? No.

Amazon is ultimately a distribution company.

They have many thousands of competitors. Every 3PL in the country is their competition. Among many other distribution companies.

Amazon did, and does, it better. Bezos had a vision and spent billions on conveyance, sortation, and technology. He perfected the shipping process and created a great service model.

Can’t comment on Spotify, but your point is likely valid there.

Either way, you clearly do have valid points. And these companies are facing many challenges. I’m sure that based on the metrics, you are correct. I’d wager though, that your points would have been valid for many growing companies that eventually made it. I’m sure that many failed too.

If the market grows, which it can’t not, some companies will make it big.

Seems like the ones spoken of in this thread are at the top of the pack. Sure, there’s a lot of competition. And a relatively easy barrier of entry. But the ones with a larger market share and a large head start will have a clear advantage.

Just my speculation of course. I wavered a moment with some of the points you guys have made, but just for a moment.

[cornerstore]

[QUOTE=Mosco;8457351]What bothers me primarily is how much influence the shorters have on SP in this sector. And i have a feeling they will have another run at it pretty soon.[/QUOTE.

You are absolutely correct shorters trying to cover propelled the oversized gains. Many have covered and that leaves a smaller buyer pool. Longs do not move markets to distorted gains only those caught short who panic move mountains.

[cornerstore]

Originally Posted by superdog

Amazon is ultimately a distribution company.

They have many thousands of competitors. Every 3PL in the country is their competition. Among many other distribution companies.

Amazon did, and does, it better. Bezos had a vision and spent billions on conveyance, sortation, and technology. He perfected the shipping process and created a great service model.

Can’t comment on Spotify, but your point is likely valid there.

Either way, you clearly do have valid points. And these companies are facing many challenges. I’m sure that based on the metrics, you are correct. I’d wager though, that your points would have been valid for many growing companies that eventually made it. I’m sure that many failed too.

If the market grows, which it can’t not, some companies will make it big.

Seems like the ones spoken of in this thread are at the top of the pack. Sure, there’s a lot of competition. And a relatively easy barrier of entry. But the ones with a larger market share and a large head start will have a clear advantage.

Just my speculation of course. I wavered a moment with some of the points you guys have made, but just for a moment.

Amazon was a Turkey until cloud storage and digital content saved their bacon. They still lose on traditional products. If tech shifts they may be in trouble again.

[superdog]

Originally Posted by cornerstore

Amazon was a Turkey until cloud storage and digital content saved their bacon. They still lose on traditional products. If tech shifts they may be in trouble again.

Well, they’ve become a data mining company to the likes of Facebook. And they sell.

They have completely dominated the entire ecommerce market.

[cornerstore]

Originally Posted by superdog

Thank you for all of your comments. I am learning a lot from them. And I appreciate you expanding on what your thoughts are. It helps greatly.

I appreciate your comments. I have no skin in this game. Just trying to broaden the conversation. When I was trading we had a saying “denial is not a river in Egypt” . I would not presume to tell anyone how to invest but seen this movie many times before. When any sector play retraces 66% of gains it is time to look under the hood. Good hunting

[superdog]

Originally Posted by cornerstore

I appreciate your comments. I have no skin in this game. Just trying to broaden the conversation. When I was trading we had a saying “denial is not a river in Egypt” . I would not presume to tell anyone how to invest but seen this movie many times before. When any sector play retraces 66% of gains it is time to look under the hood. Good hunting

Yeah man. What you say makes a lot of sense in certain ways. And I’m quite certain you know significantly more than I do. I’m certain you have a lot more experience too.

I’m just hoping you are wrong. Lmao.

[cornerstore]

Originally Posted by superdog

Well, they’ve become a data mining company to the likes of Facebook. And they sell.

They have completely dominated the entire ecommerce market.

They do dominate the sector and mine data but do not sell data to third parties.

“Amazon isn't in the business of selling your data away to another company. Like Google, they are more concerned with using it to build out a marketing profile of you.#
https://www.androidcentral.com/amazo...-amazon-get-me

[cornerstore]

Originally Posted by superdog

Yeah man. What you say makes a lot of sense in certain ways. And I’m quite certain you know significantly more than I do. I’m certain you have a lot more experience too.

I’m just hoping you are wrong. Lmao.

Likely I am wrong , but one piece of advice, don’t get married to any one stock, divorce rates are 50% in this day and age.

[breitlings]

edit

[breitlings]

Originally Posted by cornerstore

Amazon was a Turkey until cloud storage and digital content saved their bacon. They still lose on traditional products. If tech shifts they may be in trouble again.

imho that is not correct. they just reinvested earnings at a rate people were not used to which lowers ni and taxes. It’s somewhat surprising how many people don’t get Amazon and were dismissing them because of their lack of profits.

even 10 years ago it was clear to me what they were doing, this isn’t a monday morning qb statement.

[Brenngun]

Originally Posted by SMD

Similar to building a viable competitor to amazon or Spotify? No.

But not as simple as just registering an LLC and start growing. Just saying.

[SMD]

Originally Posted by Brenngun

But not as simple as just registering an LLC and start growing. Just saying.

Never said it was.

[mcorliss]

Originally Posted by Brenngun

But not as simple as just registering an LLC and start growing. Just saying.

Nope, but apparently, it is as simple as not registering to gain a license, growing in shoddy unsanitary basement-like conditions, and then criminally offloading product on school grounds.

Basically, those are the true vocal critics of legalization and the actual competition to lab-tested, regulated, and taxed big cannabis. I’ll stick with placing my investment dollars in the latter, not the former, thank you very much.

[superdog]

Originally Posted by mcorliss

Nope, but apparently, it is as simple as not registering to gain a license, growing in shoddy unsanitary basement-like conditions, and then criminally offloading product on school grounds.

Basically, those are the true vocal critics of legalization and the actual competition to lab-tested, regulated, and taxed big cannabis. I’ll stick with placing my investment dollars in the latter, not the former, thank you very much.

point made.

but to be fair, the illegal growers and sellers tend to have a lot more options than selling at a school ground. that takes it to a whole new level and adds a bit of hyperbole.

there are endless customers for this product that are not on a school ground.

just sayin...

[cornerstore]

Originally Posted by mcorliss

Nope, but apparently, it is as simple as not registering to gain a license, growing in shoddy unsanitary basement-like conditions, and then criminally offloading product on school grounds.

Basically, those are the true vocal critics of legalization and the actual competition to lab-tested, regulated, and taxed big cannabis. I’ll stick with placing my investment dollars in the latter, not the former, thank you very much.

Obviously you have never seen a grow op. Sanitation is critical and the only bad pot to hit the streets has come from some of these companies being discussed here, as they are cutting corners. As to selling in school grounds that’s absurd. When product goes mainstream after legalization and the market is awash in pot that’s when the school kids will be getting exploited. I have been putting my two cents in as some of the postings here are starting to sound like pump and dump boiler room comments. Hate to see good people sucked in on hype and fear of losing out.
Edit: Perhaps you should qualify your posts by mentioning your profile states you are in the private equity field. Just to keep it all transparent. As I said previously I have no skin in the game, but I do have more than a decade of penny stock trading experience before I originally retired at age 46.

[mcorliss]

Originally Posted by cornerstore

Obviously you have never seen a grow op. Sanitation is critical and the only bad pot to hit the streets has come from some of these companies being discussed here, as they are cutting corners. As to selling in school grounds that’s absurd. When product goes mainstream after legalization and the market is awash in pot that’s when the school kids will be getting exploited. I have been putting my two cents in as some of the postings here are starting to sound like pump and dump boiler room comments. Hate to see good people sucked in on hype and fear of losing out.
Edit: Perhaps you should qualify your posts by mentioning your profile states you are in the private equity field. Just to keep it all transparent. As I said previously I have no skin in the game, but I do have more than a decade of penny stock trading experience before I originally retired at age 46.

Correction: I have fully disclosed multiple times that I previously lent money to tech and life sciences VC and PE partners professionally before retiring over 3 years ago at age 46, as well as, among several other roles along the way, including M&A I-Banker, and prior to that an Investment Advisor to ultra high net worth retail and institutional clients. Now, I only invest my own money in primarily publicly-traded companies in whatever sector represents a good opportunity...sometimes long-term, sometimes only short-term.

I was previously a Registered person (Series 7, 63, 65) and never talk up or down stocks, having been registered my entire career, in fact, am a second generation Wall Street guy, so I know the rules very well, and had both a stellar professional reputation and pristine compliance record. Unlike you, I won’t trade shitty penny stocks, nor talk down any companies just to suit an agenda. I only share decades of professional stock market knowledge, and more recently, 18 months of firsthand nation-wide due diligence.

I have also physically seen many grow ops legal and illegal in multiple states. Was going to invest in a few non-public ones (only LPs though), but previously decided that I value having public market liquidity more. Call me a creature of habit. With that said, I am now on the verge of potentially becoming a key partner for an MMJ license, and later a cultivation operation in another neighboring state located in the Beltway.

BTW...spare everyone the glowing nobility of illegal grow ops and their underworld drug dealing distribution network. They are criminals, and their anti-legalization rants are just butthurt excuses for not following the rules themselves, period. There is no other interpretation for their reprehensible low life existence.

How’s that for disclosure?

[Brenngun]

Originally Posted by SMD

Never said it was.

Your right, my apologies. I took your "Barriers to entry" in bold to mean "none" in context. Suppose you may have meant "high barriers". Hate when there's no adjective to help understanding.

[superdog]

Originally Posted by Brenngun

Your right, my apologies. I took your "Barriers to entry" in bold to mean "none" in context. Suppose you may have meant "high barriers". Hate when there's no adjective to help understanding.

Agree. It would be helpful if replies consist of more than 3 words.

A little explanation goes a long way.

[SMD]

Originally Posted by mcorliss

Nope, but apparently, it is as simple as not registering to gain a license, growing in shoddy unsanitary basement-like conditions, and then criminally offloading product on school grounds.

Basically, those are the true vocal critics of legalization and the actual competition to lab-tested, regulated, and taxed big cannabis. I’ll stick with placing my investment dollars in the latter, not the former, thank you very much.

Strawman alert.

[cornerstore]

http://business.financialpost.com/in...-medical-names

Interesting read.

[roaddog359]

Can I say "SHORT".

[Gaijin]

You can but I’d rather you didn’t.

[mcorliss]

Originally Posted by SMD

Strawman alert.

Okay, then I guess this particular product was being grown solely for cancer patients. How altruistic!

http://420intel.com/articles/2018/04...un-chinese-mob