Anybody Else Think Pot Is Undervalued Right Now??

[jdsky]

So all of the Canadian Nasdaq listings are right around 50% off of their HIGH's back in Feb.  The experts say it's because of re-investment and expansion of operations but I think it's the thought of more people having to go back to work leaving less time on their hands to smoke weed.  Who knows really.

My speculative pick would be VFF - Village Farms International.  It is up around 5% so far today......

Unlike bitcoin you can hold pot in your hands it's a tangible thing.  Bitcoin is vapor and has to be mined and you are competing against giant Chinese state funded bitcoin mining operations with the ability to crush it at a moments notice.  So while you can smoke pot bitcoin will eventually just get smoked.

I think these stocks are poised for a rally and all new HIGH's.   

[steve from amherst]

Going to the pot store is fun the first time. Then you get to the cash register and realized you have been ass raped , no longer fun.

[Ez ryder]

13 hours ago, jdsky said:

So all of the Canadian Nasdaq listings are right around 50% off of their HIGH's back in Feb.  The experts say it's because of re-investment and expansion of operations but I think it's the thought of more people having to go back to work leaving less time on their hands to smoke weed.  Who knows really.

My speculative pick would be VFF - Village Farms International.  It is up around 5% so far today......

Unlike bitcoin you can hold pot in your hands it's a tangible thing.  Bitcoin is vapor and has to be mined and you are competing against giant Chinese state funded bitcoin mining operations with the ability to crush it at a moments notice.  So while you can smoke pot bitcoin will eventually just get smoked.

I think these stocks are poised for a rally and all new HIGH's.   

 Not sure about how much big pot will go up . As long as people are allowed to grow there own there will be a limited market. 

Most smokers I know enjoy tending to there garden  almost as much as smoking it . Hell some love it more 

I have spend thousands in the pot stores all over the coubtery and prob less than a oz in flower.  I can get that just as good or better for 1/2 the money  .

Even concentrates can be had for 1/2 price on the street just as ez . But I don't trust them and don't mind paying in the store .

 

Edited May 22, 2021 by Ez ryder

[Mainecat]

15 hours ago, steve from amherst said:

Going to the pot store is fun the first time. Then you get to the cash register and realized you have been ass raped , no longer fun.

The reason to legalize was to sell it for less that the illegal sellers putting them out of business. After the tax for this and that, fees for a commission and fees for town inconveniences it costs +30% more than the illegal sale……for the same product. Yes the legal grown is in the illegal market for way less…..lol

[Fireball 440]

12 minutes ago, Mainecat said:

The reason to legalize was to sell it for less that the illegal sellers putting them out of business. After the tax for this and that, fees for a commission and fees for town inconveniences it costs +30% more than the illegal sale……for the same product. Yes the legal grown is in the illegal market for way less…..lol

Not in Oregon. Street price is the same as over the counter.  100 per oz of 28% goodness.

[Ez ryder]

43 minutes ago, Mainecat said:

The reason to legalize was to sell it for less that the illegal sellers putting them out of business. After the tax for this and that, fees for a commission and fees for town inconveniences it costs +30% more than the illegal sale……for the same product. Yes the legal grown is in the illegal market for way less…..lol

So you saying over taxing is bad 

[Ez ryder]

31 minutes ago, Fireball 440 said:

Not in Oregon. Street price is the same as over the counter.  100 per oz of 28% goodness.

CA the over the counter shit is also pretty cheep.  Just so muchpot they don't know what to do with it all 

[Fireball 440]

8 minutes ago, Ez ryder said:

CA the over the counter shit is also pretty cheep.  Just so muchpot they don't know what to do with it all 

Washington charges 48% tax so it brings it way up, they sell by the gram.

Haven't been to Colorado yet.

[Ez ryder]

38 minutes ago, Fireball 440 said:

Washington charges 48% tax so it brings it way up, they sell by the gram.

Haven't been to Colorado yet.

CA is California.  That was who I was saying it is cheep every place. 

But CO over the counter is $$ with out your medical card . But with it about the same as street cost . 

 

[Fireball 440]

lol I know what you meant.  I haven't bought any in MI either.  I don't ever plan to visit CA.

[Ez ryder]

12 minutes ago, Fireball 440 said:

lol I know what you meant.  I haven't bought any in MI either.  I don't ever plan to visit CA.

CA is sweet cuz there are a fuck load of sort of legal guys who deliver . Like real fast never waited more than 30 min theycone in with there rolling suitcase showroom.  And on par with store pricing . 

[Mainecat]

2 hours ago, Ez ryder said:

So you saying over taxing is bad 

Over the sales tax on other goods yes. 

[jdsky]

12 hours ago, Ez ryder said:

 Not sure about how much big pot will go up . As long as people are allowed to grow there own there will be a limited market. 

Most smokers I know enjoy tending to there garden  almost as much as smoking it . Hell some love it more 

I have spend thousands in the pot stores all over the coubtery and prob less than a oz in flower.  I can get that just as good or better for 1/2 the money  .

Even concentrates can be had for 1/2 price on the street just as ez . But I don't trust them and don't mind paying in the store .

 

Definitely a valid point.  Since I have no experience I was not sure how hard or how easy it was to do.  I also assumed since the illegal grower and seller's were profitable that meant the majority of consumers prefer to go out and purchase.  I was pretty surprised at the prices in the legal dispensaries.  Visited one while in CO on a road trip and frankly could not believe what the stuff costs.  My SIL bought some cream and other CBD products for chronic back pain as the stuff she tried in TX did nothing.  She said the product she bought while in CO actually worked but it was expensive.

I really only came across this information when researching stocks that had recently dropped significantly from their valuations.  Am always interested in any investment opportunities that show potential for a 20% or greater return.

 

[Rod]

There is zero chance the government regulated stuff can complete price wise with black market unless the subsidize the eff out of it 

[jdsky]

One major problem it seems is the large number of competitors in the space (illegal competition aside).  Canada has a shit ton of large well funded publicly traded companies competing.

Here are some of the numbers for VFF.  Most of the balance sheets look very similar in that none of them have trouble generating millions in revenue the problem is most are carrying large amounts of debt.  For example VFF has $70M in debt. 

Gross Profit (MRQ)2.324M

Gross Profit (FY)11.539M

Last Year Revenue (FY)179.071M

Total Revenue (FY)179.071M

 

 

[Ez ryder]

5 hours ago, ACE said:

There is zero chance the government regulated stuff can complete price wise with black market unless the subsidize the eff out of it 

Make no mistake a lot of the legal stuff is going out the back door before any one knows it exists.  Also what I see show up a lot in MN black market is the past expiration date on the concentrates and food . But then that could just be the circles of people I know ? That's the thing no one knows or ever will