active weed and tech investor
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In three or four years based on everything going right, I estimate that LIHTF would be at $9.78 per share. It all depends on the realized wholesale price per pound of weed that Liht achieves. I’ve done another couple hours of research on this and the wholesale numbers are all over the board in the USA. From $300 a pound to $8,500 a pound (but $300 to $1,000 in Nevada) http://narcoticnews.com/drug-prices/marijuana/
The good news is that Liht is doing “upscale” weed and it plans to have its weed be “organic certified.” Liht’s website further states that between its two 5,000 sq. ft. buildings it will produce “1620 pounds of dry flower,” which will generate premium wholesale pricing, which can be “300% to 600% more expensive” (same link as above).
So presuming semi-premium pricing (a big presumption), lets say 1,620 pounds times $1,500/pound wholesale; that’s equal to roughly $2.43 million for Las Vegas. At 50 times annual sales, that’s a $121.5 million company valuation, more than twice what is is today. But one could also say it’s fairly valued at 25 times future sales. Or say it’s even more undervalued with a higher sales multiple (again, other pot companies are going at 80 to 120 times sales). And the price per pound variable is a huge one…who knows what the actual price realized will be? Liht’s website repeatedly states that the State of Nevada has established “The Fair Market Value of Wholesale Retail Marijuana of $2,798 per pound,” which would nearly double the valuations discussed above.
Then there’s Canada. Liht’s website state: “The Company is confident that it will receive its 100,000 sq. ft licence to cultivate during the first half of 2019” and we know that two buildings (10,000 sq. ft. each) in British Columbia are under construction, with one being at “lock up” stage (the exterior of the building is secured) and the other having a slab. And we are presuming that they will actually get the license to cultivate from Canada! Making yet another assumption that growing takes place in the second half of 2019, revenue will begin to be generated toward the end of the year. But we are a long ways from realizing the full 100,000 sq. ft. of growing space.
Then there is the 28,000 sq. ft. location in Washington. When do they plan to make that a viable grow farm, and what is revenue expected to be? (Washington’s wholesale prices are $800-1,500 per pound.) And the 65,000 sq. ft. building in Vegas? I haven’t seen any real news on that lately. And what about Desert Hot Springs in California? No news on that either, though Liht’s Green Leaf Wellness store is apparently generating some revenue.
And then there is the number of shares that LIHTF has issued or will issue. We are, according to Liht’s website, at 233 million shares issued, with 80 million shares in reserve, plus all those warrants and stock options. I think estimating 313 million public shares is warranted. LND2, how did you come up with a total of 450 million shares in the future?
So let’s take it chronologically and put it in simple form.
Las Vegas...10,000 sq. ft. = $2.4 million in annual sales in 2019
British Columbia...20,000 sq. ft. = $4.8 million in sales by 2020 (presuming same NV wholesale price)
Washington...28,000 sq. ft. = $9.0 million in annual sales by 2020 (slightly elevated wholesale price)
British Columbia...80,000 additional sq. ft. = $19.2 million in annual sales by 2021?
Las Vegas...65,000 additional sq. ft. = $15.8 million in annual sales by 2021-22?
California…50,000 sq. ft. = $10 million in annual sales by 2021-22? (slightly cheaper price than NV)
Assuming all of this can take place by 2022, that’s $61.2 million in annual sales. Valuation at 50 times sales equals $3.06 billion. With 313 million shares, that’s a valuation of about $9.78 per share. There are about five million things that could affect this valuation, so it’s certainly incumbent on an investor to conduct their own due diligence. Chief among them are annual sales-to-company-valuation ratios dropping well below 50 times sales (most of the stock market is in the single digits).
In a fair world and with ALL expected announcements (with aggressive building schedules that do not affect volume of public shares), I might expect LIHTF’s stock price to be around $1.50 PPS by the end of this year (presuming some positive announcements about British Columbia and Washington during the year), $3-4 PPS by end of 2020 and $6 or higher by the end of 2021. Could we reach $10 a share by the end of 2022? Sure, in a perfect world.
But there is still SO much to be determined. I am most anxious to see and hear what type of revenue Liht generates after their first harvest in late January, which we might hear about in February. It SHOULD be about $500,000 (and repeated 4 additional times in 2019), but reality could be very different. The 2nd and 3rd harvests may also provide better guidance than the first.
Some of the links I used in research:
http://narcoticnews.com/drug-prices/marijuana/
The wholesale price in Nevada is $300-1,000 a pound (in Alaska it’s $2,500-4,000 a pound and “high-grade” weed in CA is $3,000-4,500, while lower grade is MUCH cheaper…high grade in Hawaii is $6,000-8,500). New Mexico is even cheaper, but given the fact that the site includes prices in EVERY state (even in states where weed is illegal in every way), these appear to be street prices.
“Marijuana from Canada is typically a higher grade and is typically grown using hydroponics. Canadian grown marijuana can be 300-600% more expensive than marijuana from Mexico and the U.S.A.”
Great article here:
https://www.leafly.com/news/industry/cannabis-price-collapse-putting-billions-in-consumers-pockets
“Nevada’s wholesale prices are the most expensive at $4 per gram, followed by California at $2.43, Colorado at $1.93 and Oregon at just $1.33 per gram wholesale.” But they also say: “Retail data shows us that while not the majority, there are premium and craft cannabis growers whose products sell for $10–$15 a gram—even in saturated markets like Oregon and Colorado. The trends point to what many people expected: a segmentation of the flower market into commodity products and, importantly, premium craft products that consumers will pay top dollar for at retail.”
A commenter posted: “Pricing here in rural Nevada remains at $15-$20 per gram!!?”
A commenter posted: “Here in Las Vegas, most of us can't grow our own because of the extreme climate and a law that prohibits anyone within 25 miles of a dispensary to grow their own.”
https://www.westword.com/marijuana/colorados-wholesale-marijuana-prices-are-rising-11073881
Shows that retail weed (though up slightly lately) has dropped to $781 a pound (from $1,948 in 2017).
https://247wallst.com/consumer-products/2017/02/12/marijuana-news-roundup-cheap-illegal-pot-biggest-threat-to-cannabis-industry/
“Last week, for example, the spot price for a pound of cannabis was $1,640. There are slightly more than 450 grams in a pound and the average price of a gram in states where marijuana is legal — either for recreational or medicinal use — was $11.14. That works out to more than $5,000 for that original pound of pot.”
https://mjbizdaily.com/chart-week-wholesale-marijuana-price-fluctuations-create-challenges-cannabis-businesses/
I could not resist sending a note of congratulations to Liht today. It's a bit sappy, but their recent performance deserves some accolades:
"Just a note to say I am impressed with the comeback the Liht team has made in the past few weeks when it comes to public relations and your stock price. Your loyal fans on InvestorsHub are pleased with your progress. My user name there is artweed, by the way, and I have been critical of you in the past...and wrote some recent emails to you questioning what was going on (that were never replied to by you, BTW).
"But I'm not here to bitch and moan today. My fellow investors and I are excited about the prospects of the company. I wouldn't use those reserved shares just yet, as we believe the value of the company will be going up exponentially as continued good news is released throughout 2019. Some believe your stock is destined to soar above US$3.00 (I have posited $2.00) and we would all be thrilled with that.
"By all means, keep up the good work and keep your nose to the grindstone. I believe you will be passing many other small-time "players" in the cannabis field as you reach for, and achieve, your future objectives. Watch out Canopy, here we come!"
Nice to see the price movement in the past two weeks. I have a fairly steep price-per-share base, so at 21.3 cents I'm basically even, though I'm up handsomely in my highly active account (up over $3,000 on 90k shares).
I note that volume has escalated in this past week, though it is presently still low today (and therefore the 21.3 price may be temporary). It appears that we may have shaken out a few shorts, who have certainly gotten hammered lately.
Despite all my carping, I'm in it for the long haul. I see a ton of positive events that will be occurring over the course of 2019, and despite any dips, this company is very well positioned to experience great success. For the first time in months, really, I'm relatively happy with LIHTF.
That's great, LND2. The only thing that seems out of whack now is the sticky message at the top of the message board. THAT really seems out of date and should not be viewed as current by anyone who visits this page.
Actually, having just looked again at the LIHTF page here, it's not as out of date as I thought it was. Good job LND2 or whoever is in charge and making these changes. I don't expect it needs to be updated every week and it does a decent job of presenting the facts.
Great to have your viewpoint, Isbizz. The fact that FSD Pharma has a $400 million market cap is a good sign, since their own website states "The Company has 25,000 square feet available for production at its Ontario facility." And that's it. They may be, as you say, building like crazy, but they're not there yet and their market cap is 400 million compared to Liht's market cap of 42 million (with 10,000 square feet available for production at their Vegas facility).
I will say that this LIHTF page is in desperate need of an update, LongNDeep. Things need to be adjusted for the many timeline and production changes that have taken place in the past 6 months. Some of the current stuff is outdated and overly optimistic and it should be changed for the sake of the new people who come here and discover what is going on. I know it's a lot of work but it would be worth your time to ensure we are presenting an accurate snapshot of the current company.
This looks like great news and continues forward momentum for Liht.
BTW, I have contacted TD Ameritrade and railed against them for not fixing the "company news" section of LIHTF's trading page. I threatened to move my three accounts to another broker if they don't take this issue seriously. We can't have them continue to treat Liht investors as second-class citizens.
Actually, the all-time intraday high was $1.86 (just checked my TDA charts), so THAT will take a little time to get to...I think.
So the all time high is about $1.30....
Yeah, yeah, let's dream a little later. But the fact that LIHTF has an all-time high that's that high is GOOD for current investors, as it will be a long time before shorts could ostensibly contend that LIHTF is unprecedentedly overpriced. When it hits $1.40 a share, then they can bitch...but of course by that time Liht will have the revenue to support such a price, so I guess it's all blue skies from here on out (note my sarcasm).
But on the matter of Nevada weed, the Budzu site I mentioned a month or two ago now has enough data from Nevada sales to establish Nevada's own sales page (joining dozens of other individual states):
http://budzu.com/prices/usa/nevada
I am encouraged by the sales prices achieved thus far and believe that we can reasonably expect $3.6 million in revenue...give or take...this year, which would put LIHTF's stock price at 65 to 80 cents per share if calculated at 50 times sales (Canopy is at 90-100 times sales). And as I've state before, Liht's growth prospects are FAR greater than Canopy's at this stage of the game, so a higher valuation is warranted. And I'm not even considering Washington state in my revenue projections!
So $1.40 a share is not just a pipe dream. Buckle your seats, ladies and germs. $2.00 a share is not just "crazy people talk." Right now, you have to consider anything under 30 cents a share an absolute bargain, and obviously more so at 20 cents a share.
Okay, maybe I'm dreaming a little now....
Not sure what you know about shorting, and I am no expert though I have shorted shares in the past, but that's simply a reporting of the publicly available volume of shorted shares available through the Over the Counter (OTC) Markets Group, aka OTCQX International. OTCQX International is a U.S. market for companies already listed on a qualified international stock exchange (as LIHTF is in Canada on the CSE), which allows global companies to better access U.S. investors. It's actually The Financial Industry Regulatory Authority (FINRA), a U.S. regulatory body charged with governing stock market business, that tracks and reports shorted stock amongst many other things.
The rise of 7.82% in shorted shares is relatively minor. The volume of 663k shares is much smaller than I anticipated; I believe less than 1% of publicly available shares. This is generally good news as it indicates investors with shorting interest are relatively scarce with LIHTF. Hard to believe those investors could control the market for LIHTF with that few shares, though it's possible without an appropriate volume of long buyers in the market.
The reporting that it would take 2 days for shorting investors to recover their shorted shares is also quite brief, as many heavily shorted stocks would require weeks for short investors to recover the stocks they have shorted (which leads to the legendary "short squeeze"). Other companies are legendary for the volume of short shares (AMD and Alibaba as examples), but they are so heavily traded it wouldn't take long for shorts to get rid of their shares (2 to 5 days for AMD and Alibaba). Snap has about 18% of their stock shorted (140M shares) that would take more than two weeks to liquidate, but short investors are convinced the stock won't go up significantly soon so they're not worried.
Remains to be seen how these Liht short investors influence the company stock over the long term. It would seem to indicate that short investors won't be able to stand in the way of a large volume of buyers driving up the price, but also that shorts will not be caught in a massive short squeeze that would drive up the price even further in a panic.
Whew, I blabbed on long enough for something I don't know a ton about, so maybe someone else can provide even more clarity on the specifics of this reporting.
Yeah, I'm not selling anything at this stage. It's a little hard to believe that a company with this much POTENTIAL on the books would sell much lower than this. But I bet a lot of people said that when it was 50 cents or 80 cents a share. Of course, it's a different thing to say at 13 cents a share. Perhaps the shareholders meeting will be a big "coming out party" so to speak. We shall see.
My avg. PPS is measurably higher than yours, LND2, but even your wallet is hurting at these prices. I picked up a little at around .15-.16 in my "play" account, so one account has a .178 avg. PPS, but the other two accounts are really suffering. I honestly do feel there is much more that can go right than go wrong at this stage of the game and will sit and be patient. At these prices, I think it's a bit pointless to toss in the towel.
This stock now appears to be controlled by shorts. Low volume that drops the share price 4% to 8% a day without relenting. No one is there to buy in volume. No one cares. No one believes. No one trusts.
Doesn't hurt to ask, even if it only confirms bad news. I wrote to Liht's Investor Relations email and inquired. Sent this an hour ago and haven't heard back yet:
I have written to you a couple times in the past without receiving a reply, but thought I would try a third time with the announcement of 61 dispensary licenses by the Nevada Department of Taxation. Can you disclose that you are one of the license awardees, even though it may not yet be finalized prior to inspection? Your major stock market holders are anxiously awaiting good news, which Green Growth Brands and TapRoots Holding have already announced.
I look forward to your reply. Good luck with all your future endeavors as we all try to hang on through this difficult period! We have confidence in the new management team at Liht!
Been investing in Canadian weed stocks for years, including tons of Aphria, and the evidence in this case is overwhelming (yeah, I watched the whole video and read the various articles). Sure, they shorted this stock...but note that they stated that this is only the fifth company they've "attacked" in the last three years...and stock price has dropped by up to 90% in those cases.
Take your rose-colored glasses off. Sell your stock. I've been there and gotten hammered in the past and any recovery will be a long time coming. Sure, recovery will happen...Aphria has too much going for it to just throw in the towel. But the price could be $2 or less before it turns around weeks or months from now and it will take time to resolve the issues and regain confidence of investors.
I wish this was NOT the case. This hurts everybody, and I'm deeply invested in Liht stock right now, which has SO much promise but recently got rid of a couple board members because of similar bullshit (it appears everything has been rectified...and the sky is the limit with all their assets).
I bought Aphria just last week and sold it the same week for a small gain. I actually really LIKED Aphria prior to this week. I liked their story and their business model and their promise. But no matter how fake you THINK the short sellers are, this is a new, dark, disgusting twist that will take time to be cleansed.
The Fair Market Value of Wholesale Retail Marijuana of $2,798 per pound by the State of Nevada Department of Taxation is a little high (no pun intended). If it were true, that would make LIHT's annual sales for both buildings at about $4.5 million. But pot prices have dropped significantly in the past few years, and for retail sales they're around $2,000-2,400 in the USA right now. This link looks at retail dispensary prices across the USA (it's too early to have Nevada's legal pricing):
http://budzu.com/prices
But even at the low end, that still equates to about $3.6 million in annual LIHT sales at full production. LIHT's market cap at this moment is $36 million, or ten times sales. Canopy is on pace for $120 million annual sales translating to a $1.2 billion market cap, and their market cap is ACTUALLY over $11 billion (almost 100 times annual sales). And Canopy's price-to-sales ratio is actually lower than many of their competitors! And they are bleeding debt out the nose and ears! Here's a couple articles on high market caps:
https://highenergytrading.com/tilrays-fundamentals-make-no-sense-why-this-is-the-most-overvalued-cannabis-stock/
https://www.bloomberg.com/news/articles/2018-09-12/at-90-times-earnings-weed-stock-valuations-are-sparking-jitters
And here are the stats for actual sales from the biggest US and Canadian companies:
https://www.newcannabisventures.com/cannabis-company-revenue-ranking/
So, with $3.6 million in annual sales, at "only" 50 times annual sales (half of much of the market), that would give LIHT a market cap of $180 million, which would translate to an 80-cent stock price. And that's just for the two small Nevada facilities. We know that this is just the beginning. LIHT will certainly be growing at an exponentially faster ratio than Canopy from this point forward.
So yeah, I'm going to sell a little more of my regular stock and buy some more LIHT!
After LIHT's symbol change I had trouble with Gains/Loss with TDA and called them. They walked me through how to manually change it, because it was accurate in my history but didn't display correctly. There's a way for you to manually change it, I think through "Edit your GainsKeeper cost basis" but I don't exactly remember. Call them and you can change it on the fly while you're on the phone with them. Worked for me and ever since then the correct amounts (even after sales and purchases) have displayed correctly on my main page.
Lol, I have a ways to catch up with you on share count LongNDeep2! But I am glad to see there is some recovery in the price, however small. Frankly, I'm glad just to see a stabilization in the price. Good lord, I long for the days when we just wondered when the licenses would be approved and the sales began to ramp up. LIHT has dug themselves a miserable hole and there won't be a quick fix...they'll have to keep working on it. And demonstrate, in words and action, that they have completely fixed any lingering issues with ethics or corporate behavior.
Lol, fool that I am I bought 20,000 more shares in my day trading account. Could get hammered on it but it brought my avg. price/sh to under .20 US in that one account. Small commitment, taking me officially to 409k shares in all my accounts (yes, I am insane) at .222 a share. Down $36k.
Good thing I'm fairly lighthearted about these "play" accounts. Not so lighthearted that I'm not pissed, but I still sleep at night.
It's nice to see them issue this statement. But they did admit that they engaged in "consulting services," though they did not acknowledge that this engagement was initiated by current or former executives. But at least they are trying to "reconcile" the contracts and services they received. It's not surprising that their internal investigation is not complete, but the sooner it is the better. It is good that they're attending the BCSC hearing and will cooperate.
I wish that this news release showed up on trading sites (it's not on TD Ameritrade right now), and perhaps it will in the next few hours. But with any luck, this will help the stock price. I'm still pretty pissed. When it gets past .20 cents US then I'll begin to feel better. Begin to. I've not been happy with this company for six weeks, and that's not something I'd usually put up with.
It's been linked a couple times, including by me, on better websites. Here is the article itself:
TITLE: BCSC Executive Director alleges scheme by self-described consultants
NEWS PROVIDED BY
British Columbia Securities Commission
Nov 26, 2018, 16:36 ET
VANCOUVER, Nov. 26, 2018 /CNW/ - The Executive Director of the British Columbia Securities Commission (BCSC) has temporarily prohibited a group of purported consultants from buying or selling the securities of 11 companies listed on the Canadian Securities Exchange (CSE), alleging that they participated in a scheme that is abusive to the capital markets.
The Executive Director is also blocking all CSE-listed companies from using the consultant exemption to sell shares without a prospectus to the group of 25 people and 26 firms, most of whom are in B.C.'s Lower Mainland. A few group members have addresses in the Cayman Islands, Marshall Islands, Australia, Hong Kong, the Czech Republic and Switzerland.
The orders arises from an ongoing BCSC investigation into transactions between the purported consultants – which Executive Director Peter Brady refers to as "the BridgeMark Group" – and B.C. companies operating in the cannabis, cryptocurrency, mining and alternative energy sectors.
The Executive Director alleges that four companies, after selling a total of $17.9 million worth of shares to members of the the BridgeMark Group earlier this year, returned $15.3 million to members of the group. The BridgeMark Group then sold those securities in the market, often at prices far below what its members had paid, netting about $6.2 million.
The four companies subsequently issued news releases saying they had raised a certain amount of money by selling their shares, even though they had paid most of the purchase amount back to BridgeMark, the Executive Director alleges.
The Executive Director alleges that the securities sales to BridgeMark were illegal because they improperly used the consultant exemption to avoid filing a prospectus, a formal document that provides details of an investment. The Executive Director is concerned that the BridgeMark Group's members are not consultants, that they provided little or no consulting services to the issuing companies, and engaged in the scheme for their own profit – conduct the Executive Director describes as "abusive to the capital markets."
The Executive Director is concerned that the BridgeMark Group engaged in similar transactions with seven other companies. Altogether, the BridgeMark Group purchased a total of more than 252 million securities from 11 listed companies between February and August, paying $50.9 million. The temporary order prohibits the 11 CSE-listed companies from using the consultant exemption to sell their shares.
A hearing to determine whether the temporary orders will be extended will be held Wednesday, December 7 at 10 am.
The respondents in the case are:
"The BridgeMark Group":
BridgeMark Financial Corp., Jackson & Company Professional Corp., Anthony Kevin Jackson; Lukor Capital Corp., Justin Edgar Liu; Rockshore Advisors Ltd. (formerly known as Cam Paddock Enterprises Inc.), Cameron Robert Paddock; Simran Singh Gill; JCN Capital Corp., John Rosarino Bevilacqua; Essos Corporate Services Inc., Sway Capital Corp., Von Rowell Torres, David Matthew Schmidt; Detona Capital Corp., Danilen Villanueva; Natasha Jon Emami; Altitude Marketing Corp., Ryan Peter Venier; Platinum Capital Corp., 658111 B.C. Ltd., Jason Christopher Shull; Tryton Financial Corp., Abeir Haddad; Tavistock Capital Corp., Robert John Lawrence; Jarman Capital Inc., Scott Jason Jarman; Northwest Marketing and Management Inc., Aly Babu Husein Mawji, Rufiza Babu Husein Mawji-Esmail, Denise Marie Trainor; Randy White, Escher Invest SA, Hunton Advisory Ltd.; Kendl Capital Limited; 1153307 B.C. Ltd., Russell Grant Van Skiver; Bertho Holdings Ltd., Robert William Boswell; Haight-Ashbury Media Consultants Ltd., Ashkan Shahrokhi; Saiya Capital Corporation, Tara Kerry Haddad; Keir Paul MacPherson; Tollstam & Company Chartered Accountants, Albert Kenneth Tollstam; 727 Capital, David Raymond Duggan; Viral Stocks Inc.; and 10X Capital.
The issuers:
Cryptobloc Technologies Corp.; New Point Exploration Corp., Green 2 Blue Energy Corp.; BLOK Technologies Inc.; Kootenay Zinc Corp.; Affinor Growers Inc.; Beleave Inc.; Liht Cannabis Corp. (formerly known as Marapharm Ventures Inc.); PreveCeutical Medical Inc.; Speakeasy Cannabis Club Ltd.; and Abattis Bioceuticals Corp.
After getting no response from my email to investor relations (IR) regarding the BCSC issue, I followed LongNDeep2's suggestion of emailing LIHT IR regarding my concerns and suggestions. Here is the email content. I recommend you do the same...changing the content below significantly and putting it in your own words. As I said in the email, we are at a turning point for Liht. Let's try to make it a positive one.
______________________________________________________________________________
Subject: Investor Opinion for Annual General and Special Meeting
As an investor with over 400,000 shares who cannot attend your Annual General and Special Meeting, I think it’s important that I convey my thoughts prior to the meeting. First, the recent scheme exposed by the BCSC has justifiably made all investors nervous. Combined with other stock-related news that dilutes or threatens to dilute shareholder value, we are left pondering the wisdom of choosing to invest our hard-earned money with your company.
One of the important suggestions made by like-minded investors is to have your executive board implement Performance Based Executive Compensation. This type of policy would ensure that company executives earn their compensation instead of receiving a “blank check” regardless of company performance. I also urge you to limit the expansion of shares and warrants available on the market or in your coffers. We do not want to see a reverse split of shares any time soon, but continual dilution of share value will eventually make this inevitable.
You are on the threshold of great news at Liht. You are moving in the right direction and working to make this company a real player in the cannabis market. But you are also at a critical turning point in the company’s history. Issuing a public statement regarding the BCSC story, implementing Performance Based Executive Compensation, and establishing real reforms surrounding shareholder value would go a long way towards making your story even stronger.
We all believe in you and your company. Allowing bad news to fester without addressing it and continuing to bleed the company dry by issuing additional shares and warrants at the wrong time (namely, right now) is sure to send the company down the tubes. If you believe in your company, and believe in the long-term value proposition of what you are doing, please take this message to heart, as I represent hundreds of similar investors who are hurting with recent news.
Thank you,
I haven't sold a share. Last week I DID sell 40 or 50000 shares at .205 to .22 US to pick up some leveraged ETFs that were too beaten down. Kept them until yesterday, sold them at a small profit, and switched back and bought LIHT at .17, happy to increase my share count to 389,000. Lol, I thought I was SO smart!
So now I'm down $31k and was down $47k earlier today. I'm pissed, but I am in it for the long game, and the vast majority of my LIHT stock is held in a Roth and a Traditional IRA. I don't have to touch it for a long time. As I've said before, I'm basically a swing trader, but I do that in a completely separate account where I'm very active.
Since I'm not in a rush, you might think I shouldn't even be pissed if I truly believe in LIHT. Sure, I believe in LIHT. But it's a lot harder to go from .14 to .98 than it is to go from .33 to .98. And much of the shit that has happened to LIHT has been self-inflicted, and that pisses me off more than the push/pull of the marketplace.
We'll see if new leadership was involved or not. If they were, I will have to take my losses at some point, because I can't put my trust in con men. But I sense...perhaps naively, that this crap happened with some of the people that are now gone. We'll see.
Here is a link to the story that's a bit easier to read than the other link:
https://www.newswire.ca/news-releases/bcsc-executive-director-alleges-scheme-by-self-described-consultants-701275491.html
This doesn't sound good and could lead to a drop of the stock price into single digit pennies. I read the article and I don't think there's any way to play this off as a positive. I recognized one of the other "issuers" (Abattis Bioceuticals) and used to trade their stock, but that doesn't mean the story is any less damaging. The mere fact that we are having to discuss this story on this site is a negative, as many more people (potential investors) read this board than contribute to it.
I was pissed several weeks ago about the name change debacle, and I had just finally calmed down, despite the drop in stock price. Then came the draw-down equity story, which probably led to the recent price drop, and now this bullshit. What about our great new CEO, LongnDeep2? How could he let this type of crap happen?
I wrote to the company to express my concern and await their reply.
Down 25% in a week, 40% in three weeks and 50% from its recent highs six weeks ago. Apparently the optimism expressed by many here is not shared by the broader market. This company has its work cut out for it. My holdings have dropped $25k in value, but I'm not bailing out yet. But to say I'm disappointed....
Regarding typo: They replied to me the same day:
Hello Mark,
Thank you kindly for sending this message about the website - we appreciate it! This error will be corrected right away.
We wish to thank you for your continued support!
Sincerely,
The Liht Team
Cannabis Corp.
102 - 1561 Sutherland Avenue
Kelowna, BC
V1Y 5Y7
I actually emailed Liht for a minor typo on that web page, LongNDeep2. It was this passage:
"Liht has proprietary technologies which will eliminate contaminated product and will ensure a healthy harvest. Photomorphogenesis is the process by which a plants growth and development is controlled by light manipulation."
Told them "plants" needed an apostrophe to make it a possessive: "plant's." Also told them they're great and to keep up the momentum!
I like the way the price has basically stabilized between .21 and .24 (US), despite extremely light volume, with occasional bounces up. I can hold for months if not years like this and be patient. I mean, what BAD news could come in and derail eventual appreciation? I'm sure there is something, but the list of bad things pales in comparison to the list of good things that are more likely to take place.
Believe it or not, I'm not normally one to bitch, but this symbol issue was vexing to me. But having looked at volumes over time, it began to spike in March and escalated up and down, culminating in over 1 million shares a day multiple times in October. But 100,000 shares a day was not unusual as late as July. You're right, LongNDeep2, maybe there are other factors to consider, whatever they may be.
It just seemed peculiar that other pot stocks went through such voracious trading this week while LIHTF sat on its ass. But maybe Webdomain was ultimately right as well, and patience is the key. I'm just happy the stock isn't trading at 16 cents! I'm going to sit on my hands and let the market come back to us. Eventually...SOME day, if the symbol issue is essentially resolved and the good news keeps coming (and it will), volume will return.
I believe that it is technically trading on both markets (US and Canada) but that a significant number of people do not have access to it in the US. I base this assumption partially on the fact that it was trading a million shares a day in the US just a couple weeks ago and now is trading under 100,000 shares (and none in the last four hours). But maybe I'm just flat out wrong. Maybe there is just no interest in it anymore. Seems unlikely given the voracious appetite for trading in the rest of the cannabis industry.
Well, it's off market for a significant number of people, from what I understand. For some people in US markets, they can trade it as they wish. But others don't have access to it. The Canadian market (CSE) apparently does have access to it, which is why we can see the price change on the stock when zero shares are actually getting traded in the US. Overall, it's a mess.
No, you fundamentally don't understand the situation. What you said is basically true, but you did not acknowledge the fact that the name change has derailed the "normal, every day" ability of markets to move the stock price. I have a ton of risk tolerance (always have) but I am not accustomed to a stock being essentially "off market" for two weeks after a symbol change. And without any public explanation from LIHT, there is no reason to believe that this symbol issue won't extend for a month...or two...or for how long? This is unprofessional and the public stance from LIHT is inexcusable. Can you imagine Canopy or Aphria going through this at any time, ever?
And I know I'm beating a dead horse, but CGC is up 18% in the last two days and CRON is up more than that. It's pathetic that LIHTF is just sitting in dead water. Still pissed. Despite everything else, including frustrations with "the system" that no doubt frustrate LIHT's leaders, they have failed to accomplish liquidity. LIHT should be trading at a million shares a day (as it was not so long ago) and it's sitting there with less than 100,000 shares traded with less than three hours to go in the trading day. Two weeks now, people. It's disgusting and amateurish. No good news can have an impact when people can't access the shares.
This must have been posted before, but this is what is on Marapharm's website (get that Liht website up and running, guys and gals...tired of seeing "we're updating"). Emphasis is mine:
On June 20, 2018, Prime Minister Justin Trudeau announced that October 17, 2018, will be the date that cannabis will be legalized in Canada. Unlike the majority of existing Licenced Producers, the company will focus on natural grow methods and aims to become organic certified. Marapharm has taken immediate action to amend two items on its late-stage Health Canada’s Access to Cannabis for Medical Purposes Regulations (“ACMPR”) application. The Company is currently amending the location for its license application to a 40-acre site supplied by Full Spectrum Medicinal. The property is located an hour outside of Salmon Arm B.C.
Yes, but what about the Canadian license? Aren't we still under review for that? Any clue as to the current status? My understanding is that Canadian licensing is still in process, and I've seen that supposed, hopeful, sometimes misleading "status" on one cannabis website after another. Additionally, Canada does not seem likely to approve new licenses until they have a much, much better grip on how the legalized weed business is going. That could potentially take a couple years. Obviously, a Canadian license would be a huge boost and would likely take LIHTF over US$1.
I think getting the second Vegas facility approved will give a significant boost, and I believe that is fairly imminent. It's another small facility, but positive news like that bodes well for future endeavors.
Glad to see good PR. But fact is, TDA shows less than 30,000 shares traded through 2 ½ hours of the day. This would normally be 10 times that much, if not more. There's still a clog after nearly two weeks of the symbol change. What gives? What, if anything, is being done? Clearly, LIHTF is essentially off market for two weeks. In case you wondered if this ever happens to any other stock after a symbol change, the answer is no. No. NOOO. Whoever you want to blame, I don't care. But this is bullshit. Mind you, I love the company and expect to stay long for a long time.
I'm not selling, BUT whoever you want to blame for this MRPHF/LIHTF screw up has completely derailed momentum for this stock. Today volume was extremely low and clearly controlled by shorts or other people who had no interest in seeing the stock rise. Apparently the listing issue is not resolved everywhere. I will not be surprised to see tomorrow look awful as well.
If we get back proper volume, I could see it get back on the horse and go up again, but it seems like we might be suffering from this until at least next week. I don't care what anyone says, this is ultimately LIHTF's fault. Stock ticker symbols change all the time...I've been through several of them myself in 18 years of trading...and this is the worst case I've ever seen. Whether LIHTF was directly responsible or not, they are guilty of mismanagement because it dragged on as long as it did.
LIHTF is now fixed at TDA! And I agree with most of your points, LongNDeep2, but I think LIHTF has been lazy with how they addressed the issue. As far as I can tell, they've sat on their hands and did the "no see, no hear, no speak" pose for most of this debacle. Where are the communications from them? Whether they are at fault or not, they have not shown leadership on this issue.
That said, I'm glad it's back. It just now happened, so no movement in shares yet. But I'm sure we'll see some by the end of day, and certainly tomorrow.
No change with TDA. Really pissed, because this would be a day that LIHTF would move big and move fast. Thing is, I'm a swing trader, and while I love LIHTF, I would have half my shit in TQQQ right now and be getting 8% gains. Instead, I'm sitting on 350,000+ shares of a stock that is doing NOTHING or just trickling up and down. I'm pissed at LIHTF because of their ineptness at the transition and their apparent lack of urgency in getting this resolved. This is an indication (though not an assurance) of their inability to manage speed bumps during their growth. Did I mention I'm pissed yet? Yeah, I'm pissed.