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This reads like this plan has been sitting in a republican committee since 1936...
Waiting for the sequel, "Child of Reefer Madness".
SHWZ just needs to keep executing, like the last two NM dispensary openings are demonstrating.
Meanwhile I'll sit here in a Colorado Summit Disc league jersey waiting for interest to return to the sector, since we're sitting here in the 1s til that happens some time next year.
No fun indeed. Glad you and Marillionaire are safe. So many lives impacted by that disaster.
and finally platforms like Fidelity are reporting the states like CO make more on tax from MJ than ciggies or alcohol. maybe more news like that will help bring investors and interest back and perhaps even sway a few antagonistic political folk to legalization.
Just look at Ianthus... Anything is possible in the stock world. the question is here, is it likely. I don't think so.
1400 shares traded. Time to walk away again for several months.
Too many clowns...a veritable circus of clowns. Saw this Politico article summing up the headwinds for pot as a whole.
https://www.politico.com/news/2022/09/04/weed-companies-cant-make-money-00054541
I do like this line in the article which comes after pointing out the key drivers of the struggle - federal illegality of pot, excessive taxation, blocks on interstate commerce, no access to capital and banks - the article states this: “If you’re able to generate cash flow with all of these headwinds, when these headwinds start to be removed it’s going to be an incredibly, incredibly good business model,” said Jen Drake, co-chief operating officer of Ayr Wellness, which has retail and cultivation operations in eight states, including Florida, New Jersey and Pennsylvania.
None of those headwinds appear to be letting up any time soon. SHWZ is managing the cash flow, and right now that's about all we can hope for I'm afraid.
an article on SHWZ's own branding - looks like some changes coming to the star buds store look as well as "notable new products" sections in stores
https://mjbizdaily.com/schwazze-marketing-executive-pinpoints-brand-identity/
Is this still accurate in terms of institutional investors?
North Star Asset Mgmnt 323,024 shares, filed 7/28/22
Preox - Perrit Ultra Microcap 110,00 shares, filed 6/28/22
I want to get a baseline on the institutional since I expect to see more jumping in this and next month.
correct. even if the fed snapped its fingers and made MJ legal, companies still need to manage expenses, margins, build brands, gain customer share, do great customer service, grow to become the go to company for MJ, differentiated from the others by the scope of skus on the shelves, customer service, house brands at value pricing. penetration of the market geographically and online, etc. That's what SHWZ is doing. The only adverse impact to SHWZ if fed went legal is a lot of money would flow mindlessly to more well known companies who are doing none of that, show sp would continue to sputter, but in time, Shwz will continue to move forward, ultimately eclipsing those less well-managed companies. And big tobacco, beverage, would come striding in with deep pockets upsetting the table with buyouts or attempts to run smaller more well-established companies out of business through pricing. That last item is my biggest worry about MJ, that we do get the fed to make MJ legal before companies like SHWZ have developed more fully to be really solid buyout targets.
JD has consistently said he wants to do business in states where the state rules are settled, compliance and oversight is mature, clear. Not sure OK fits the bill. Yes, if it were, JD would not worry about the mess of the market and be able to move in and work within that structure - but I think that it's OK's state level rules and flailing around as to how to manage the MJ business that would lkeep him out for now.
IPS, thanks, excellent write up. Love the continued focus on running a tight ship, basic blocking and tackling to build market share, confidence in strategy and execution to win that market. I assume no suggested timeline on capturing that 500 million market share in CO, like 3 years out?
Good to get a sense of number of brands SHWZ carries vs competitors too. All good,
thanks again
Thanks - nice to see those costs of acquisition going down as we'd expect, maintaining focus. Perhaps third state comments will be in your later update? Really appreciate both you and IPS sharing what you heard.
a deal for SNDL, not good for VLNS shareholders. The only thing we can hope for is a better company, knowing VLNS is for sale and can be bought so cheaply, might make an offer a bit above SNDL. But I doubt that will happen.
yep, read that a short while ago, was too depressed to post it.
Interesting start to the week, lots of volume at end of day Friday at close, IIROC Halt this morning. Yahoo showing B/A much higher than where we are sitting, but that is of course not reliable. Here's hoping for good news.
I've found short squeezes to be as elusive and maybe as mythical as the Loch Ness monster.
agree on all points. Add a number 5 specifically for Shwz - derivatives will again potentially drive this lower at the next ER because numbers on paper scare people when they don't focus on the details.
I agree on the ETFs being more than a bit off the mark in terms of their trading. For me, SHWZ has proven itself to be such a compelling story, especially doing well against the headwinds in CO that demonstrate its quality clearly to anyone paying attention in the investment community. That and proving quarter over quarter their ability to grow revenue, cash on hand to grow, income when others are struggling makes them impossible to ignore, even if there was any prejudice against the company or Dye. No analyst will want to come too late to the party and have to explain where they've been... I just think the shift is more in getting the story out, the additional proof over each ER that they do what they say, that they manage the business well, and that message finally seems to be getting out. Thank god.
i will be greatly surprised if later this month we don't start to see increasing institutional investment showing up. SHWZ is 20 out of 29 on the New Cannabis ventures site among senior reporting in the US, 4th on q over q, 3rd on y over y, and around 6th on income among precious view showing positive income.
Now that we've had a decent ER after the surprise of the previous one, I wonder if that move to NEO may start bearing some fruit. Sooner or later, and I'd assume sooner, institutions will be taking notice - that would be nice to see, if not after this ER perhaps the next?
nice to see us turn positive, if ever so slightly
take a look at some of the others, like curaleaf for example to get a sense of how SHWZ compares.
was thinking the same. i just hope the news creates a mood of future promise we can build on from a share price perspective, and not a spike up only to fall back to where we are over a couple days. But the sector is not exactly creating excitement these days for any extended rally.
MPXI putting itself up for sale/investment:
https://www.thenewswire.com/press-releases?id=1k98FmEOZ
You sold me, let's have them open a store in both though...
I wonder if we'll see a store opening in Hobbs, NM. Another border town with TX doing over 1 million in sales.
Not all long-timers are gone, just little reason to post. Waiting on news which has been a long time coming, now we're getting close to the next ER. I assume a number did sell and will enter back in around august-september unless movement up begins occurring sooner.
I am interested in seeing if SHWZ can pick up distressed dispensaries for cut rate prices. I'd bet there are some they already have their eyes on, and I'd bet in this climate there are companies more interested in both selling or the security of being involved with an efficiently run, more sophisticated operation. I hope that is true and bodes well for SHWZ.
Still here, just lurking for now.
Nancy Huber to speak on a panel related to M&A and mj industry growth in August
https://www.acg.org/denver/events/cannabis-forum-budding-industry-focuses-growth-and-social-equity
ACG who is hosting it advertises themselves as a premier "deal making community"
Knife,
I hope this is also a sign there's more money flowing from the MJ sector into the political party coffers and campaigns, which is how a bill gets passed in America.
an article on ETFs in MJ faring no better than individual stocks in performance. SHWZ gets a brief mention at the end among individual stocks worthy of consideration.
https://financenews.upexampaper.com/a-reassessment-of-the-cannabis-etfs-more-finance-news/
and what adds to the long term prospect of going north is that as it drifts down and good news related to the stock itself is released it may just forestall the bleed for a short time or push it up a small percentage, but still far below where we were. And as we've seen news doesn't really move shwz that much anyway. I think most are adopting this view and this summer's slog may be the worst in pot history across the board. Really discouraging.
a possibility. they can buy the licenses and brands for bargain prices if this continues long enough.
me too, but the votes are there to override that it appears. states are responding to the tax benefits of legalization, I expected the feds to wake up and smell the potential money as well long ago (both tax revenue and loading their political coffers, their most important concern) - but none of that has really materialized. Perhaps not enough money yet flowing in to buy our congressional shills off to do something. The feds respond to funds flowing into their campaigns, no change will happen until that happens with significant cash infusions into the parties from the MJ sector. And with the bleeding going on now, that timeline is pushed out further.
That's why I think only state acceptance of MJ in an overwhelming majority will drive changes, since the feds can then rubber stamp without risk what their states have collectively already approved. Good risk-free campaign statement and photo op for them and then back to ignoring something else of value to America.
My view now on federal legalization is that will only happen when 45 or 47 states are legal for both medical and recreational cannabis use. The feds are too cowardly in congress to risk a stance on the issue until it's no longer really a stance at all, just a validation of the reality after most of the states have approved. As for SAFE banking, anybody's guess at this point if anything will progress on that or when. There will be talk again before the midterms, but so what, more talk.
I remember when I used to wish for consistent above average volume days...
I'm reassessing how much to continue to hold over the short term. Not because of lost faith in the company but lost faith in the timeline for a move to take some of my costs off the table. I had hoped for a decent move prior to the summer doldrums this year and reduce some of my overweight holdings here, the feds did not help in that regard either. Now that we're in for the long slog of summer, need to determine what to do if we get any decent pop on good news in terms of selling some and shifting elsewhere for a time. Until more news not much to talk about.
and sticking to guidance for the year. but yes, the headline will be "sales and margins weaken" or some such thing and we'll be down tomorrow
https://produceredition.webcasts.com/starthere.jsp?ei=1548621&tp_key=88d9ed2417
you can submit questions as well ahead of time
Ha, spoke too soon. But here's hoping I'm even more wrong by later today and tomorrow