Village Farms Intl Inc (VFF)

[MrCheap]

From Stacks post on other board, “ Village Farms


Village Farms wins the top prize among marijuana stocks, with its share price skyrocketing more than 450% this year. What's especially interesting is that at the beginning of 2017, Village Farms wasn't a marijuana stock at all.

The Canadian company ranks as one of the largest growers of greenhouse tomatoes, bell peppers, and cucumbers in North America. In 2016, Village Farms CEO Mike DeGiglio expressed interest in expanding into the medical marijuana market. That idea turned into reality in June 2017 with Village Farms' announcement of a joint venture with Emerald Health.

As part of the deal, Emerald Health initially converted 25 acres of one of its greenhouse facilities to grow marijuana for the medical cannabis market now and potentially the recreational marijuana market in the future. Over time, Village Farms could convert all of its Delta, British Columbia, greenhouse facilities to grow marijuana. The company believes that its joint venture with Emerald Health will become the lowest-cost marijuana producer in Canada.

It didn't take long for the impact of the transition into marijuana on Village Farms' financial results to be felt. When the company reported its third-quarter results in November, EBITDA was up 78% year over year. In the second quarter, Village Farms' EBITDA declined from the prior-year period. “