Aphria Inc (fka APHA)

[caryPT]

chronically under valued

https://finance.yahoo.com/news/marijuana-stock-acquisition-lot-sense-111500546.html



The company reported all-time high revenue in its fiscal third-quarter results announced last month. Aphria also posted its 10th consecutive quarter of positive adjusted EBITDA, an achievement that no other major Canadian marijuana grower can claim.

My colleague Sean Williams has referred to Aphria as "chronically undervalued" compared to its peers. I don't think that Sean is too far off. While my back-of-the-envelope calculations show that Canopy Growth is the best bang for the buck in terms of projected production capacity, Aphria comes in a strong second place.

One reason why Aphria's production capacity is substantial is that the company has engaged in its own fair share of deal-making. Aphria completed an acquisition of Broken Coast Cannabis in February. It followed that deal up by completing the purchase of Nuuvera in March.

The Nuuvera acquisition positioned Aphria especially well in international markets. The company now has a presence in 10 countries other than Canada. Germany ranks as the most important of these markets right now. Aphria's buyout of Nuuvera gave it a supply agreement with the second-largest pharmaceutical distributor serving the rapidly expanding German medical marijuana market.