Hi Guys,
For me yesterday was an affirmation of the stated NGW grow plan.
Colainga, California is confirmed as the NGW operating base for the next several years.
NGW stated that they are sold out of flower each month. However sales will continue grow as NGW continues to expand its branded products, of Cannabis base, rolls, vapes, lotions, gummys. And also starting in the first quarter of 2021 seedlings.
Mr. Jennings ( I will now only use the tag name Mr. Jennings out of respect for his accomplishments) stated that the company currently sells 40,000 3.5 oz. Cannabis flower jars each month. High quality flower retails for $80 per 3.5 oz. jar. So lets say NGW wholesales the item at $35 each 3.5 oz. Cannabis flower jar.
That give NGW a base sale $$ of $1,400,000. Can NGW it small flower and plant trim to support the additional product branded offering. In addition they can purchase high quality trim and use this to expand their product capacity each month.
For me it seems very reasonable that NGW will be moving its sales upwards toward $2,500,000 per month by the end of the first quarter of 2021. That makes the run annual sales run rate of at lease $30,000,000.
So, for me I am not selling any of my shares. In fact I am adding to my position. And will continue to do so. The valuation of the current NGW selling price is just undervalued by any financial metric that you might apply.
For all not to worry. Just remember that NGW is just getting started. And that they have a detail business plan that they have shared with the public. Lets fast forward to end of the second quarter of next year as the sales growth is easily showing that the building expansion will be paid for by profits. What will the share price be at that point. Much higher in my opinion for sure.
It will take some time but those of us that are willing to wait will be greatly rewarded.
NGW will get it market recognition sooner than later.
And the valuations in its share price will swing upwards to a much higher valuation.
Buying more as funds become available.
GLTA
