Hi Guys,
It has been a terrific run for all the Cannabis stock. It seems
to me that some of the companies have gone up a bit too much and
their valuations are currently extended.
However this is the current market place. And with the very
hopeful Congress passing banking and other decriminalization
legislation, it seems that this might just be the new range for
this Cannabis sector.
I did a bit of research and the valuation have moved up nicely.
Company Market Cap/Sales
TLRY 25
CGC 38
ACB 6.9
CURLF 17.9
So to me it seems reasonable to give NGW a bump up in its
forecast using a higher level of price to sales valuations.
So here is my latest thinking on this subject.
Current sales running at $20,000,000 annual pace.
Using 15 X Market cap sales.
$20,000,000 X 15 = $300,000,000/170,0000,000 share outstanding.
My new forecast is $1.76 USD
OK, so call me anything you want. But Guys, the market place is
talking to us. And I am only the messenger.
These are real number Guys. And do not even include the increase
in sales due to the COOKIES contract, and the new Cannabis
flower grow facility.
Buying more as funds become available.
GLTA
