Medicine Man Technologies Inc (SHWZ)

[damAcon1]

Inflation might slow the amount of new investors willing to hold/add cannabis stocks...but industry excitement, specifically surrounding political influence, IMO, is the quickest way the SP increases. We all know Schumer will have it as part of his reelection campaign. In addition, Perlmutter is still focused on getting SAFE Banking passed before he retires. Historically the odds arent in his favor, but this could drive excitement back into the industry (personally I am not counting on any 'promise-based' industry spike to be maintained). We also havent surpassed the 30-day tax loss wash rule. Will we see a pop come February? What I believe we will see in 2022/23 is other states considering adult use because they are losing potential tax dollars to neighboring states. For instance, if NJ finally opens its recreational doors, this could force the legislature of PA to finally accept what the majority of Pennsylvanians want...adult use. As for lower demand, I think that has to be expected as the industry matures. This is just another factor in competition that will prove operator efficiency. Just because demand is decreasing doesn't necessarily mean that SHWZ's revenue will follow suit. They could offset this by increase consumer market share...which I believe is happening. Now do I see a down Q4, yes, only because money has been spent to grow the business. However, like past earnings, Dye could continue to surprise...and that is what I am hopeful for.