Replies to post #112359 on Canopy Growth Corp (WEED)

[TREND1]

Early DEC 2019
Not tried
May work out
Who knows ???

[Moeclay]

In which case, the actually product manufacturer will capitalize. We know about Marlboro (Philip Morris) but we could careless about the farmer who supplied the tobacco.

We know about beer (Budweiser) but we could careless about the farmer who supplied the barley.

The commodities traders care about tobacco, barley, etc. Eventually that's how weed and hemp will be treated. Commodities traders will care about the weight thus the price of MJ/hemp, while equity traders will care about the companies using such ingredients/fibers

[Dogger05]

But not if you are the producer of the raw ingredient. You are competing with other producers and if they Can do it cheaper, you are f’ed and will not be able to compete....gross margin of 15% makes it very likely canopy can not compete.

[happyglass]

You are so right. It amazes me how many miss that key point!