Replies to post #5719 on MediPharm Labs Corp (MEDIF)

[hiroller12x]

don't ask me dawson but they just cut a bunch of international deals (and working on more I expect) and we are sitting at 60 f'ing cents. Seems like a whole bunch of confidence in a company that's about to go out of business.

that ought to count for something, but what do I know, I'm in the red up to my eyeballs.

[FUNMAN]

In this case take a look at the balance sheet and follow the news.

MediPharm has a strong balance sheet and cut "pandemic-costs" AFTER shaving some of the post-Canadian-cannabis-contraction that was right-sizing some of the companies.

MediPharm isn't going out of business. They pivoted, developing their own product lines, and have been in firm pursuit of the international markets, securing their GMP Licence opening access to the 500M EU.

They stumbled in the new and emerging Canadian cannabis business and took one on the chin. They got up, dusted themselves off, and started announcing new international deals that were the original business plan goal.

Their aim was never to be a Canadian producer for Canadian markets exclusively. It was always to be an international supplier and they are executing.

As for the disconnect between the PPS and the new deal announcements, as Bill Parcells used to say about a team and where they stood, you are what your record says you are.

MediPharm's trailing revenues were cut by 2/3's. No one thinks they should be rewarded for that.

However, as a keen follower of MediPharm, the deals they are announcing are in much bigger and growing Cannabis markets than Canada. Particularly Brazil.

So now we need to be patient. Revenues from new deals should lag by 1 - 2 Qs.

When they show The Street they have their legs back under them, people will start buying the essential service companies again.

[GE_Jim]

Questions you say, I like questions.
Interesting questions. I’ll start with some light duty answers. Of course, there can be a real disconnect. You see it everywhere, stocks that are over bought and over sold, stocks that are controlled by Momo players, shorts, hedge fund drivers and option players. A lot of money can be made by controlling the price. But in every case it's a shorter term play.

RE: In other words, as the stock price goes lower, can the company still remain in business

Sure, this company has positioned itself where there is no threat of bankruptcy. Their running their business plan and build out just fine, during this time of covid fears, election fears, market fears and social unrest they just quietly go about their business of the expansion.

Currently they are doing what they said they would be doing.
Every 90 days they have the filings on how they did, what they did and what they will be doing next.

And that is where the progress needs to be measured along with the management and the business plan developments and that is where a keen eye will learn the most.