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Neptune NEPT Stock Flattened - Do You Buy The Dip?


D. H. Taylor
(@cannabisinvestingnewsletter)
Member Admin
Joined: 1 year ago
Posts: 305
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Neptune Wellness NEPT stock is in a transformational period.  These kinds of things - transformations - usually translate into a bit of pain in some fashion or another.  Neptune is getting into higher growth & margin product lines; they are leaving behind the lower-margin extraction business model.  The latest financial release tells a story that there is going to be continual pain; the subsequnet stock drop should confirm that for you..

The question is:  Is Neptune Wellness NEPT stock a solid opportunity?  In the Complete List of Top 100 Cannabis Companies Neptune's metrics are impressive in some areas but, not so impressive in other metrics.

The current idea behind Neptune Wellness is that they get away from extraction of THC products that they had contracted to provide for Canopy growth CGC stock, The Green Organic Dutchman TGODF stock, and Tilray TLRY stock, to name a few.  The thing is, if you are the middleman on this, doing all of the dirty work of extracting the THC from hemp and cannabis products,  So, Neptune is now in tbe busines of selling premium name brand products and letting others do the extracting for them.  Actually, this is one of the best business models.

The question for NETP stock holders becomes: Is Neptune Wellness transformation going to succeed and when does the pain stop?  For new investors, is this a bargain of a lifetime or a stock to avoid at all cost?  For existing shareholders, how long until they are out from being underwater?


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