Planet 13 Holdings acquires Next Green Wave and, I think this is a great move for both companies. Both PLNHF stock and NXGWF stock are in my top picks of best marijuana stocks to buy now so, this adds to a track record of mine of about 5 of my Top Picks being acquired by other companies.
The deal has NXGWF stock being swapped for PLNHF stock at ~1;1/10th meaning, for every one share of NXGWF stock share you hold you get ~1/10th of a PLNHF stock share. Initially, I looked at this as being undervalued relative to what NXGWF could be valued at. After all, in the past few months the selling of a board director's shares, a director that promptly left the company, pushed NXGWF share price down significantly. My question due to this was: If that selling did not happen, would NXGWF shareholders gotten a price relative to the $0.50 per share price NXGWF was trading at before the selling?
Nonetheless, both stocks are significantly undervalued relative to where they should be when compared to the broader market.
Tag: Best Marijuana Stocks To Buy
What are the best marijuana stocks to buy? If you are interested in cannabis investing then Cannabis Investing Newsletter is the site for you to research what the best marijuana stocks are to buy now.
Lowell Farms LOWLF Stock: Strong Buy for longterm investors
Lowell Farms LOWLF stock is selling off. As it is one of my top picks I wanted to chime in on the latest financial release. Revenues were off and margins dissipated along with that. The stock selling like it has is bringing in a lot of consternation and stress among investors. But, this is a Top Pick and I wanted to assure everyone that if you look at LOWLF stock from the right angle you see what you need to see and can be reassured.
As I have mentioned in the past few videos and emails, I am putting together Discounted Cash Flow statements on the various companies that I cover. With Lowell Farms, all one needs to do is look at the direction and results. From that, the shortfall in revenue dissipates as a concern.
Let's break down some key components of Lowell Farms so that an investor can see what I am looking at. At the bottom of this analysis, you can find my call on where I expect LOWLF stock to come in at.
Buy IM Cannabis IMCC Stock For Germany Cannabis Legalization
Germany has legalized cannabis. Sort of... it's more of a promise at this point, but the plan is already being considered. Germany has 84M people; Germany just became the world’s largest cannabis market. This is big news for IM Cannabis Company IMCC stock as they are an international company poised for significant growth in Germany with the recent cannabis legalization. IM Cannabis Company is still in its growing stage; they are in Germany, Israel, and Canada. Financial numbers are not stellar at this point for IM Cannabis Company but that has more to do with the fact that they have been merging several companies recently. There was solid revenue growth for the latest Q3 quarter. But, other metrics are still lagging; IM Cannabis will need to significantly increase its revenue base in order to see improved costs and margins.
Still, despite the lack of revenue at this time, the fact that Germany has legalized cannabis is huge. With Germany legalizing cannabis, it may very well be that other countries in the EU could do the same enabling the bigger US MSOs the opportunity to expand into the second biggest economy in the world.
Keep in mind how important Germany is: California has only 39M people in the state. Germany easily eclipses California as the biggest sovereignty in the world. Any US MSO wanting to be a world dominant player will be gearing up to get in to Germany. It may very well be that IMCC gets acquired simply because this would be an easy route into this country, and simultaneously give the acquiring company access to Israel and Canada.
Video: IM Cannabis IMCC Stock Financial Charts
Here are Q3 Financial charts and data for IMCC:
Planet 13 PLNHF Stock Will Push to $12.50 then continue to grow
Planet 13 Holdings PLNHF stock is one of my Top Picks - Best Marijuana Stocks To Buy Now. There is a lot I like about this company and, I see continued capabilities with increases in this company’s revenue. For now, they are really starting spend money on SG&A, Sales, General & Administrative. That “Sales” part is what the focus is.
Nevada operations are effectively running at 100% with the dispensary. You have to understand the concept to appreciate the capabilities of Planet 13 Holdings. The dispensaries are mega-stores. These are destination-style dispensaries. When you consider that, having a mega dispensary, destination style store in Las Vegas makes a ton of sense. But, Planet 13 needs to solidify their presence. During COVID 19 lockdowns, the state of Nevada was crimped to some of the harshest capacities possible.
During that time, Planet 13 improvised the game plan and extended offers to the local population in order to grow a foundation of business. This sustained Planet 13 through the dreary times. Now, management is focusing on drawing in the Las Vegas tourists. This will take time, effort, and money. You can see this play out in the operating costs. But, you can also see the efforts gain results with the increase in revenues.
Two things to look for with Planet 13 that I want to mention:
The Chicago, Illinois store should open on time over the course of its build-out, adding to greater potential longterm for Planet 13; and,
Future guidance from analysts have next year’s revenues at $0.12 EPS.
MariMed MRMD Stock Targeting Large Upside move with continued growth
MariMed MRMD Stock is poised to continuously increase in value. MariMed has the #1 selling edible product - Betty's Eddies - in several states and they are expanding in even more states. MariMed's Q2 numbers were extraordinary; yet, they are not necessarily the best performing. They are in Illinois and one of the things that MariMed is working towards is going fully vertical. Their current strategy of licensing their products prior to entering a new state and then building into that state is solidly increasing their revenues - thanks in part to their excellent product line. Going fully vertical will enable MariMed to take complete control of its direction.
I am very bullish on MariMed; MRMD is one of my Top Picks - One of the Best Marijuana Stocks to buy now. If they continue to move into new markets and expand in their existing markets then, this is a company that will continue to grow and move higher. For now, the stock appears to be immune to the selling we have seen in pot stocks.
Trulieve TCNNF Stock to $80 and I show you how
Trulieve TCNNF Stock is an undervalued marijuana stock. But, how do we know this? I have been tasked with building a discounted cash flow statement to show the mathematics of how TCNNF stock gets to $80.00. But, I have also already done a quick analysis where my objective was $78.00, so the math adds up in other ways.
A discounted cash flow statement is an elaborate mathematical spreadsheet that looks at multiple variables. The variables include time, interest rates, rate of growth of revenues, profits, gross margins, and many other interesting input levels.
What is important to note is that many highly quantitative analysts use this methodology that enables a qualifiable mathematical derivative to establish a price target. Because this is widely used by these quants, it is important to note as this would be the price target for these quants. I will be working to incorporate this kind of mathematics into the website in the future and hope to have something concrete in each respective stock page as well as the individual article analysis.