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Cannabis (Marijuana) Stocks

  • Last Updated:
  • Jul 15th, 2019 1:47 pm
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Jul 11, 2011
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Ontario
Drakestar wrote:
Jun 14th, 2018 1:56 pm
I've got 10k at 1.11, so hopefully I can pocket a grand on the bounce:)
We might still get a double-bounce of that 1.07 tomorrow, but most is dependant on what the sector does here

WEED just went for a little profit-taking dive.
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Feb 27, 2013
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Calgary
JoJoC93704 wrote:
Jun 13th, 2018 9:23 pm
Anyone went in on previous CBW now renamed as Auxly Cannabis Group Inc.?

It seems like the company has money but it's really low in price worth...

Any insights?
JRGUINNESS wrote:
Jun 14th, 2018 6:47 am
Few people here are holding... I know there was a BD at 1.40 but I have no idea why this thing has slide Al the way down to 1.12 now.

Could be because they don't grow weed themselves, but rather acquire it from the company's they help consultant?

Think after royal assent it will pop back tho. Well hopefully anyways
imflying12 wrote:
Jun 14th, 2018 7:56 am
Can anyone shed some light as to what is good about this company? (CBW?)
I understand that they will receive streaming income from the mj companies they fund?
JRGUINNESS wrote:
Jun 14th, 2018 9:06 am
My understanding...

They don't grow themselves, so they don't have to front the cost to produce. Rather they invest / consult growers for a state of the product once it is produced.

AKA they invested in HUGE, and once HUGE is up and running XLY will receive 49.9% stream of all cannabis produced.

As per the TSX New Feed: https://web.tmxmoney.com/article.php?ne ... symbol=XLY

"Pursuant to the Company’s agreement with FV Pharma, in exchange for access to the Cannabis Wheaton platform which includes ongoing financial, design and operational support and expertise, Cannabis Wheaton will receive a 49.9% stream of all cannabis (or cannabis-derived products including any immature cannabis plants and any cannabis trim) produced at the Facility, under partnership with Cannabis Wheaton, in perpetuity."

It's actually kinda smart, but a Long Play.

I think that's why it's been on the decline recently... since they don't have any MJ producer with product for sale yet.

Please correct me if I am mistaken.
In my opinion there are 2 large problems with CBW/Auxly, the first is lack of transparency, case and point is we have 4+ people here who don't fully understand their business model and what they're doing.
  • This was REALLY BAD prior to the Auxly rebrand, as CBW did not disclose all their partners on their website nor was it fully disclosed in their sedar filings (not required).
  • However, since rebranding to Auxly they've really improved the transparency of all their partners on their website https://auxly.com/partners/ . Before this change, you literally had to sift through all the news releases like putting together a giant puzzle. These news releases also didn't provide the full details of the streaming agreements.
  • They also did not disclose details of deals falling through: Artiva (future phases), Evergreen, Green Relief, Great White North Growers.

Originally they were purely a streaming company, but as this was not sustainable they branched out into JV agreements and their own wholly owned companies.
  • Streaming: CannTx, Beleave, Level 10, Curative, Pontiac, Restoration, Lotus, ABcann, PlanC, Groupe IDP, SGSC = ~9,300kg/annum from LPs and ~34,500kg/annum in the pre-license stage.
  • JV Assets: GreenhousesCo and FV Pharma, the former comes from Peter Quiring who is as legit as they come (he developed Aphria's greenhouse), the latter is good on paper but from an investment POV isn't great. FV Pharma represents ~18,750kg/annum, GreenhousesCo is pre-license and represents 60-80,000kg/annum.
  • Wholly-owned production: Robinson's (late-stage applicant, ~10,000kg/year @ phase2), KoLab (Licensed) ~2,000kg/annum. KoLab also recently picked up a SK Retail license.
  • Retail: Inner Spirit Holdings: 10%+ ownership + supply agreements, Province Brands: 10% ownership (beverages)
  • International & R&D: Dosecann & Inverell

Given all this I think it's fair to say they are vertically integrated through some complex agreements and alliances, but so much of their production potential is pre-license. I also wouldn't hold my breathe on Inner Spirit Holdings ability to execute as evidenced recently with their lack of locations in SK (1 location iirc). I will also say they have a pretty strong management team and a very strong advisory board.

However their second biggest problem is their capital structure, last year they issued over 137 million warrants with an exercise price of $0.023, similar to HUGE this is just gonna get executives rich on the shareholders back. Last quarter 128 million warrants were exercised with an average price of $0.683. Currently there is still ~117 million $0.023 warrants outstanding with ~552 million shares outstanding. So while the average investor is left holding the bag with their $1.5-1.80 units/warrants the executives reap all the benefits with their penny warrants. This is the number one reason I'm not an investor; we saw what happened with MMED when they were blatant and transparent about their rich compensation packages, only after they added a performance component has it began to recover.
~Let your actions reflect your desires
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Jan 29, 2008
358 posts
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What are your top set and forget weed stocks right now? I'm holding WEED, APH, ACB, BLO right now and would like to add another one or two. I don't day trade. I just buy and let it sit in my account. Would like something on the cheaper side with high upside with a strong foundation (who doesn't, right?).

Thank you guys.

Warm regards,
www.havejerseys.com - Vintage throwback movie and hip-hip jerseys. Always high quality, always low prices 😎
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May 17, 2012
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fix23 wrote:
Jun 14th, 2018 3:23 pm
What are your top set and forget weed stocks right now? I'm holding WEED, APH, ACB, BLO right now and would like to add another one or two. I don't day trade. I just buy and let it sit in my account. Would like something on the cheaper side with high upside with a strong foundation (who doesn't, right?).

Thank you guys.

Warm regards,
you've got the big 3.

the next tier down are THCX, OGI, maybe CRON. in no particular order
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Jan 29, 2008
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esoxhntr wrote:
Jun 14th, 2018 3:27 pm
you've got the big 3.

the next tier down are THCX, OGI, maybe CRON. in no particular order
Thank you brother.

Warm regards,
www.havejerseys.com - Vintage throwback movie and hip-hip jerseys. Always high quality, always low prices 😎
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esoxhntr wrote:
Jun 14th, 2018 3:27 pm
you've got the big 3.

the next tier down are THCX, OGI, maybe CRON. in no particular order
I think TRST is a strong contender for Tier 1/2. Slow, steady growth, I'm calling it my MJ high-rate GIC
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hebsie wrote:
Jun 14th, 2018 3:43 pm
I think TRST is a strong contender for Tier 1/2. Slow, steady growth, I'm calling it my MJ high-rate GIC
I think this is definitely 1 I will add to my list. Love the confidence. Love all weed stocks under $10, lol.

What do you think about XLY? Debating adding some of this one as well.

Warm regards,
www.havejerseys.com - Vintage throwback movie and hip-hip jerseys. Always high quality, always low prices 😎
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Feb 27, 2013
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fix23 wrote:
Jun 14th, 2018 3:47 pm
I think this is definitely 1 I will add to my list. Love the confidence. Love all weed stocks under $10, lol.

What do you think about XLY? Debating adding some of this one as well.

Warm regards,
+1 for OGI or TRST, OGI actually has more licensed capacity than APH at the moment, TRST is killing it on the medical side with ~15-20% market share, also killer balance sheet.
~Let your actions reflect your desires
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White Comet wrote:
Jun 14th, 2018 3:44 pm
Wanted to add more XLY but couldn't...since I bought some more at 1.14 and 1.11 in previous days...Ugh
I bought XLY.wts today at .31 for a nice little .05 pop!
Sr. Member
Jan 22, 2018
749 posts
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Nice little run up on BUDD today... was able to cash out.... now back to all cashThinking Face lol

@hebsie very sorry to hear the news about your dog! Wishing him all the best!
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Jun 20, 2011
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If you guys had to choose between ACB and TRST which one would you select?
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Feb 27, 2015
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Toronto, ON
My entry is 7.25 on TRST.

Not likely to hit, but you never know.

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