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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: gcrispin who wrote (61625)	1/11/2019 8:49:17 AM
From: E_K_S	Read Replies (1) \| Respond to of 78748

My Value Bet play on CBD oils and the process you describe is NEPT. They finally received their processing license last week and s/d be one of these low cost producers you described. One of the only POT companies actually w/ sales and gross profit and selling below BV. $3mln in debt so really not too much leverage compared to many of the other start ups. I have shares from 2014 as they were a producer of krill oils and pivoted into POT oils. Holdings have doubled since then and has grown into a No 12 position in the portfolio. Just holding shares for now and looking for POT oil revenues as company signs new processing agreements. Good investing EKS

To: gcrispin who wrote (61625)	1/14/2019 10:03:05 AM
From: Graham Osborn	Respond to of 78748

That's really the main point on the industry from a future prospects standpoint. Cannabis is a commodity product. Commodity markets are characterized by boom-and-bust cycles resulting from cyclical overcapacity, accompanying leverage, and the inevitable bankruptcies that follow when the price of the commodity tanks due to overproduction. The only way to earn consistent profit margins in a commodity market is to control the entire market. I almost never invest in commodity products for this reason.