Michael Regan


Before election, focus on fundamentals, not emotions, in cannabis investing

Since we last looked at the performance of U.S. and Canadian operators on July 10, publicly traded cannabis companies have seen some interesting stock price trends as candidates running for the top offices in the U.S. take positions on marijuana reform. For a week in October, sentiment improved and cannabis stocks rallied on four words […]

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Cannabis companies with specific plans for new funding find success at raising capital

Capital markets remain very tight, but they started to open up again for marijuana companies in the third quarter of 2020, as shown in Viridian Capital Advisors’ deal tracker. Yet demand remains much greater than the supply of available funding, driven by the capital intensity of the industry and the limited participation by most institutional […]

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US marijuana companies outperform Canada’s to erase discount in second-quarter earnings season

The stocks of U.S.-focused operators have rallied while Canada-focused operators have underperformed in the second-quarter earnings season, closing the valuation gap on enterprise value-to-2021 sales.  The rally in the United States bodes well for the thawing of the capital markets for U.S. operators – at least for those that can show strong and profitable revenue […]

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Tight capital markets – worsened by COVID-19 – derail Schwazze’s cannabis acquisitions

Already struggling capital markets further tightened by the coronavirus, a declining stock price and an improving legalization outlook for cannabis have combined to derail five of the 10 planned deals in Schwazze’s strategy to consolidate the Colorado market. While COVID-19 actually has improved the long-term investment case for the marijuana industry after state governments deemed […]

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As cannabis investor reset continues, estimates at risk of further cuts in 2Q earnings season

Though revenue and profit estimates for the cannabis industry have declined, the upcoming second-quarter earnings season brings the risk of further estimate cuts. California-based KushCo Holdings might be a forewarning for the industry given that it already reported its financials for the quarter that ended in May and supplies many larger cannabis companies. KushCo’s results […]

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