Thursday , October 17 2019
Home / canada / An astonishing inventory forecast has led to sales growth in 2020

An astonishing inventory forecast has led to sales growth in 2020



For years, a large part of Wall Streets believes legitimate marijuana is the biggest investing opportunity of sliced ​​bread. Investors are fully aware of the mass black market and realize that in the course of legalization around the world, it could be tens of billions of dollars in ten years. This could allow cannabis players – and investors – to see a lot of green color.

</ p> <p class = "platnum platen-text" Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" But the legal marijuana industry was also affected by the wound phase a large number of outstanding licensing requests with Health Canada it is very important to limit how many producers or harvesters can brew a pot. Likewise, the lack of compatible packaging solutions left unfinished cannabis on the margins and are waiting to be processed. "Data-reactid =" 12 "> However, the new legal marijuana industry has also been affected by the early phase problem. The licensing requirements issued by Health Canada have limited the number of manufacturers who can breed or harvest cereals, and the lack of appropriate packaging solutions left unfinished cannabis on the margins waiting for them to be processed.

Canadian buds lie on the top of a pile of money.

Image Source: Getty Images.

<p class = "platno-platelets" Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" We are also witnessing the problem of supply and taxes California is the first year selling a recreational pot has come far below expectations in terms of sales revenue and taxes. More than the government's expected permission to issue a license, excessive bargaining offerings, and high tax rates that led to the black market's persistence, played a part in Golden State's delivering disappointing cannabis revenue. "Data-reactid =" 34 "> We also witnessed US supply and tax problems. The first year of sales of a California potter's store came far below expectations in terms of sales revenue and taxes. and the high tax rates that led to black market persistence played a part in the fact that Golden State delivered disappointing cannabis incomes.

As a result, although sales of shares for publicly traded shares are expected to increase in 2020, revenue estimates are now much stricter than, say, six months ago. In fact, out of the 60 stockpiles I track regularly, it is expected that only six will generate more than $ 500 million in sales in fiscal 2020.

These five well-known marijuana stocks should reach $ 500 million in sales in 2020

type = "text" content = "Five of the six names are the companies that you would most likely expect." <p class = "platnum-platen-text mb (1.0em) Mb (0) – sm Mt To be found as the top revenue generators the three largest marijuana breeders by the highest annual production – & nbsp;Aurora Cannabis (NYSE: ACB). Growth of crowning (NYSE: CGC), i Aphria (NYSE: APHA)& nbsp; – fourth, second and third place in sales in Fiscal 2020, based on the Wall Street consensus. Aurora Cannabis should bring 625,000 pounds at the annual rate by the end of fiscal 2020 (June 30, 2020), with Canopy Growth likely to have pushed to the north by 500,000 pounds a year and Aphria reached a maximum annual production of 255,000 pounds. mid-of 2020. "data-reactid =" 37 "> Five of the six names are companies you would most likely expect to find them as the largest revenue generators – for example, the top three marijuana growers per year – Aurora Cannabis (NYSE: ACB). Growth of crowning (NYSE: CGC), i Aphria (NYSE: APHA) – fourth, second and third place in sales in Fiscal 2020, based on the Wall Street consensus. Aurora Cannabis should bring 625,000 pounds at the annual rate by the end of fiscal 2020 (June 30, 2020), with Canopy Growth likely to have pushed to the north by 500,000 pounds a year and Aphria reached a maximum annual production of 255,000 pounds. mid 2020.

Canopy Growth is expected to generate close to $ 580 million in $ 580 Million ($ 1.0 million) 2020 sales, although the company is will still lose a lot of money how it expands to overseas markets and builds its infrastructure. Aphria, with a consensus estimate of $ 552 million in revenue, should be profitable, claims Wall Street. A large questionnaire is when a leading Aphria Diamond company will receive their permission to grow from Health Canada. And then there is Aurora Cannabis, who despite the expected sales of $ 552 million can stop losing money as it also widenes its infrastructure. "Data-reactid =" 38 "> Slate sales growth is expected to reach $ 580 million in sales in 2020, although the company will continue to lose a lot of money as it expands to overseas markets and builds its infrastructure. Aphria, with a consensus estimate of $ 552 million in revenue, should be profitable, according to Wall Street. Aphria Diamond has been licensed by Health Canada, and Aurora Cannabis is also in the process, who despite the expected $ 552 million revenue may lose money as it expands its infrastructure .

Epidiolex bottle next to the pack and two drops.

Image source: GW Pharmaceuticals.

type = "text" content = "Development of cannabinoid drugs" <p class = "platino-atom platno-tekst" Mb (1.0em) Mb (0) – sm Mt GW Pharmaceuticals (NASDAQ: GWPH) is a consensus number of shares no. 6, with an expected sales of $ 511 million. At the beginning of November, GW Pharmaceuticals launched Epidiolex, the first cannabis drug and approved by the FDA, and seems to have a clear sales pitch in one of the two approved indications. In clinical trials, the leading drug company GW Pharmaceuticals reduced the incidence of seizures from initial values ​​by 30% to 40%, which makes FDAs easier give this revolutionary medicine a green light"data-reactid =" 64 "> Development of cannabinoid drugs GW Pharmaceuticals (NASDAQ: GWPH) is a consensus number of shares no. 6, with an expected sales of $ 511 million. At the beginning of November, GW Pharmaceuticals launched Epidiolex, the first cannabis drug and approved by the FDA, and seems to have a clear sales pitch in one of the two approved indications. In clinical trials, the leading drug company GW Pharmaceuticals reduced the incidence of seizures from the initial value by 30% to 40%, making the FDA easier to turn this revolutionary drug into green light.

type = "text" content = "American multipurpose dispenser" <p class = "platno-platelet-platen-text" Mb (1.0em) Mb (0) – sm Mt Stocks of agricultural land (NASDAQOTH: ACRGF) The list is also at the 5th place, with sales forecast for 2020 at $ 542 million. The land area, which has licenses for sale, processing or production in 20 states (based on pro forma), agreed to purchase Canopy Growth based on the conditional rightAcreage conditionality is that the American government legalizes the marijuana at the federal level. "Data-reactid =" 65 "> American Multiplex Dispenser Stocks of agricultural land (NASDAQOTH: ACRGF) The list is also at the 5th place, with sales forecast for 2020 at $ 542 million. The land area, which has retail, processing, or production licenses in 20 states (based on pro forma), agreed to purchase Canopy Growth on unforeseen terms. The condition for the acquisition is that the US government legalizes marijuana at the federal level.

This amazing potato stock can bring all cannabis stocks by 2020

None of the five mentioned marijuana stocks with a projected sale of at least $ 500 million in 2020 should not be a surprise to investors. But what can really shock you is the understanding that Wall Street sales consensus estimates are currently leading as the leading revenue maker in fiscal 2020.

<p class = "platno-platno-platno" Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" Drumroll, please: & nbsp;Cresco Labs (NASDAQ OMr: CRLBF). "data-reactid =" 68 "> Drumroll, please: Cresco Labs (NASDAQ OMr: CRLBF).

Not only is Cresco Labs top selling in 2020, according to forecasts, but it is not even close. While Number 2 Canopy Growth and No. 6 GW Pharmaceuticals generate $ 580 million and $ 511 million in sales, Cresco is in second post, with $ 738 million in projected revenue for 2020. And do not think for a moment that this figure is the result of an unfair analyst who has come down from the rails. Four locked sales estimates for 2020 range from $ 670 million to $ 775 million.

The gloved processor held a freshly crouched cannabis bud in his extended left hand.

Image Source: Getty Images.

Why is Cresco Labs and not, say, Canopy Growth at the top of the sales order? A big reason could be Cresc's double attack.

type = "text" content = "First, Cresco is in the process of acquiring it. </ p> <p class =" platno-atom platno-tekst Mb (1.0em) Mb (0) – sm Mt Original house (NASDAQO: ORHOF) for what it is $ 823 million of all shares when it was announced for the first time at the beginning of April. The original house holds that it is one of the few licensed cannabis license holders in California. Being in that niche will enable Cres to leverage sales on the largest US market, as well as put their products inside the company in more than 500 California ambulances. The deal has already been approved by Origin House's shareholder, and is now awaiting certification from the US Department of Justice. "Data-reactid =" 92 "> First, Cresco is in the process of acquiring Original house (NASDAQO: ORHOF) for what valued $ 823 million for all shares when it was announced for the first time in early April. The original house holds that it is one of the few licensed cannabis license holders in California. Being in that niche will enable Cres to leverage sales on the largest US market, as well as put their products inside the company in more than 500 California ambulances. The deal has already been approved by Origin House's shareholders, and is now awaiting certification from the US Department of Justice.

<p class = "platno-platno-platno" Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" Second, Benefited from Keyhole Cresco Labs owns 56 retail licenses and 23 growing farm licenses in 11 countries. the largest markets in the United States, it should see a significant increase in sales because it aggressively pushes the opening of new retail stores. "Data-reactid =" 93 "> Secondly, Cresco Labs has 56 sales licenses for 23 farm license extensions spread across 11 states, and as a multipurpose dispenser on some of the major US markets, significant growth in sales should be seen as aggressive push opening new retail stores.

It remains to be seen whether the forecasts on Wall Street are accurate, but for now Cresco Labs – no Canopy, Aurora or Aphria – is the king of cannabis hills for 2020.

<p class = "platno-platinum platen-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = More than a colorful fool "data-reactid =" 95 "> More than a colorful fool

<p class = "platno-platinum platen-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content =Sean Williams there is no position in either of these inventories. Motley Fool recommends the Origin House. Motley Fool has publishing."data-reactid =" 100 ">Sean Williams has no position in either of the mentioned shares. Motley Fool recommends the Origin House. Motley Fool has a policy of publishing.


Source link