|Bid||6.10 x 4000|
|Ask||6.13 x 1800|
|Day's Range||5.93 - 6.22|
|52 Week Range||3.75 - 16.19|
|Beta (3Y Monthly)||3.11|
|PE Ratio (TTM)||20.60|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
The formerly ousted Canopy Growth Co-Founder Bruce Linton joins Yahoo Finance’s Zack Guzman and Heidi Chung to discuss his new positions within the cannabis industry and his outlook for the cannabis market. New York Post Wall Street Reporter Kevin Dugan also joins YFi PM to discuss.
Cowen’s Vivien Azer came out with her top picks for new coverage of U.S. cannabis companies, and she is starting Green Thumb Industries at an outperform rating. Yahoo Finance's Zack Guzman and Heidi Chung are joined by Vera Gibbons, NonPoliticalNews.com Founder, to discuss.
In the stock market, risk and reward are correlated. That is, across all financial markets, the maxim is that as risk goes up, so does reward. Because of this, you won't find many low-risk stocks with multi-bagger potential. Instead, all the stocks with multi-bagger potential are often also accompanied with big risks.Thus, if you're looking for a multi-bagger stock that could rise 200% or more, it's safe to say that you are looking at stocks with big risk profiles.The key in picking winners in this group is to identify the stocks that are more likely to go boom than bust. That is, find the stocks where the upside is compelling enough -- and the probability of the stock realizing that upside is high enough -- to more than compensate for the risks.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Triple-'F' Rated Stocks to Leave on the Shelf Don't have the time to do all that analysis across hundreds of small cap stocks? No worries. I've done some of that leg work for you. Without further ado, then, let's take a look at 5 small cap stocks that could soar 200% or more over the next five years. Plug Power (PLUG)Source: Shutterstock Current Price: $2.80Potential 2024 Price: $12Five Year Upside Potential: ~330%First up, we have hydrogen fuel cell maker Plug Power (NASDAQ:PLUG). Most infamous for its 99.9% decline from 2000 to 2019, PLUG stock actually now has all the ingredients of a potential multi-bagger over the next few years.Here's the logic. Hydrogen fuel cell technology has lagged electric battery technology in terms of alternative fuel adoption for several years. But hydrogen tech is starting to catch on. This is especially true in the commercial market, where large enterprises are starting to value the longer life and shorter re-charging times hydrogen fuel cells offer versus their electric battery counterparts. This is largely why Plug Power had reported 20%-plus revenue growth since 2016.Management expects this big growth to continue, driven by expansion of HFC adoption in core commercial markets. Specifically, management is pointing towards $1 billion in revenue by 2024, with $200 million in EBITDA. Is that possible? Yes, but unlikely. Nonetheless, if Plug Power does hit those aggressive targets, the numbers shake out for the company to net about $0.50 in EPS by 2024 and likely somewhere around $0.60 in EPS by 2025.Apply a growth stock average 20-times forward multiple to that $0.60 EPS base in 2025. That implies a 2024 price target of $12, which means that in an "everything goes right" scenario, PLUG stock could rally more than 300% from here over the next few years. Aphria (APHA)Source: Shutterstock Current Price: $6Potential 2024 Price: $24Five Year Upside Potential: ~300%Next up, we have small-cap Canadian cannabis producer Aphria (NASDAQ:APHA). Aphria is most famous on Wall Street as being the first Canadian cannabis company to strike a profit. But the company -- and stock -- could be so much more than that in the long run.Consider this. Most company and analyst estimates peg the global cannabis market as growing to $200 billion in annual revenues within the next 10 to 15 years. Let's call it 15 years. Thus, Aphria is at the epicenter of a market that will be $200 billion large in 15 years.Sure, Aphria isn't a big player in that market. But they have a unique and established value prop as the low cost, discount player in the market. That value prop has enduring demand. So long as Aphria maintains that value prop and dominates the discount cannabis niche, this company will forever command a respectable share in the cannabis market.Extrapolate it out. Maybe Aphria nets just 2% share in 15 years. In a $200 billion market, that equates to about $4 billion in revenue. The company already has sky high gross margins. They should pan out around 55% at scale, while big revenue growth will drive the opex rate down to a much more normal 30% in the long run. Therefore, with Aphria, we are talking about a company that within 15 years, could net 25% operating margins on $4 billion in revenue. * 8 Dividend Stocks to Buy for a Recession Net net, that combination makes $3.50 in EPS seem doable in 15 years. Based on a market average 16-times forward multiple, that implies a 14-year-forward price target for APHA stock of $56. Discounted back by 10% per year, that equates to a 5-year-forward price target of $24 -- about 300% above today's price tag. Jumia (JMIA)Source: Shutterstock Current Price: $10Potential 2024 Price: $30Five Year Upside Potential: ~200%The third stock on this list of potential multi-baggers is African e-commerce company Jumia (NYSE:JMIA).The bull thesis on JMIA stock is that Jumia turns into the JD.Com (NASDAQ:JD) of Africa. That is, with an internet penetration rate that is only 40% but rapidly rising, Africa appears positioned for a digital economic renaissance in the 2020s that will look very similar to China's digital economic renaissance of the 2010s, which birthed many multi-billion dollar companies, like Chinese e-commerce juggernaut JD.Here are the numbers. China will close the decade at 60% internet penetration, after starting the decade around 40% internet penetration. Let's say Africa follows a similar 40% to 60% internet penetration ramp in the 2020s. At the same time, Africa projects to have the fastest growing population in the 2020s, and that population skews young. The implication? Of the 1.7 billion people that are projected to be in Africa by 2030, around 1 billion will be on the internet, and those 1 billion will largely skew young and therefore be highly engaged in the digital channel.Let's say Jumia controls just 10% of that market, for 100 million active buyers Let's also say that those buyers spend a very pedestrian $400 per year on Jumia, versus the thousands per year consumers spend on Amazon (NASDAQ:AMZN). That would give Jumia a $40 billion gross merchandise value by 2030, which with a historically average 15% take rate, equates to $6 billion in revenue.Further assuming Amazon-like 5% operating margins, that should flow into $300 million in operating profits, which should easily flow into $200 million-plus in net profits. Based on a growth stock average 20-times forward earnings multiple, that implies a $4 billion valuation by 2029. On 80 million shares, you are talking a $50 price target by 2029. Using a 10% discount rate, that equates to a $30 price target by 2024. New Age Beverages (NBEV)Source: Toshio Chan / Shutterstock.com Current Price: $3Potential 2024 Price: $15Five Year Upside Potential: ~400%The fourth stock on this list of potential small-cap multi-baggers is healthy beverage company New Age Beverages (NASDAQ:NBEV).New Age Beverages is trying to be the world's leading healthy beverage company. It hasn't worked out so far. Just look at NBEV stock over the past year. The chart isn't pretty. But thanks to a series of acquisitions, New Age Beverages has finally equipped itself with a respectable portfolio of healthy beverages that appear to be on the up and up, including Marley, Coco-Libre, Bucha Live Kombucha, Evian water and Illy coffee. New Age Beverages has consequently reported very healthy mid to high single digit organic sales growth so far in 2019.I don't see secular health awareness trends going anywhere anytime soon. These trends should create a rising tide which will lift most boats in the healthy beverage market, including New Age's healthy drinks. Further adding firepower to the top-line will be New Age's push into CBD-infused beverages in the very big U.S. cannabis market.Big picture -- the stars have aligned for New Age Beverages to report steady low double digit revenue growth over the next few years. Alongside that healthy revenue growth, margins will move higher because of positive operating leverage and gross margin expansion from a push into higher margin products. Assuming double-digit revenue growth and margin expansion, EPS here should reach around $0.75 by 2025. * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars Throwing a consumer discretionary sector average 20-times forward multiple on that $0.75 EPS target, we arrive at a 2024 price target for NBEV stock of $15. That is five-fold the current price tag on the stock. NIO (NIO)Source: xiaorui / Shutterstock.com Current Price: $3Potential 2024 Price: $14Five Year Upside Potential: ~370%Last, but not least, on this list of potential breakout small-cap stocks is Chinese luxury electric vehicle maker NIO (NASDAQ:NIO).Often called the Tesla (NASDAQ:TSLA) of China, NIO hasn't quite lived up to that reputation. Say what you will about Tesla, but from day one, the company's delivery volumes have been on the up and up, and the company has consistently grown reach, deliveries and revenues over a multi-year period.The same has not been true over at NIO. NIO started delivering luxury electric vehicles about a year ago. They company started off red hot, delivering 3,600 vehicles in 3Q18 and nearly 8,000 cars in 4Q18. But the growth narrative has come undone in 2019 amid a massive slowdown in China's auto market, and NIO's quarterly delivery volumes are at 3,500 today… and rapidly dropping.In the big picture, there are simply way too many EV companies in China, and as the market cools, it is consolidating around a few players. The implication is that most Chinese EV companies will go bust, and a few will go boom. Probabilities say NIO goes bust, hence the $3 price tag for NIO stock. But given that this company has crafted a niche for itself in the luxury market, there is a possibility NIO goes boom.Let's say it does go boom. I think China's auto market hits 30 million cars by 2030 and that 25% of those will be EVs -- so about 7.5 million EVs. NIO can maybe control 5% of the market, implying around 375,000 annual deliveries. Assuming a $50,000 ASP and auto average 10% operating margins, I think that production volume easily flows into about $1.40 in EPS by 2030.Assuming a market average 16-times forward earnings multiple, $1.40 in 2030 projected EPS should produce a 2029 price target of over $22. Discounted back by 10% per year, that equates to a 2024 price target for NIO stock of roughly $14 -- almost 400% above today's price tag.As of this writing, Luke Lango was long APHA, JD, AMZN and TSLA. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Triple-'F' Rated Stocks to Leave on the Shelf * 10 Excellent Stocks to Watch for 2020 and Beyond * 7 Consumer Stocks to Buy in an Uncertain Market The post 5 Small Cap Stocks That Could Soar 200% appeared first on InvestorPlace.
The markets were flat today as the Fed started its two-day meeting. Cannabis ETFs reported mixed performance, and cannabis stocks traded mostly in the red.
The Zacks Analyst Blog Highlights: Anheuser-Busch, Tilray, Boston Beer, Constellation Brands and Aphria
Aurora Cannabis posted its fourth-quarter earnings after the market closed on Wednesday. The company posted revenues of 98.9 million Canadian dollars.
High Tide Announces Opening of 1st KushBar Location Bringing its Total to 25 Branded Retail Cannabis Stores across Canada
Cronos Group and Aphria are Jim Cramer's top picks in the cannabis sector. Aphria’s upbeat earnings results restored investors' faith in the sector.
Aurora Cannabis (ACB) stock has been rising before its fourth-quarter earnings on Thursday. The stock has risen 12.4% this month.
Are marijuana stocks on U.S. exchanges a good buy now? The marijuana industry gets a lot of hype, but look past the smoke and analyze pot stocks on their fundamentals and technicals.
On September 6, Aurora Cannabis and Aphria were trading at a higher forward EV-to-sales multiple than their peers’ median value of 12.26.
Cannabis Countdown: Top 10 Marijuana Industry News Stories of the Week Welcome to the Cannabis Countdown . In this week’s rendition, we’ll recap and countdown the top 10 marijuana industry news stories ...
Watch the author's track record on TipRanksAphria (APHA) has had to battle itself out of a hole because of reputational issues coming from short-seller reports that suggested the company paid far too much for some of its foreign assets, along with deals that personally benefited some of its management at the time.One thing to take into account is a number of those in the financial media have been hammering the cannabis industry in general concerning whether or not they overpaid for some of their assets, so it's not something exclusive to Aphria, although it has had to endure the most visible and aggressive public attack in that regard.While there remains some overhang from the assertions, the company has been showing signs of rebounding after getting hammered after the news went public.According to interim CEO Irwin Simon, his major concern once taking over leadership wasn't the issues surrounding the negative reports, but rather how the company was operating in a disjointed way.He said this in early August in the Calgary Herald:> “There was not a strategic plan or vision. You had grow, marketing, sales, operations, Broken Coast (a licensed producer owned by Aphria) all in silos. So, you know, how do you pull all that together?”Although concerns over the value of its international assets remain, the last earnings report and accompanying guidance point to the company possibly being able to sustainably increase production and sales.While some believe guidance was too optimistic, if it is able to execute and meet its goals, it would be a huge boost to the value of the company.A key issue weighing on the companySomething that refuses to go away concerning Canadian-based companies is what their strategy is to enter the U.S. cannabis market. Those that provide visible plans, such as Canopy Growth and it buying the rights to acquire Acreage Holdings if the U.S. ever legalized pot at the Federal level.Other companies such as Aurora Cannabis have also been hit hard by the perception a company needs to reveal a U.S. strategy in order to command a premium price.Aphria has to deal with the same issue, as it focuses primarily on the Canadian market and building out an international business. I tend to think the major reason it isn't getting more interest from investors, beyond the short-seller reports, is its perceived lack of having a plan to compete in the giant U.S. cannabis market.What's interesting about that, now that Canopy Growth has faltered even with its U.S. entry plan known, some investors no longer appear to care about Aphria's strategy for the U.S.The point there is there is some schizophrenia in the market concerning this because of the double standard in regard to Canopy Growth and many of its peers. For Canopy Growth it was considered a major catalyst until it plummeted in value. Now with Aphria, some financial writers aren't even talking about it because they've apparently transferred their optimism from Canopy Growth to Aphria, are aren't including an American entry plan as important.I'm actually in agreement with that, but because of the emphasis on the U.S. market with Canopy, it looks like Aphria, at least in part, isn't getting the boost to its share price it could be getting based upon its current performance.Aphria has what many in the market are looking forFor some time I've stated that revenue was going to be the major catalyst driving the cannabis industry, and I retain that belief. That said, the market is increasingly looking for the combination of sales growth and a clear path to profitability, or as in the case of Aphria, current profitability.In the fourth quarter Aphria reported $15.8 million net income and adjusted EBITDA of $1.9 million.While the company increased its recreational sales, it didn't experience the lower costs associated with adult-usage pot, as it was able to increase its average selling price from $5.14 in the third quarter to $5.73 in the fourth quarter. At the same time it was doing that it managed to slash costs per gram from $2.85 in the third quarter to $2.35 in the fourth quarter.It also closed a $335 million-plus convertible note offering in the fourth quarter at a 5.25 percent rate, bringing the total amount of cash on its books to $571 million.That provides the company with flexibility and the ability to scale domestically and internationally.It'll also help it achieve the goal of producing up to 255,000 kilograms annually.ConclusionAphria went through a tough period because of uncertainty concerning the value of its assets and behavior of some of its management. When that was happening the cannabis market in general started to take a beating because of concerns over an economic slowdown, and what the fallout from the trade wars would be.Investors sought out safe havens at that point, which the volatile and more risky cannabis sector didn't represent.It'll be interesting to see how this plays out for Aphria, especially with the very optimistic guidance from the company, which some are somewhat dubious about.Since the company is trading at low multiples and has nowhere to go but up, if it does reach its guidance, the share price is going to soar. If not, I think it'll still do fairly well over the long term, but in the short term it'll go through more downward pressure.My thought is Aphria's management wouldn't never have guided so positively unless it believed it really could reach its numbers. And if they don't reach the numbers, how much the market punishes it will depend upon the severity of the miss.The bottom line to me is Aphria looks good for the long term, assuming it can execute on its strategy, and even if it doesn't present a plan to enter the U.S., it should be a solid performer on the top and bottom lines.See APHA's price targets and analyst ratings on TipRanksDisclosure: No position.
CALGARY , Sept. 6, 2019 /CNW/ - High Tide Inc. ("High Tide" or the "Company") (HITI.CN) (HITIF) (2LY.F), an Alberta -based, retail-focused cannabis corporation enhanced by the manufacturing and wholesale distribution of smoking accessories and cannabis lifestyle products, today announced that the Canna Cabana retail stores located in Unit #610 at 20 Crowfoot Crescent NW in Calgary and at 4806 50 Avenue in Vegreville (the "New Stores") both received their first deliveries of cannabis products from Alberta Gaming, Liquor and Cannabis ("AGLC") and has begun selling recreational cannabis for adult use. Grand opening festivities will be held at each of the New Stores on Saturday, September 7 .
TORONTO and LEAMINGTON, ON , Sept. 5, 2019 /CNW/ - Aphria Inc. ("Aphria") (TSX: APHA) (NYSE: APHA) and TruTrace Technologies Inc. (CSE:TTT) (OTCQB:TTTSF) ("TruTrace") today announced that Aphria has joined Phase 2 of the Shoppers Drug Mart ("Shoppers") medical cannabis verification pilot program (the "Pilot Program"). The blockchain-secured Pilot Program is specifically designed to increase transparency, interoperability and product identification within the medical cannabis industry.