|Bid||0.0000 x 0|
|Ask||0.0000 x 0|
|Day's Range||2.2500 - 2.4000|
|52 Week Range||1.8300 - 4.1700|
|Beta (5Y Monthly)||1.22|
|PE Ratio (TTM)||N/A|
|Earnings Date||Nov 10, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
One of the more interesting stories in the U.S. cannabis market is the opening up of the developed cannabis market in Colorado. Prior to the passing of Colorado’s House Bill 19-1090, publicly traded companies weren’t allowed to own or invest in Colorado cannabis businesses.The bill went into effect on November 1, 2019 opening up the $1.6 billion market opportunity to public companies previously focused on new states opening up recreational use such as Illinois. The state has long been used as an example for the regulatory environment such as the high level of dispensaries compared to the relatively low levels in Canada. The main drawback has been the lack of public investments.According to estimates, Colorado has one retail store per every 10,000 residents. The state first legalized cannabis back in 2014 and has over 560 outlets serving a population of 5.7 million residents.The state serves as an example of the ramp up period needed to reach normalized cannabis sales. Back in 2014, Colorado started with slightly above $40 million in monthly sales and recently topped $160 million to reach $1.6 billion in annual sales. Sales growth has nearly plateaued since the fourth year of legalization with sales topping $1.5 billion in 2017. Also worth noting, medical marijuana sales have only declined since the original sales levels of $30 million monthly.With this in mind, we’ve delved into three U.S. companies set to expand into the well-established Colorado cannabis market in an attempt to consolidate the market. Using TipRanks’ Stock Comparison tool, we lined up the trio alongside each other to get the lowdown on what the near-term holds for these cannabis players.Columbia Care (CCHWF)Columbia Care made the most direct move into the Colorado cannabis market with the purchase of The Green Solution (TGS) for $140 million. TGS is listed as the largest vertically integrated cannabis operation in the state with trailing proforma revenues of $73 million.TGS operates 23 dispensaries in Colorado now with 48,000 pounds of cultivation capacity with combined indoor greenhouse and outdoor flower. The company has plans to expand cultivation to 150,000 pounds by 2023 providing for over 200% growth in the next few years.Columbia Care suggests the deal priced at 1.6x 2020E sales or the equivalent of $87.5 million in revenue from TGS. The deal price is relatively low due to the limited growth expected from Colorado in general and the acquisition target specifically.In total, Columbia Care forecasts a total US footprint of 93 facilities covering 15 jurisdictions in the U.S. with an addressable market of 155 million people. The deal nearly doubles the size of the MSO making Columbia care a suddenly large player in the cannabis business while increasing the path to profits when the deal closes in the 1H of the year.Columbia Care only has a market value of $740 million with quarterly revenues of $22 million. The company is definitely a less risky way to participate in the consolidation of the Colorado cannabis market.Wall Street analysts are on the same page. 3 Buys compared to no Holds or Sells add up to a Strong Buy consensus rating. Additionally, the $10.82 average price target implies 252% upside potential. (See Columbia Care's price targets and analyst ratings on TipRanks)Medicine Man Technologies (MDCL)The one stock now most tied to the new rules in Colorado is Medicine Man Technologies. The company has announced 12 deals to consolidate a whole list of cannabis operators when the deals are finalized in the next few months.Once closing all of the deals, the company predicts having 12 cultivation operations, seven product manufacturing operations, 34 dispensaries along with research, development and innovation assets. Medicine Man forecasts the combined*- businesses generating 20% EBITDA margins with a goal of reaching 30% margins via collaborative growth and economies of scale in the future.Prior to the deals closing, Medicine Man generated Q3 revenues of only $5.3 million with a net loss of $1.8 million. The company had a cash balance of $15.2 million. Most of these numbers are irrelevant due to the pending acquisitions.Medicine Man will need a strong management team to carry off the integration of a dozen separate business units working on a range of products from dispensaries to edibles to cultivation and production facilities. The stock is the best way to obtain a pure play in the Colorado market, but the financials of the company are still largely unknown. Due to the potential here, the stock trades above the levels from last year.Curaleaf (CURLF)The last stock set to benefit from the new laws allowing public companies to invest in Colorado is more of a speculation. Curaleaf is in the process of becoming the largest cannabis company in the world and the company recently obtained one of the 14 medical marijuana licenses in Utah.The logical conclusion to the large ambitions of Curaleaf is that the Utah business provides for the easy step across the state line to Colorado. The company recently closed the Select deal and has another major pending deal with Grassroots to enter the Illinois market. Once these deals are done, the company will likely return back to looking for more deals.While these other states offer growth opportunities, Curaleaf has national ambitions and the establishment of operations in Colorado is only logical. With over 500 dispensaries in a competitive market, one can easily foresee the company making a similar deal as Columbia Care to acquire an established chain in need of capital or better management to grow operations and consolidate market share.Curaleaf is forecasted to top $1 billion in annual sales this year so a similar move to Columbia Care won’t move the needle drastically, but rather Colorado provides a more certain growth opportunity and likely positive EBITDA to help build the business. The stock is trading close to the lows below $7 despite the substantial opportunities still ahead in the U.S. cannabis sector due to opportunities in Colorado.What does the rest of the Street think? As it turns out, 7 out of 8 analysts that have published a recent review see the stock as a Buy, making the consensus rating a Strong Buy. Adding to the good news, the $9.13 average price target indicates 44% upside potential. (See Curaleaf's stock-price forecast and analyst ratings on TipRanks)
Medicine Man Technologies (OTCQX: MDCL) is pleased to announce it has been named to the 2020 OTCQX® Best 50, a ranking of top performing companies traded on the OTCQX Best Market last year.
Deals Signed with Holders of Dispensary Licenses in Los Angeles and Las Vegas By John Jannarone High Times announced it will open two flagship retail stores offering cannabis under dispensary licenses, giving the strongest brand in the marijuana industry a new engine of growth as it prepares for a public listing. Formally known as Hightimes […]
Vertically integrated seed-to-sale cannabis company Medicine Man (OTCQX: MDCL) announced Monday that Brian Ruden is the newest addition to the company's board. Ruden is the co-founder and CEO of Starbuds, a chain of dispensaries with operations in Colorado, Hawaii, Louisiana, Maryland, Massachusetts, Oklahoma and Washington, D.C. "Brian joins our board at the forefront of the company's next stage of growth," Medicine Man CEO Justin Dye said in a statement, adding that Starbuds is on Medicine Man’s list of announced pending acquisitions.
Medicine Man Technologies Inc. (OTCQX: MDCL) (the "Company") announced the election of Brian Ruden to its Board of Directors. Ruden is the co-founder and CEO of the Starbuds chain of dispensaries and a recognized business leader in the cannabis community with extensive regulated cannabis knowledge and expertise.
Only a week after Brazil came out with medical cannabis regulations , another Latin American nation has taken a step forward in the marijuana space. Peru finally rolled out the sale of medical cannabis ...
Medicine Man Technologies Inc. (OTC: MDCL) announced Monday that it has appointed Justin Dye of Dye Capital as CEO and executive chairman. In this role, Dye will concentrate on the company’s push for planned acquisitions and strategic growth, according to Medicine Man. The company said it plans to close a series of pending acquisitions in the following year, after which it will run 12 cultivation operations, 34 dispensaries, seven product manufacturing operations and advanced research, development and innovation operations.
Medicine Man Technologies Inc. (OTCQX: MDCL) announced today several changes to its executive leadership team. The changes reflect a thoughtful and strategic approach to long-term growth for the organization.
Every year, the movers and shakers in the cannabis industry gather in Las Vegas for a week of events and networking. This year, one of the longest-standing award shows in the space, The Cannabis Business ...
Medicine Man Technologies (OTCQX: MDCL), one of the state's pioneers in the cannabis industry, entered into term sheets with 12 of Colorado's cannabis businesses since the recent passing of Colorado's House Bill 19-1090. HB19-1090 or the "PubCo" bill allows publicly traded companies to own and invest in Colorado cannabis businesses. The Company was one of the first publicly traded companies to submit suitability and change of ownership applications to the Marijuana Enforcement Division to apply for approval to acquire Mesa Organics, one of the announced pending acquisitions, as part of the new legislation.
It's no secret that the overall cannabis market has been going through a correction, with many of the well-known names like Canopy Growth (CGC) and Aurora Cannabis (ACB) getting hammered.While I expect a turnaround by mid-year 2020, there are some companies that are likely to catch many in the market by surprise, and be among the top performers of 2020.In this article we'll look at why those three stocks have enormous potential over the next 12 to 18 months.Cresco Labs (CRLBF) Of the three companies covered in this article, Cresco Labs is projected to be the industry leader for revenue in 2020, although it also comes with the caveat of needing to close its deal with Origin House to achieve its projected sales numbers.Also, if the deal does pass regulatory scrutiny, another issue will be the timing of the approval and closing of the deal, which will determine how much of Origin's sales will be included in the performance of Cresco Labs in fiscal 2020.The four 2020 revenue estimates for Cresco are in a range of $670 million to $775 million, with an average of $738 million. For some perspective, the projected No. 2 revenue leader for 2020, Canopy Growth, has a revenue estimate of $580 million for the year. That's a huge gap by any measure if the projections are accurate.There are a couple of reasons for the potential revenue growth. The first is the Origin House acquisition for $823 million.The importance there is Origin House is licensed for cannabis distribution in California, which includes over 500 dispensaries it can sell its products in.Outside of the Origin House deal, Cresco Labs also has 56 retail licenses and 23 cultivation licenses in 11 states, which includes many of the largest cannabis markets in the U.S.Even without the Origin House deal Cresco would post some solid numbers, but if it does receive approval from U.S. Justice Department, it's probably going to rapidly become the largest cannabis company in the world as measured by revenue.I'm not totally convinced yet that the deal for Origin House is guaranteed to be approved, primarily because the Justice Department has started to take a narrower view of potential market domination by larger players. But if it does pass, it's going to be a huge game changer for Cresco.I don't believe it's priced into Cresco at this time, and if it able to close on the deal, combined with its expansion in other states, it's going to shock and surprise a lot of people at the amount of revenue it is able to generate.On the negative side, there is also the fact it will heavily dilute itself in the all-stock deal.While I think the revenue projections may be on the high side, even if they don't quite reach those levels, Cresco is going to become a top player in 2020. It doesn't trade at a lot of daily volume at this time, so when the market starts to take notice of its growth potential, volume is going to skyrocket along with its share price.On the other hand, if Origin House doesn't close, the market will punish it heavily, even if it does enjoy growth from its existing business.The word of the Street is an overwhelmingly bullish one for this cannabis stock, as TipRanks analytics exhibit Cresco as a Strong Buy. Out of 5 analysts polled in the last 3 months, all 5 are bullish on the stock. With a return potential of 155%, the stock’s consensus target price stands at $14.13. (See Cresco's price targets and analyst ratings on TipRanks).Harvest Health & Recreation (HRVSF)Harvest Health & Recreation, like Cresco Labs is reliant upon closing acquisitions to reach the projected 2020 revenue potential the market is looking for.The company has a number of pending deals to be closed, including CannaPharmacy, Devine Holdings, Falcon, and Verano Holdings.The largest of these should be the first approved of, as Harvest Health waits for Verano Holdings to pass the waiting period associated with the HSR Act on December 4.In the second quarter Harvest Health generated revenues of $26.6 million. After these deals close it's expected to produce pro forma quarterly revenues of $78 million. Analysts covering the company project 2021 revenues to soar to an astounding $1.28 billion.One downside for Harvest Health is there are no visible numbers investors can sift through because of the companies it's acquiring being private. So until the deals are closed and a quarter or two are under its belt, the market probably won't reward the company in the near term, as much as it will further out if the projected revenue results prove to be accurate.If they are, I think Harvest Health could easily triple from there.Analysts agree. Among those who do cover the stock, the consensus is a Moderate Buy, and the 12-month average price target stands tall at $15.313, implying room for a robust 477% upside from current levels. (See Harvest Health stock-price forecasts and analyst ratings on TipRanks)Medicine Man Technologies (MDCL)Medicine Man Technologies has potential to have its share price soar more than even Harvest Health and Cresco in 2020. The company is expected to close on 12 deals in the first half of 2020.Management said this in the last earnings report:> "Upon closing of these acquisitions, which we anticipate in the first half of 2020, the company will have 12 cultivation operations, 7 product manufacturing operations, 34 dispensaries including two currently under construction, world-class research and development capabilities and infrastructure, all built for scalability."I have no problem agreeing with the assertion by management that it'll be one of the largest cannabis competitors in the North American market, once these deals are closed.The company stated that on their own, the combined revenue coming from the acquisitions will be $170 million. It also said it expects "healthy EBITDA margins."Assuming the company is willing and able to close on these deals, I see it getting its huge increase in share price from a ongoing string of media reports on the closing of the 12 deals and the impact they'll have on the performance of the company.With little in the way of short-term visibility for these acquisitions, there won't be a lot of knowledge concerning fundamentals until the company starts to report the impact of the new businesses on its top and bottom lines. That won't come till further out.For that reason, I do believe the share price of Medicine Man Technologies has the potential to skyrocket in 2020, but I'm not certain it will be able to maintain support levels once the numbers start coming in. (Get TipRanks' free stock analysis report on Medicine Man)ConclusionAll three of the companies covered in this article have the potential to surprise the market to the upside in 2020. The caveat for all three of them is they are dependent upon acquisitions to achieve their numbers. The other issue is there's not guarantee all the proposed deals will be allowed to go forward or close.While I think the majority of them will close, the question is which ones won't close, and what impact it'll have on revenue.More important, my thesis is that all three of these companies should enjoy a strong boost in share price in 2020. It has yet to be proven whether or not these increases in value will be sustainable based upon revenue and earnings outcomes.For that reason I see Medicine Man Technologies, Inc., Harvest Health & Recreation, and Cresco Labs having a lot of potential upside over the next 12 to 18 months, but once more visibility comes concerning revenue, earnings, debt and dilution, and how strongly the cannabis market rebounds in 2020, it's questionable as to whether or not they'll be able to grow organically once the companies are under their wings.If these companies perform as I expect them to, once they get rewarded by investors for the deals being made, I would take my profits and wait to see if they will be able to grow beyond the initial positive impact of the immediate revenue added to their numbers.To find other good ideas for cannabis stocks trading at fair value or better, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.
Medicine Man Technologies, Inc. (OTC: MDCL ) posted third-quarter revenue of $5.34 million on Monday, up 14% from $4.67 million in the same quarter of 2018. The company disclosed a net loss for the quarter ...
The vast majority of the cannabis market has been beaten down over the last year as the market is concerned about a myriad of issues in the once hyped sector. The Canadian sales aren’t living up to expectations after recreational cannabis legalization in October 2018 and the U.S. companies are facing issues with raising capital at reasonable costs due to a lack of cannabis legalization on a federal level.The global market is still forecast to top $200 billion in annual sales in the distant future, but investors always need to remember that companies have to survive the present market. The cannabis sector is rife with opportunities under the surface while the majority of the media headlines focuses on the major Canadian LPs that obtained lofty valuations in the initial market over reaction to the potential cannabis opportunity.Market darling Aurora Cannabis (ACB) is down over 60% from the 2019 peak over $10 and the stock has lost ~28% from the starting price for the year. The original IPO hype from Tilray (TLRY) sent the stock surging to $300. In the months following, the Tilray has lost up 90% of the peak value and the stock is down nearly 70% YTD. A whole list of dozens of Canadian and U.S. cannabis stocks have suffered similar fate in 2019.The market isn’t all bad, but investors haven’t made any money this year chasing the well-known names. We’ve delved into these three cannabis companies that have generated stock gains in 2019 and are poised for more upside going into 2020:Trulieve Cannabis (TCNNF)Though Trulieve Cannabis is down from the highs above $16 this year, the stock started the year around $8 and has generated a 35% gain YTD with the current move above $11. The U.S. multi-state operator (MSO) based in Florida avoided the high-profile acquisitions around the market peak that has snagged the other major MSOs. The company focused on profitability over pure revenue growth and the stock has rewarded shareholders this year.Trulieve recently opened their 39th store in Florida and is slowly moving beyond a Florida focus while most other players took the aggressive expansion plan to reach operations in as many states as plausible. The company now has plans to enter California, Massachusetts and Connecticut plus a couple of other states this year via minor deals where Trulieve will only have one or two retail dispensaries in each of these news states at year end.Even without aggressive acquisitions, the company still produced 149% revenue growth in the June quarter. The most impressive part of the Trulieve story is that the company has 65% gross margins and only spends mid-20% of revenues on operating expenses to generate a substantial EBITDA margin.The stock has a market value of $1.2 billion with revenue targets approaching $400 million in 2020. The company generated over $31 million in adjusted EBTIDA in the last quarter alone allowing for more stock gains with these strong bottom line metrics in a market where most companies produce loses.All in all, Wall Street is quite positive on this 'Moderate Buy' stock; Trulieve has received 2 'buy,' and one 'hold' ratings in the last three months. Running the numbers across the Street, the 12-month average price target lands at $19.62, representing over 70% upside from current levels. (Find out how the Street’s average price target for Trulieve breaks down)Village Farms (VFF)Another company that has generated stock gains this year is Village Farms, despite a scathing report from Citron Research back in April. The research firm known for aggressive short positions suggested the company had so many red flags the stock should be valued at $1.While half the cannabis sector stocks are actually trading at $1, Village Farms is now up over 140% from the January price in the face of these allegations. The company created a 50%-owned JV to turn greenhouses growing vegetables into a cannabis cultivation business that has worked better than planned.The stock is worth $412 million, and Village Farms generated $53.5 million in quarterly revenues with $12.1 million from the Pure Sun Farms JV. The ability to generated $4.6 million in EBITDA from converting existing facilities and producing low-cost cannabis has won over investors.The Pure Sunfarms JV is already working on doubling annual cannabis production to 150,000 kg with the ability to further increase expansion to 330,000 kg via other greenhouses. In addition, Village Farms is busy building up a domestic U.S. network of land in Virginia, North Carolina, South Carolina, Colorado and Texas to grow hemp to extract hemp-based CBD oil.Analysts only target the company generating $230 million in 2020 revenues providing for substantial upside as additional cannabis and CBD supplies reach the market including recent expansion into higher margin branded products. Village Farms falls into the group of stocks with more upside having not been hyped this year due to the Citron report.TipRanks’ data shows a bullish camp backing this cannabis player. The ‘Strong Buy’ stock has amassed 4 ‘buy’ ratings in the last three months, with no 'hold' or 'sale' ratings. The 12-month average price target stands tall at $31.76, marking nearly 284% in return potential for the stock. (See Village Farms stock-price forecast and analyst ratings on TipRanks)Medicine Man (MDCL)As the year started, Medicine Man hardly had a visible business in the cannabis sector. The company only generated 2018 revenues of $9.4 million while ending the year with only $3.4 million in current assets.The stock started the year trading at just above $1 and currently trades above $3 after reaching $4 as recently as September. The main driver of the stock price was an acquisition spree to snap up assets in Colorado following new regulations via the passing of HB19-1090 allowing for the consolidation of the industry via outside investors such as Medicine Man Tech.Over the course of six months since the passing of the bill in May, Medicine Man Tech. has bought a dozen companies pending approvals not expected until early 2020. The company forecasts the businesses generating 20% EBITDA margins with a goal of reaching 30% margins via collaborative growth and economies of scale.The major problem with the story is the lack of visibility of the financials from all of pending deals. The company reports Q3 result on November 11, but none of these businesses will be on the books yet. The stock still isn’t well known by the general investing public so any success by Medicine Man Tech to consolidate these businesses into a high margin business would reward shareholders. (Get TipRanks' free stock analysis report on Medicine Man)To find good ideas for cannabis stocks trading at fair value or better, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights.
- Total Revenue Grew by 14% Y-O-Y Driven by Continued Growth in Consulting Services and Products with Success Nutrients and The Big Tomato - Company Strategy Fortified Through Seven Additional Pending ...
DENVER, Nov. 7, 2019 /PRNewswire/ -- Medicine Man Technologies, Inc. (MDCL) ("Medicine Man Technologies" or the "Company"), announced today that it will host a conference call to discuss operational and financial highlights from its third quarter 2019 on Monday, November 11, 2019 at 8:30 a.m. ET. Chief Executive Officer Andy Williams, Chief Operating Officer Joe Puglise, and Senior VP of Finance Nancy Huber will be available to answer questions following prepared remarks. A live webcast will also be available on the Company's website at https://ir.medicinemantechnologies.com.
CEO Interviews with: NBEV, NGTF News & VIDEO from Investor Conferences: NEXCF, MDCL NEW YORK, Oct. 29, 2019 -- Wall Street Reporter, the trusted name in financial news.
Most major cap-weighted indexes are rebalanced quarterly, semi-annually, or annually. This rebalancing consists of adding and removing securities based on market cap fluctuations throughout the quarter. ...
Phoenix, Arizona--(Newsfile Corp. - October 17, 2019) - The Stock Day Podcast welcomed Medicine Man Technologies (OTCQX: MDCL) ("the Company"), a rapidly growing provider of cannabis consulting services, nutrients, and supplies. CEO and Co-Founder of the Company, Andy Williams, joined Stock Day host Everett Jolly. To begin the interview, Jolly asked about the Company's history. Williams explained that Medicine Man Technologies was created in 2014 following his founding of Medicine Man in 2009, ...
- Andy Williams, Co-Founder and CEO, to be a guest speaker on panel discussing Colorado cannabis market DENVER , Oct. 17, 2019 /PRNewswire/ -- Medicine Man Technologies, Inc. (OTCQX: MDCL) ("Medicine ...
NEW YORK, Oct. 16, 2019 -- Wall Street Reporter, the trusted name in financial news since 1843, has recently published published CEO Interviews, and conference presentation.
Chicago, Illinois--(Newsfile Corp. - October 15, 2019) - Medicine Man Technologies, Inc. (OTCQX: MDCL), will be presenting at the 5th Benzinga Cannabis Capital Conference in Chicago October 22-23 before an audience of well-vetted public and private companies, and an audience of fellow institutional, family office and accredited investors looking for the right opportunities in a crowded and volatile market. Investment opportunities abound. For more information and/or to register for the conference please visit: https://benzingacannabisconference.com/chicago/?utm_source=newsfile&utm_medium=press_release&utm_campaign=newsfileAbout ...