|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||5.45 - 5.90|
|52 Week Range||3.70 - 9.75|
|Beta (3Y Monthly)||2.27|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Anyone who closely follows the cannabis industry knows that it is experiencing unrivaled growth. The year is set to end with a 31.7% increase in annual legal cannabis sales, bolstered by new regulation, ...
Origin House (ORHOF) has been put on the cannabis map in a big way because of the attempt by Cresco Labs (CRLBF) to acquire the company. This has unfortunately taken the focus off of the actual performance of the company, as uncertainty concerning the deal being approved weighs on the share price of Origin House for now.The most recent earnings report was a good one for the company, and when coupled with a recent decision by Weedmaps which will result in a significant reduction in cannabis sales in the California cannabis market, Origin House is positioned to benefit greatly from that action.Cresco Labs acquisition not a done dealSome investors consider the attempt by Cresco Labs as a done deal, as does management, which has stated it doesn't believe it'll fail in getting the deal done.The C$1.1 billion offer by Cresco Labs appeared to be a sure thing in the early stage of the process, but it wasn't long afterward that the Department of Justice requested more information concerning the proposed deal based upon the Hart-Scott-Rodino Antitrust Improvements Act of 1976.Why that matters is these types of requests are related to issues related to reducing competition. Even though it's being spun as not much more than a formality, in fact it could derail the deal and leave both companies as they were before the offer was made.This is why looking at the fundamentals of Origin House is important, as the assumption should be made by investors that the deal won't be allowed to go through. After all, some paid a premium price for the company based upon the idea it was going to go forward.I'm not suggesting it isn't going to be approved, as I think it has more than a 50 percent chance of being given the go ahead. But the company would take a hit if it is stopped, and investors should be prepared for the company to stand on its own merits either way.With that in mind, there's a lot to like about the future prospects of Origin House, whether it's acquired by Cresco Labs or not.California cannabis market has been a messA fallout from the policies associated with the California cannabis sector has resulted in a lot of customers going back to the black market as their source of supply.The two major reasons for this are leaving up to individual jurisdictions concerning what is allowed, and second, the enormous taxes levied against cannabis sales.Taking into account there are 58 counties and 482 incorporated cities and towns in California, it's not surprising to see the disastrous consequences of each one deciding on the guidelines and laws associated with cannabis.Not only are there different rules from city to city, but a county may have one set of rules, while the individual cities in the county have a different set of rules. It also means in many jurisdictions pot remains effectively prohibited. That's important because many people have chosen to go back to the black market for their recreational pot supply.Changing practices at Weedmaps is going to change this situation around.As for the combination of state, local, and excise taxes, that could in a number of cases surpass the 40 percent mark, dependent upon the tax burden in each municipality. Not only has that pushed users toward the black market, but also to Nevada, where overall cannabis costs are much lower.Weedmaps Weedmaps is an Internet directory that allows marijuana dispensaries and users to connect with one another.Until recently Weedmaps has allowed legal and illegal operators to advertise on the platform. About a week ago Weedmaps said that starting in the latter part of 2019, it was no longer going to allow illegal or unlicensed dispensaries on the platform. Weedmaps stated it will help unlicensed operators to go through the process of reaching compliance, but that will take some time to work itself out.Upon hearing of the decision, some have suggested it could result in as much as 50 percent of illegal sales to be slashed in California. This is a potentially huge catalyst for Origin House.The benefit to Origin HouseThe strength of Origin House in California is the distribution assets it owns. All legal cannabis products sold in California must be handled via licensed distributors.Only a distributor can transport cannabis products in the state, and they are required to ensure all of their labeling and packaging is compliant with guidelines. They also act as the tax collector for all sales in the state.So when Weedmaps announced it was going stop allowing unlicensed businesses on its platform, it means a huge swath of the black market competition will lose business to the benefit of Origin House and other distributors.Since Origin House has acquired a number of important California distribution licenses and companies in California, it is positioned to take advantage of this major catalyst, which will drive revenue up in the quarters ahead.With so much fragmentation in the California cannabis sector, this is going to be a welcome change to end-users in my opinion, and it will be a major catalysts for cannabis distributors in the state.C$12 Price TargetDown by nearly 40% from its April highs, Origin House stock rides the rollercoaster of investor sentiment. But the good news for shareholders is that this sentiment may take a turn for the better. 4-star analyst Matt Bottomley is advising his clients to buy the stock, and he believes it could hit C$12 within a year. For perspective, Origin House's stock closed at C$7.74 today, so this implies upside of about 55%. (To watch Bottomley's track record, click here)ConclusionWhile the focus on many investors has been on the potential acquisition of Origin House by Cresco Labs, it has quietly went about generating strong sales, which are going to continue to improve going forward as the huge black market in California shrinks to the benefit of Origin House.For those reasons, even if the acquisition is not allowed to go forward, the future of Origin House is very bright.At its current share price level, there isn't a lot of support remaining from the announced deal. If it doesn't go forward, Origin House will take a hit, but I see it rapidly returning to where it is at now based upon the potential associated with new sales growth coming in the latter part of 2019 and into 2020.However it plays out, I think Origin House is going to make shareholders happy.Visit TipRanks’ Trending Stocks page, and find out what companies Wall Street’s top analysts are looking at now.Disclosure: No position
The marijuana company delivered record high results thanks to strong California operations and added revenue from its Canadian business.
With U.S. legal marijuana spending set to triple between 2018 and 2024, a new report details which states will be delivering the green.
News flash to anyone who still thinks that marijuana legalization bills are doomed: Illinois just proved you wrong.Governor J.B. Pritzker -- a billionaire Democrat who ran on legalization -- is about to sign a bill ending marijuana prohibition in his state. This makes Illinois the 11th state to legalize recreational marijuana. (The 12th if you count Washington, D.C.)Whether or not you live in Illinois, this is a big deal -- for several reasons:InvestorPlace - Stock Market News, Stock Advice & Trading Tips 1\. Marijuana legalization made it through the state legislature.Previously, only the much-smaller state of Vermont was able to legalize this way, versus a ballot referendum. This has to be encouraging to pro-legalization politicians in other states… and in Congress. (It's yet another reason why I expect full federal legalization sooner than you think.) * The 10 Best Stocks for 2019 -- So Far 2\. Now, almost a third of Americans will live in a state where adults can purchase recreational marijuana.Illinois is the 6th biggest U.S. state by population. And, with nearly 13 million people, Illinois will be second only to California on the legal-weed roster.So, naturally… 3\. Illinois will bring a LOT to the table for the cannabis industry.We're talking: * $1.6 billion a year in expected sales, according to Chicago Business.And that's just from recreational use. When you factor in medical marijuana - a market that's already thriving in Illinois - the future is even brighter: * $2.9 billion a year by 2024, projects Alliance Global Partners."Illinois is going to be huge," agrees the Brightfield Group, noting that Illinois will soon rival Colorado… a state with a more established industry - but only half the people. * Governor Pritzker thinks legal marijuana will earn Illinois $170 million… just in the first year. There's no doubt that tax revenue is one reason states are jumping on the bandwagon. 4\. This could be a huge job creator.Illinois is already home to several of the top cannabis companies, like Cresco Labs (OTCMKTS:CRLBF). And Cresco is planning to double its workforce there.From its home base in Chicago, Cresco has some pretty ambitious goals for expansion. In April came the news that it would purchase Origin House (OTCMKTS:ORHOF) for approximately $850 million.Cresco is already one of the biggest American cannabis companies, with $21.1 million in first-quarter revenues. But if you count its pending acquisitions of Origin House and VidaCann, Cresco would have made$33.9 million. Origin House might be based in Ontario -- but what it really does for Cresco is open up America's oldest and largest legal-weed market: California.That's just one example. And for us as investors, it's time to get on board this train -- or watch it pass us by.At Investment Opportunities, I'm closely monitoring stocks like Cresco for a potential buy. It's certainly a better bargain than most of the Canadian pot stocks.However, there are a few OTHER stocks that are attractive and still in "penny stock" territory. Why I Like Penny Pot Stocks Ahead of Full Marijuana LegalizationPenny stocks often get a bad rap. But they are actually critical to the global marketplace. The world needs tiny companies -- just as much as bigger ones. They're the job creators. The innovators. And they're the places to look for the biggest gains once marijuana legalization occurs.As an investor, if you're looking for the next Netflix (NASDAQ:NFLX) or Apple (NASDAQ:AAPL), this is where you'll find it.You just want to be VERY choosy about which ones you buy.I use strict guidelines to pick penny stocks -- and I tell you all about them in this presentation.When I used my five-step evaluation process on the marijuana market, I identified four stocks that are worth buying now.During my presentation, you'll have the opportunity to secure a free copy of America's Top 4 Marijuana Moonshot Stocks… I'll even give you a fifth bonus name just for fun.Matthew McCall is the founder and president of Penn Financial Group, an investment advisory firm, as well as the editor of Investment Opportunities and Early Stage Investor. He has dedicated his career to getting investors into the world's biggest, most revolutionary trends BEFORE anyone else. The power of being "first" gave Matt's readers the chance to bank +2,438% in Stamps.com (STMP), +1,523% in Ulta Beauty (ULTA), +1,044% in Tesla (TSLA), +611% in Liquefied Natural Gas Limited (LNGLY), +324% in Bitcoin Services (BTSC), just to name a few. If you're interested in making triple-digit gains from the world's biggest investment trends BEFORE anyone else, click here to learn more about Matt McCall and his investments strategy today. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 6 Retailers Including Disney Agree to Ditch On-Call Scheduling * The 10 Best Stocks for 2019 -- So Far * 7 Small-Cap ETFs to Buy Now Compare Brokers The post How Marijuana Legalization in Illinois Opens Up a Billion-Dollar Market appeared first on InvestorPlace.
CannaRoyalty Corp (OTC: ORHOF ), a Canadian cannabis company that operates under the Origin House brand name, reported first-quarter results Wednesday that showed substantial revenue growth — and expenses ...
Revenue skyrocketed for the cannabis brands and distribution company as the California cannabis market picked up steam and sales poured in from its acquisition of Canadian vape retailer 180 Smoke.
It doesn't have the star power of former politicians on its board of directors or flashy videos by Hollywood directors, but Cresco Labs Inc. The company prefers to let its numbers speak and eschews the flash of other cannabis companies. The company recently reported its earnings and along with its results, Cresco presented a slideshow of statistics.
On April 1, the cannabis company announced that it was being acquired by U.S.-based Cresco Labs, but shareholders were not impressed.