The Canadian marijuana stocks on our list have underperformed its peers despite healthy gross margins
SmallCapPower | September 25, 2017: Today we have identified four Canadian marijuana stocks that have underperformed its peers despite healthy gross margins. Being able to sell products at a high margin is a good sign of efficiency. Doing so leaves more cash to dedicate to other expenses and service debt obligations. Identifying undervalued companies with strong gross margins in the young marijuana industry is important, given the upcoming legalization of marijuana for recreational purposes in 2018.
For Our Complete Coverage Of Canadian Marijuana Stocks Click Here
Canabo Medical Inc. (TSXV: CMM)
Canabo Medical Inc, formerly Four River Ventures Ltd, is a Canada-based company, which is engaged in the provision of medical services and non-cannabinoid products for patients suffering from chronic pain and disabling illnesses through health clinics. The Company operates approximately 10 medical clinics across Canada. Its medical clinics are operated by qualified health care practitioners, independent medical marijuana evaluations for employers and insurers, and medical marijuana scientific research. Each clinic provides cannabinoid educators, who consult with patients to determine the proper treatment for their ailments using medical marijuana based on the medical documentation as prepared by the physician.
- Market Cap: $12.3 million
- YTD Price Change: -64.3%
- Gross Margin: 55.3%
Invictus MD Strategies Corp. (TSXV: IMH)
Invictus MD Strategies Corp is a Canada-based company engaged in the field of alternative medicine. The Company specializes in acquiring, funding and developing entities, which are involved in medicinal marijuana area. It focuses on the production and distribution of medicinal marijuana through online stores, sell of hydroponic equipment and fertilizers, as well as of accessories for cannabis intake. The Company also is active within research and testing, as well as offers advisory services. Its investment portfolio comprises a number of entities, such as Cannabis Health, Smokazon, Vitaleaf, the Edison Vape Co, Greener Pastures MD, Future Harvest, as well as Canadian Cannabis Health Expo Inc.
- Market Cap: $46.1 million
- YTD Price Change: -25.8%
- Gross Margin: 44.6%
CanniMed Therapeutics Inc (TSX: CMED)
CanniMed Therapeutics Inc is a Canada-based plant biopharmaceutical company that specializes in the production of pharmaceutical-grade cannabis and offers a range of pharmaceutical-grade cannabis products. In addition, the Company has a plant biotechnology research and product development program focused on the production of plant-based materials for pharmaceutical, agricultural and environmental applications. The Company, through its subsidiary CanniMed Ltd, offers medical cannabis oils, dried medical cannabis, vaporizers, vaporizer parts and accessories. Its CanniMed Oils are made using only dried cannabis flowers.
- Market Cap: $218.1 million
- YTD Price Change: -10.5%
- Gross Margin: 22.9%
Organigram Holdings Inc (TSXV: OGI)
Organigram Holdings Inc., formerly Inform Exploration Corp., is a Canada-based company, which operates through its subsidiary Organigram Inc. Organigram is a licensed medical marijuana producer as regulated by Health Canada under the Marijuana Medical Access Regulations (MMAR) of the Government of Canada.
- Market Cap: $277.6 million
- YTD Price Change: -7.6%
- Gross Margin: 54.1%
Disclosure: Neither the author nor any of the principals at SmallCapPower, or their family members, own shares in any of the companies mentioned above.
The Content contained on this page (including any facts, views, opinions, recommendations, description of, or references to, products or securities) made available by SmallCapPower/Ubika Research is for information purposes only and is not tailored to the needs or circumstances of any particular person. Any mention of a particular security is merely a general discussion of the merits and risks associated there with and is not to be used or construed as an offer to sell, a solicitation of an offer to buy, or an endorsement, recommendation, or sponsorship of any entity or security by SmallCapPower/Ubika Research. To read more of this Disclaimer please click on the button below:
