Cannabis or CBD - What is everyones take?

Discussion

With the cannabis industry tainted by the latest short attack, it seems like ALL cannabis players are getting affected the last few days.

Compound that with the overall market sentiment and "Mr. Tariff guy", seems like there is/will be a heavy weight on all LPs.

I personally feel trend might not change for awhile (might have over sold bounces, etc) but the on industry that might have some upside is CBD.

If the farm bill is officially signed in the next 3 weeks as anticipated, all CBD companies will stand to benefit. For that reason I recently went all in on CWEB.

I felt since they are a pure hemp CBD player, once the farm bill is passed, they can freely distrbute their products across state lines (federally legal). As well, since they are not a cannabis company per se, they will be able to support to the NASDAQ and TSX as soon as it is passed.

One main reason I picked CWEB is also their total diluated share count is only 105M shares, with 15M outstanding. Compund that with potential beverage deals, Wal-Mart distribution and not to mention their 3000 stores they currently sell in, I felt they might be the best play going forward.

USA has over 350M population so their market cap could get to 5-6B easily (if it's federally legal, they get a beverage deal, they lock up superstore distribution, etc) which puts the share price between $50-60.

No logic with the numbers just feel they could govern that MC.

What's everyone's take?

Posted Dec 6, 2018, 12:54 AM UTC

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