Hey Nerds: Blockchain
- Thread starter zeke
- Start date
Preston
MBow30 alt account
Out at 87c.
CH1
The Artist Formerly Known as chiggins.
Sweeeeeet!
CH1
The Artist Formerly Known as chiggins.
yeah...TER and TRUL also taking it on the chin, so there might be something to his HF selling theory
HFs don't own the smaller names like VEXT, RIV, CXXI and those have held up pretty well
Preston
MBow30 alt account
Well... The thumb's of the world will be the names that bounce the hardest when this trash is done. So that's cool? Thumb is almost down 30% from ATH. And nothing changed. If anything the picture has gotten a touch rosier since then with NY legalizing with pretty friendly framework for MSOs.
But fo course, the fundamental picture doesn't matter so much in these times. Everything can have a bearish slant and that's what the price action is telling us right now! Sentiment stinks and I think it's partially because of good news fatigue and partially because they took part in a market-wide growth stock bubble so they're paying for that now.
CH1
The Artist Formerly Known as chiggins.
SPX and DOW are basically at all time highs....while high multiple Cathy Wood names are dragging the Nazzy down
Our Pot Stocks are being lumped into the Cathy basket, when in fact, they are the epitome of boring (just cranking out a high margin commodity with little competition). That disconnect is our opportunity, IMO
Preston
MBow30 alt account
Yup it's partially due to their exchange and partially due to the stigma of what the actual business is. Mention weed stocks to any serious investor and they'll laugh in your face. Still not quite there. Little bit of the lindy effect going on with that sector. But as you said that's where the opportunity lies. There's a beautiful disconnect.
But of course that doesn't mean we're done falling in the short-term. Just 12 months ago Thumb was trading at a hair over $5. Nothing has to make sense.
Preston
MBow30 alt account
I just want an uplist ASAP because I'm not as sure about their prospects longer term post federal legalization. If the landscape moves to a 3 tier alcohol market that limits upside pretty significantly. Give me an uplist before. Then give me a bubble that prices in growth an success that is in no way realistically attainable; that's when I sell. That way I don't have to care about what happens to the landscape 10, 15 years down the road.
But thankfully we're a long way from federal legalization. We've got NJ coming online in 2022. NY in 2023. And hopefully PA somewhere in there as well with an off-chance at Florida and eventually states like Ohio. That'll guarantee continued ridiculous growth and margins for at least the next 3-5 years.
But thankfully we're a long way from federal legalization. We've got NJ coming online in 2022. NY in 2023. And hopefully PA somewhere in there as well with an off-chance at Florida and eventually states like Ohio. That'll guarantee continued ridiculous growth and margins for at least the next 3-5 years.
CH1
The Artist Formerly Known as chiggins.
agree 100%
post legalization, then the trade is much harder. Does one/any/none of them become a Starbucks of Weed or just fodder for the Budweisers and Constellations of the world.
The value now hinges on limited licenses...which won't be limited forever
Preston
MBow30 alt account
Yup and the margins that go along with the vertical integration setup is everything for these companies right now. Growing, distributing, selling your product in a limited license state is their bread and butter. Long-term they probably stop growing and many will do away with the retail stores. It'll be about wholesale and building brands and all of the big operators are already drifting towards that. The longer it takes the legalize federally the more these guys can build these brands because that may be their ticket.
Of course you'll have your companies out there focusing on retail too and whatnot but from what I see, the big boys are all focusing on a cpg oriented business. The more I think about it the more full on federal legalization is not very good for them at this stage. It would be great if they continued with the current setup for as long as humanly possible. Get rid of the 280e disastrous tax rate and pass SAFE and these guys are good to go.