States in the NE are falling like dominos to align w their neighbors and glean tax revenues. Watching your neighbor rake in hundreds of millions from cross border buying is motivating at a time when state budgets are distressed.
the overall federal framework is becoming untenable for the industry. Once lawmakers get the wheels back on the bus MJ policy should be a priority. I think we all have been waiting to see if they take up SAFE or go for something more comprehensive. Maybe it’s time. Go get em, Chuck!
Do you think that the Schumer cannabis legislation changes the story on VFF? A big part of their current narrative is their ability to start up in the states, which could be somewhat restricted if things remain state-level.
Are there any verticals in the cannabis industry that you expect to grow agressively? Vapes, edibles, beverages, testing, data/POS softwares, extraction, etc...?
Do you have any concern that Schumer’s planned mega-cannabis bill might be a lot more difficult to pass than some of its component parts that have more widespread support (SAFE, tax treatment)? Might that cause a delay that could prompt that additional, short-term selloff that some hedge funds and cannabis execs say they want?
some concerns, but tbh where we're going less of a concern vs. how we get there. broader market scares me more... and insofar as our bull case is predicated on continued state adoption, and that is, if anything, accelerating, not all that troubled if some funds want / need to sell. maybe i'm being too glib, which is possible (as he looks to the futures)
1. Is percentage change in the Short List table correct. If Cura short interest went from 35mil shares (Jan 1) to 115mil shares (Jan 18), it is up over 300 percent? Maybe I am just being thick headed with the math.
2. More important and hard to understand question for me is why did the short interest ramp up so much? From 7 percent 21 percent short shares outstanding in Cura (and the others) - why?
3. Who are the "vulture shorts" pouncing and why?
4. Final question as I take up all your time, with 20 percent plus short, can this turn into one of the robin hood/reddit loved shorts to go after or is that not likely possible given the inability for these buyers to purchase Canadian or OTC?
Hi Niko, i took that chart out immediately after posting bc I hadn't verified the #s. there was some def de-risking in the HF community (unwinding long US / short CAD) in there, as well.
finally, this article speaks more to the potential for a "long squeeze" not a short squeeze, particularly given that institutions have yet to onboard.
States in the NE are falling like dominos to align w their neighbors and glean tax revenues. Watching your neighbor rake in hundreds of millions from cross border buying is motivating at a time when state budgets are distressed.
the overall federal framework is becoming untenable for the industry. Once lawmakers get the wheels back on the bus MJ policy should be a priority. I think we all have been waiting to see if they take up SAFE or go for something more comprehensive. Maybe it’s time. Go get em, Chuck!
Thanks for the insights!
Bruce Springsteen's ghost writer? This guy is The Boss.
Yup, and the street knows it.
Do you think that the Schumer cannabis legislation changes the story on VFF? A big part of their current narrative is their ability to start up in the states, which could be somewhat restricted if things remain state-level.
Great article Todd. Love your content since I first found out about you. Quick Q... How will the industry face the ESG criticism?
which criticism is that? i actually believe cannabis *is* esg...
Which otc would you recommend the most?
don't make reccos, sorry mike. shining a light; lots of work done here: www.cb1cap.com
Hi Mr. Harrison,
Are there any verticals in the cannabis industry that you expect to grow agressively? Vapes, edibles, beverages, testing, data/POS softwares, extraction, etc...?
Do you have any concern that Schumer’s planned mega-cannabis bill might be a lot more difficult to pass than some of its component parts that have more widespread support (SAFE, tax treatment)? Might that cause a delay that could prompt that additional, short-term selloff that some hedge funds and cannabis execs say they want?
some concerns, but tbh where we're going less of a concern vs. how we get there. broader market scares me more... and insofar as our bull case is predicated on continued state adoption, and that is, if anything, accelerating, not all that troubled if some funds want / need to sell. maybe i'm being too glib, which is possible (as he looks to the futures)
I agree that the broader market is the larger concern, just asking one question at a time.
Todd,
1. Is percentage change in the Short List table correct. If Cura short interest went from 35mil shares (Jan 1) to 115mil shares (Jan 18), it is up over 300 percent? Maybe I am just being thick headed with the math.
2. More important and hard to understand question for me is why did the short interest ramp up so much? From 7 percent 21 percent short shares outstanding in Cura (and the others) - why?
3. Who are the "vulture shorts" pouncing and why?
4. Final question as I take up all your time, with 20 percent plus short, can this turn into one of the robin hood/reddit loved shorts to go after or is that not likely possible given the inability for these buyers to purchase Canadian or OTC?
I promise, no more questions for a week!
Niko
Hi Niko, i took that chart out immediately after posting bc I hadn't verified the #s. there was some def de-risking in the HF community (unwinding long US / short CAD) in there, as well.
finally, this article speaks more to the potential for a "long squeeze" not a short squeeze, particularly given that institutions have yet to onboard.