Here's another topic I wanna talk about, maybe
@NashaNasha can help.
CPH just went bunta and almost did 20 bags over a series of fluff anns about their potential sales in MM. Lots and lots and lots of fluff, re-iterating orders that were made during the last 4C report but... mysteriously dont show up in the actual numbers if you scroll down past the headlines.
How strange.
Other meme stocks like AC8 rallying with fluff anns but when you run the numbers...
Meanwhile IHL quietly raked in 695K in revs last qtr, 1M loss due to big spend on R&D due to trials.
Lets just give Cresco the benefit of the doubt and say that all of their pump orders are real and will show up in their next 4C
288K from Canada, 400K from EU, 295K from South Africa.
Lets round up and give them 1M in sales in the December Quarter.
The real test? If they actually show up and oh lord will the cash burn be NSFW too.
If IHL does 1M in sales as well? Or even better? The market will be due to re-value us based on the hotness of the pot sector atm.
The bio side of the business is the main course and will send us to the stratosphere but this tasty entree may well and truly give us a burst of valuation and upside, we're talking 50-100M of value here that is NOT factored in the current SP in my view purely based on what I'm seeing across the sector.
Currently the bulk of our valuation is based in the biotech and IP that we are working on, remember that the market ignored IHL's IP and work on ARDS, OSA etc for the majority of the year and we were languishing at a 50M MC or below level. Now the re-rate is happening as the market is waking up to the opportunity at hand and as the company progresses.
But to me, this meant the market valued IHL's CBD Oils Business as roughly 40-50M MC during a pot BEAR market.
The dogs with fluff anns and horrible balance sheets were valued even lower, closer to 20-30M MC.
Now that the pots are in a BULL market, all IHL has to do is draw attention to the numbers they are pulling again when they update us next and IMO there's going to be enough in that energy drink to send the stock into the 20s and to test 30c from this alone.
Now throw in the drug development catalysts in a heated biotech market.... and its easy to see how this stock could make it to 50c in the short-medium term and higher. IHL is seriously one of the most no-brainers in the market in general, and how lucky are we that it just so happens pots and biotech are both heating up right now just as we enter the cusp of our major catalysts. Could be the perfect storm.
Have a good weekend all.
