If the MMJ investments break higher than it's market cap, a bigger player will attempt takeover. The rumours alone will drive up the SP. If takeover happens, you'd likely have proportionate shares issued in the bigger player. The bigger player would have deeper pockets and the clout and track record to bring onboard big money investors. The SP would stabilise, and it'd be unlikely holders of MMJ would lose out if they chose to sell soon after. No more big swings, but that means no more chances to accumulate on the cheap. Also means no more chances to pick the peak and recycle.
Personally I'm not in a rush, and the daily SP worries me less than most. I'm in until at least after phase 3 trials complete and PTL formulae have had enough time on the market to indicate the magnitude of thier revenue potential. Don't get me wrong, HVST is awesome, but I never saw it as more than an inhouse supply source and early revenue generating asset to help fund longer term projects in the pharmacuetical industry.
Honestly, anyone can grow weed. It's a little harder to do it well and/or legally, but licenced commercial production is not exactly a new paradigm (internationally). Refining capability is a big difference. High quality deriviative products of a raw material always fetch a large premium over the raw material itself (see: jewelry).
A rare few make it through to successful phase 3 medical trials and beyond, and no longer face competition with a horde of other startups. The competitors at the top are fewer, they are better resourced, though that's not a bad problem to have. Recon around that stage, I'll think about trading in my chips for a farm of my own in Cananda.
