[bdub]

Of course you have. Is this brand new sector a mania or bubble? What exactly are you comparing this sector to? This is an emerging industry and Canada is leading the world.

I have pulled out my initial investments. Comparing this sector to bitcoin isn't the same and honestly I cant take you seriously if you honestly think this is a valid comparison. These are real companies with real revenues selling a real product. Constellation Brands invested $5 billion.

John Doe is an uneducated investor. That doesn't mean we are all. Anyone buying Tilray over $50 a share is a day trader swing trading or is extremely uneducated and hasn't done their due diligence. Tilray is a prime example of what happens when stupid money follows hype. Smart money was shorting Tilray.

I have watched these stocks rise and fall in huge amounts. I stated that earlier in an earlier post. These stocks aren't for the weak. You need to have a plan and hopefully you entered early. This isn't for everyone... Have a plan and trust your DD. Dont invest in a company you aren't willing to hold for 5 years unless you are a day trader.[/QUOTE]

Just some friendly rebuttal on the points you have made yz295.

I won’t bother going into the metrics of the weed companies valuations because they are so out of this world that it’s not even an argument. As for comparing it to Bitcoin, well, I could have chosen any of the many examples of bubbles through out history. How about the tech stocks in the Dot com bubble, the Nifty fifty stocks, etc, etc. History repeats itself over and over again was my point.

The basic industry is not new, nor is the market. The only thing changing is the legality of the product. Users in Canada and elsewhere have had a steady and willing supplier of weed for generations. Once it becomes legal we are going to see a market that will very quickly become oversupplied and that is going to mean one thing. Lower margins and declining profits or increasing losses, something that weed producers in the U.S. are already finding out.

The product has no moat around it, there is no differentiation. Think Government packaging laws like what we have for cigarettes. It is basically nothing more than an agricultural commodity that is easy to grow. As for Canada being at the forefront of this “new industry”, our competitive advantage in pot production overseas or in the US is non-existent. This is not high technology we are talking about. It’s about growing a plant and thats about all.

Remember these CEO’s are paid to do what they are doing, selling anyone who will listen a good story. Don’t believe all the fairy dust that you read or listen too. There is no track record yet. Its a lot of hype but not a lot of substance. You are paying extreme valuations for basically nothing other than hope.

I stand by my point that there are going to be lots of retail John Doe investors who are going to get crushed when this thing turns. By all means it is fine to speculate, and at this point it is nothing but pure speculation, just don’t bet the farm is my advise.

Good luck with your investments.