Q: I am a trend-oriented investor (following momentum but with stop-losses on every position). When stock prove themselves, I like to keep them as long positions. This brings me my question re: CURA.CA. I have been finding the pot and petroleum sectors particularly lucrative since the start of the year. Among my pot holdings, I've got large position CURA.CA and was therefore pleased to see it rise 32% today on very high volume after announcing a partnership with the US's largest drugstore chain, CVS Health Corp, on a line of CBD products. CURA products are now sold in 8 states with more on the horizon. Also, at the start of the week, CURA announced a definitive agreement to acquire NV-based Acres Cannabis (Acres), for total consideration of $70m with $25m in cash, and $45m in equity. A recent GMP/FirstEnergy report has set a target of $21 on the share price and comments "We view CURA as having the broadest exposure amongst its closest peers to current or likely future MED to REC market conversions such as in MA, NY and NJ. This offers high torque growth opportunities for CURA as addressable market sizes can increase by ~5x–10x, while also providing a first-mover advantage (18+ months) to capture market share." So it would seem that the company has a long runway ahead with its increasing footprint in the retail sector.
Peter, could you provide your outlook for this stock? To me, it looks like it has a lot of traction. I only have a couple pot stocks that I treat as buy and hold; most, I am quite happy to sell when they have had a nice run until they consolidate again. Does this look like a buy-and-hold candidate?
Peter, could you provide your outlook for this stock? To me, it looks like it has a lot of traction. I only have a couple pot stocks that I treat as buy and hold; most, I am quite happy to sell when they have had a nice run until they consolidate again. Does this look like a buy-and-hold candidate?
