Often valuations by stock traders aren't based on how the company is doing now it's based on future potential, a greater amount of investment means a bigger farm and more assets (and a lot of money is made from legal drug sales).
Right, but investors have been known to fail miserably when trying to predict the future. The dot com bubble is a great example of that, where stocks of never-to-be-profitable companies exploded, and it was all based on speculation. This marijuana thing seems to be another example of that.
There's a lot of competition and no one knows who's going to emerge the winner of them. As I said in another thread, I think it's going to be only one or two if the industry gets big enough.
How many tobacco companies are there in the US? There are only a handful of big ones that I know of.
But still how in the world do they explain a company with no profit to be worth more than American Airlines i mean that is silly in my opinion...of course when the business grows and they can make themself a name I would understand but right now these people have not a good company but people still invest... OVER 1600% within weeks i mean
In the US are 33 tabacco companies, but we talk here about a hemp producer not more, Tilray stock just fell again from 300$ to 150$ this is worse than any crypto bubble, at least in my opinion.
The number of employees doesn't really matter these days. Lots of the day-to-day boring stuff should be outsourced/contracted anyway, keeping the company lean and mean and focused on what makes it different from others. Helps when the bubble bursts too - you can scale down quickly without having to deal with thousands of layoffs.
Having said that, this one sounds particularly bubbly. I said the same about Amazon and Netflix years ago so you know I'm an expert.
I just think many people get rich cause of this hype but so many more loose everything, but maybe that is just how the wolrd works. In my opinion it is just a joke, tell me the next bubble and i will short whatever i can, I believe in you
