Cannabis – WStNN.com™ WallStreetNewsNetwork® Stockerblog™ WSNN®: Recent Episodes
None
Wall Street News Network: Information on stocks, bonds, real estate, investments, gold, startups, & money
by Fred Fuld III
A few days ago, I published an article titled Democrat Politician Investors Still Outperforming Republican Politician Investors, which discussed the investment returns of Democratic politicians versus Republicans.
The post also included a few other conservative and liberal ETFs.
One of my readers posted a message asking about the returns for Libertarian oriented stocks.
If you have ever watched the TV show Last Man Standing, the character that Tim Allen plays, Mike Baxter, says “drugs and guns. I’m definitely a libertarian.”
So are there any libertarian ETFs?
Up until recently, there was a B.A.D. ETF (BAD), but unfortunately the fund liquidated a couple months ago. The B.A.D. stood for betting, alcohol, and drugs, which covers some of the areas that libertarians believe in.
Last year, while it was operating, the BAD ETF was up only 4.3% versus the S&P 500 which was up over 22%.
It is somewhat similar to the AdvisorShares Vice ETF (VICE), but VICE doesn’t even include drugs, and about broke even last year.
An alternative play is the Global X MSCI Argentina ETF (ARGT) due to the fact that Argentina now has a libertarian president. This fund was up 46.8% for last year, far outpacing the S&P 500.
Finally, there is the Freedom 100 Emerging Markets ETF (FRDM) which seeks to invest in countries with higher personal and economic freedom scores. The ETF was up 15.7% last year.
Also, if you are just looking for drugs, you have a lot of ETF varieties to choose from (in no particular order):
AdvisorShares Psychedelics ETF (PSIL)
Roundhill Cannabis ETF (WEED)
Cambria Cannabis ETF (TOKE)
Amplify Growth Opportunities ETF (CNBS)
AXS Cannabis ETF (THCX)
AdvisorShares Pure Cannabis ETF (YOLO)
Global X Cannabis ETF (POTX)
AdvisorShares Pure US Cannabis ETF (MSOS)
ETFMG U.S. Alternative Harvest ETF (MJUS)
Advisorshares Msos 2x Daily ETF (MSOX)
Maybe some of these suggestions can free up some profits for your portfolio.
Disclosure: Author didn’t own any of the above at the time the article was written.
Lucy Scientific Acquires High Times Intellectual Property, Including Existing Licensing Agreements in All-Stock Transaction
The Transaction includes international and domestic rights of the brand High Times, Cannabis Cup, and 420.com brands, and its respective domain names
VANCOUVER, British Columbia, September 7, 2023 – Lucy Scientific Discovery Inc. (“Lucy” or “the Company”) (NASDAQ: LSDI), a leading psychotropic innovator announces the acquisition of the intellectual property (IP) of High Times, the most recognizable and iconic brand in the cannabis industry. This acquisition provides a stream of high-margin licensing and royalty income from the well-regarded High Times, Cannabis Cup, and 420.com brands, including their respective domain names.
Lucy will issue 19.9% of its outstanding stock to High Times and make payments semi-annually for the next 5 years based on EBITDA generated from the acquired IP, which can be settled with either stock or cash at Lucy’s option. Additionally, Lucy will license the right to operate retail stores and manufacture and sell THC products in the United States back to High Times, in return for a license fee of $1.0M per year, increasing to $2.0M per year upon Federal legalization. The transaction is subject to customary closing conditions and is expected to close within two weeks.
Lucy will be acquiring brand rights with plans to monetize the IP through current and planned royalty agreements by further extending and enhancing the existing domestic and international licensing arrangements currently held by High Times, including consumer products and merchandise. The Company intends to preserve the essence of the High Times, Cannabis Cup, and 420.com brands while identifying new avenues for growth and development.
The Company expects the acquisition of High Times IP, including, the 18 licensing agreements across various product categories it will acquire, to add at least $10M of revenue and $5M of EBITDA to its 2024 results and provide a solid foundation of growth as cannabis becomes legal around the world.
Richard Nanula, CEO and Executive Chairman at Lucy Scientific Discovery Inc., commented, “Lucy expects this acquisition to drive high margin revenue quickly and sustainably across the cannabis sector around the world. This is a great opportunity to grow the market presence of the nearly 50 year old High Times brand globally through licensing and online distribution. We are confident that this opportunity can add significant value for our shareholders.”
Adam Levin, Executive Chairman of High Times added, “Over the past few years, we have been building the consumer products offerings for High Times and there is no better partner than Lucy to drive our iconic brand forward. This transaction will open up tremendous new opportunities to grow and expand the High Times brand led by Richard Nanula, who has decades of experience with some of the biggest consumer brands and companies in the world. We are delighted to become large Lucy shareholders.”
About Lucy Scientific Discovery Inc.
Lucy Scientific Discovery Inc. (NASDAQ: LSDI) is a Nasdaq-listed company with holdings and operations in a variety of psychotropic businesses. The company holds a Controlled Drugs and Substances Dealer’s License granted by Health Canada’s Office of Controlled Substances. Lucy Scientific Discovery Inc. and its wholly-owned subsidiary, LSDI Manufacturing Inc., operate under Part J of the Food and Drug Regulations promulgated under the Food and Drugs Act (Canada). This specialized license authorizes LSDI to develop, sell, deliver, and manufacture pharmaceutical-grade active pharmaceutical ingredients (APIs) used in controlled substances and their raw material precursors. With a focus on pioneering innovative therapies for patients in need, Lucy Scientific Discovery Inc. is dedicated to advancing the understanding and applications of psychotropic medicines, improving mental health outcomes, and enhancing well-being for individuals worldwide.
About High Times:
Since its founding 46 years ago, High Times has grown to be one of the world’s most well-known cannabis brands – championing the lifestyle and educating the masses on the benefits of this natural flower. From humble beginnings as a counterculture lifestyle publication, High Times has evolved into growing a network of cannabis dispensaries, the host and creator of events like the Cannabis Cup, the producer of globally distributed merchandise, participant in international licensing deals, and provider of content for a multitude of fans and supporters. In 2020, High Times began acquiring retail dispensaries, for the first time directly touching the plant it had been promoting for over 40 years. Today the brand owns 8 retail stores, as well as several cannabis brands.
The following is a lost of stocks in the cannabis and marijuana industry, with their sales growth over the last five years.
They are listed in increasing order.
| Company | Symbol | Sales Gr past 5 yrs | | Scotts Miracle-Gro | SMG | 14.5% | | Village Farms | VFF | 17.8% | | OrganiGram | OGI | 66.8% | | Tilray | TLRY | 98.2% | | Hexo | HEXO | 131.2% | | Cronos | CRON | 166.5% | | Aurora | ACB | 179.4% | | Innovative Industrial Properties | IIPR | 263.8% |
The following slides are from the MoneyShow presentation, Leading Cannabis Stocks, presented on February 9, 2022: Disclosure: Author owns IIPR.
by Fred Fuld III The cannabis industry is helping out the economy of Missouri. Last year, marijuana businesses provided over 4,500 jobs throughout the state, all legal of course. These jobs included retail sales clerks, managers, security, and deliverers. The state has reported that the number of people working in medical marijuana facilities has increased … Continue reading "Marijuana Provided Over 4500 Missouri Jobs Last Year"
by Fred Fuld III In case you missed some of the propositions in the latest election, five more states have just followed the lead of Colorado, California, and many other states. The legalization of cannabis propositions have all passed. The five states are as follows: South Dakota – Approved the medicinal use and recreational use … Continue reading "Cannabis Legalized in Five More States, Marijuana Stocks Take Off"
by Fred Fuld III In case you missed the MoneyShow presentation on Marijuana Stocks that Pay Dividends, attached is the slide show from the presentation. To access the slide show as a pdf file, click on the link below: Marijuana Stocks that Pay Dividends None of the stocks mentioned in the presentation are recommendations, just … Continue reading "Marijuana Cannabis Stocks that Pay Dividends"
by Fred Fuld III During the last twelve months, many of the cannabis stocks, such as (TLRY) and Canopy Growth (CGC), have been hit hard with some stocks, such a Tilray (TLRY) dropping 76% and Canopy Growth (CGC) down 54%. Some investors and traders think that the marijuana stocks may have hit bottom and there may … Continue reading "High Yield Cannabis Stocks"
by Fred Fuld III Many of the cannabis related stocks have been burned during the last year, which makes them possible tax sale opportunities. A tax selling stock is a stock that is currently selling for a low price due to heavy year-end selling for tax purposes, but was trading at much higher levels earlier … Continue reading "Top Cannabis Tax Selling Stocks for a January Bounce"
by Fred Fuld III If you think that marijuana is a growth industry and you aren’t sure which is the best cannabis stock to invest in, you have an alternative. Or maybe you are looking for an easy way to play the tax loss pot stocks. The alternative is investing or trading a cannabis ETF, … Continue reading "Top Marijuana Cannabis ETFs"
by Fred Fuld III You may have seen some of the major gains in some of the marijuana stocks and wanted to jump on the bandwagon. As an example, Cronos (CRON) has increased by 13% so far this year and Aurora (ACB) rose 26% even after experiencing a big drop during the last six months. … Continue reading "Highest Yielding Marijuana Cannabis Pot Stocks"
by Fred Fuld III Over 60% of states have legalized marijuana, either for medical purposes or for both medical and recreational use. In addition, Canada has legalized recreational cannabis throughout all the provinces after the passage of the Cannabis Act (also known as Bill C-45), joining Uruguay as the second country to do so nationwide. … Continue reading "The Largest Marijuana Companies"
by Nkem Iregbulem Although marijuana can be used recreationally, medical marijuana has become increasingly popular over recent years as a growing amount of research supports its potential health benefits. Small studies show that medical marijuana may help in treating pain, nausea, loss of appetite, irritable bowel syndrome, Parkinson’s disease, epilepsy, and multiple sclerosis. D.C. and … Continue reading "Marijuana Legalization & Top Pot Stocks"
by Fred Fuld III
The following fascinating and informative interview was provided by Chet Billingsley, the Chairman, CEO, and founder of Mentor Capital, Inc., a public operating company that invests in pre-IPO cannabis related businesses. He did his undergraduate work at West Point. He later received a Master’s Degree in Applied Physics at Harvard University with concurrent study at Harvard Business School, and at MIT studying proton radiology. He is also a founding director and officer of the board of directors of the Nevada Cannabis Industry Association.
The discussion includes the following:
- What has happened in the cannabis industry during the last five years
- Why high excise taxes can cause the illegal market to continue
- Tilray and the Canadian market
- Why low excise taxes caused the legal Canadian marijuana market to grow
- The US cannabis regulatory scene
- Beer companies buying interests in marijuana businesses
- Tobacco companies getting into the marijuana businesses
- The growth of the medical marijuana market versus the recreational marijuana market
- Cannabis versus opiates
- Cannabeer and canabeverages
- The cannabis sub-industries, such as edibles, local delivery services, etc.
- And much more extensive interesting information!
To stream the interview, click:
HERE
You can download as an mp3 file by right-clicking HERE (or Control click on a Mac) and choosing “save as.”
More information about Chet Billingsley and Mentor Capital can be found at:
Mentor Capital
All opinions are those of the interviewee, and do not represent the opinions of this website or the interviewer. Neither this website, nor the interviewer, nor the interviewee are rendering tax, legal, or investment advice in this interview. No investment advice is expressed or implied. No recommendations are made to buy, sell, hold, or short any security. All information is provided for education and general information only.
Disclosure: Interviewer owns shares of MNTR and has a short position in TLRY.