Hexo Corp Stock – What You Need to Know

November 15. 2018. 6 mins read

“‘Mispriced’ Pot Stock Hexo Looks to New York to Boost Profile,” read the title of an article by Bloomberg just a few weeks ago. What this really means is that the stakeholders over at Hexo aren’t too happy that Hexo Corp stock hasn’t achieved the sky-high valuations that their competitors have. If indeed there is “value” to be had here for today’s cannabis investor, it merits a closer look using our favorite comparative metric. It’s one simple question: How much marijuana are you selling?

The Bloomberg article presents the below chart which is rather upsetting to look at considering that Bloomberg should know better than this:

Hexo Corp stock vs. other marijuana stocks

Simply comparing market caps tells us absolutely nothing about the underlying businesses and how they compare. A simple method of comparison is to look at how much weed is being sold by these companies. Here’s a comparison with slightly more color:

2018 Kilos Sold and Revenues

In the above charts, we see how Hexo’s revenues and “kilos sold” is proportional to Bloomberg’s market cap chart we looked at earlier. If you’re not selling as much weed as your competitors, don’t expect to have the same va

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