Weekly Valuation Tracker
Viridian highlights a specific industry sector and provides a deep dive into valuation metrics and comparable company valuations for public companies operating in that sector. The Weekly Valuation Tracker provides proprietary, actionable valuation data.
Weekly Valuation Report – Relative Valuations vs. Relative Credit
- We screened for Canadian & U.S. Cultivation & Retail companies with market caps between $50M and $300M with positive LTM cash flow from operations and free cash flow adjusted current ratios over 1.5x.
- We then ranked the nine companies in the group, where a lower rank indicates better credit quality.
- The chart below shows the EV / 2026 EBITDA ratio for the group (green bars measured on the left axis) vs the Viridian Credit Tracker relative ranking (orange line measured on the right axis).
- Valuation multiples range from 2.08x for Verano to 6.69x for Cannara Biotech.
- The top three valuation metrics all belong to Canadian companies. This illustrates something we have been saying for a while. The market is rational and recognizes that $1 of Canadian EBITDA is worth more than $1 of U.S. EBITDA because a greater portion of U.S. EBITDA is converted into free cash flow due to the punitive impacts of 280E. There is also an impact from the greater liquidity that the Canadian companies enjoy due to their ability to trade on senior U.S. exchanges.
- Note also the apparent correlation between valuation metrics and credit ranking; better credits (those with lower ranks) tend to trade at higher multiples.
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Valuation Tracker By Sector
The Viridian Value Tracker is the most comprehensive valuation product in the industry.
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- A broad set of 12 valuation measures assures applicability, regardless of whether the company has analyst coverage or revenues. The typically presented EV/ Projected Revenues and EV/ Projected EBITDA are available for less than 1/3 of the cannabis companies we track.
- Most valuation studies present only the average valuation measures, while the Tracker goes one step further and shows the distribution of values (the quartiles, median, and dispersion) for each measure. This gives users a more complete view of how companies in the cohort group are valued.
Sector Valuation Report – Agriculture Technology Bouncing Back
- Valuation metrics for the Ag Tech sector are finally emerging from two disastrous years. The median EV/2025 EBITDA was negative, but the EV/2026 EBITDA is 11.67x, indicating a return to modest profitability.
- The difference between the EV/ LTM revenue median of 2.72x vs the EV/ annualized revenue median of .82x demonstrates the degree of revenue recovery we have seen over the last few quarters.
- Still, the market-to-tangible book value median of 0.46x suggests there could be some additional asset write-downs.
This Chart is Only Available to Higher Tier Memberships
Please Purchase a Premium or Enterprise membership to see more.
Sector Valuation Report – Agriculture Technology Bouncing Back
- Valuation metrics for the Ag Tech sector are finally emerging from two disastrous years. The median EV/2025 EBITDA was negative, but the EV/2026 EBITDA is 11.67x, indicating a return to modest profitability.
- The difference between the EV/ LTM revenue median of 2.72x vs the EV/ annualized revenue median of .82x demonstrates the degree of revenue recovery we have seen over the last few quarters.
- Still, the market-to-tangible book value median of 0.46x suggests there could be some additional asset write-downs.
