OUR 9TH YEAR OF PROVIDING PROPRIETARY CAPITAL MARKETS INTELLIGENCE ON THE CANNABIS / HEMP / PSYCHEDELIC SECTORS
OUR 9TH YEAR OF PROVIDING PROPRIETARY CAPITAL MARKETS INTELLIGENCE ON THE CANNABIS / HEMP / PSYCHEDELIC SECTORS
Home » Week of 11/27/23-12/1/23
The Viridian Value Tracker is the most comprehensive valuation product in the industry.
Our sector trackers include ratios applicable to value companies with no analyst coverage and the more typical EV/ Revenues and EV/ EBITDA measures. For each valuation measure, we present the values for the lowest 25% of companies, the median, and the highest 25%. This gives investors a better understanding of the spread of values than a simple average, often presented but frequently seriously flawed by outliers. Cultivation and Retail sector valuations have been recovering, with the MSOS ETF registering its fifth consecutive weekly rise. However, overall valuation levels are still down significantly from a year ago. Median market-to-book ratios are now .42x compared to .56x a year ago, and EV/EBITDA for the year ending December 31 is 5.89x compared to 6.49x a year ago. Another interesting tidbit is the group of 103 companies in the sector has dwindled to 84 companies, primarily through mergers but to a lesser extent through failures. IPOs, RTOs, and de-spaces have been virtually absent from the market for 18 months, so no new companies are replacing the departed ones.
Our sector trackers include ratios applicable to value companies with no analyst coverage and the more typical EV/ Revenues and EV/ EBITDA measures. For each valuation measure, we present the values for the lowest 25% of companies, the median, and the highest 25%. This gives investors a better understanding of the spread of values than a simple average, often presented but frequently seriously flawed by outliers. Cultivation and Retail sector valuations have been recovering, with the MSOS ETF registering its fifth consecutive weekly rise. However, overall valuation levels are still down significantly from a year ago. Median market-to-book ratios are now .42x compared to .56x a year ago, and EV/EBITDA for the year ending December 31 is 5.89x compared to 6.49x a year ago. Another interesting tidbit is the group of 103 companies in the sector has dwindled to 84 companies, primarily through mergers but to a lesser extent through failures. IPOs, RTOs, and de-spaces have been virtually absent from the market for 18 months, so no new companies are replacing the departed ones.
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