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 10/9/23-10/13/23
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. Despite the month-long slide in cultivation & retail valuations, the hemp sector has slightly improved over the last month. The median market to book for the 48 companies has risen to 0.49x compared to 0.43x a month ago. Similarly, EV/annualized revenue increased to 1.13x from 1.08x a month ago. The sector is waiting to see what provisions the new Farm Bill will contain, particularly any clarification regarding the legal status of Delta 8.
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. Despite the month-long slide in cultivation & retail valuations, the hemp sector has slightly improved over the last month. The median market to book for the 48 companies has risen to 0.49x compared to 0.43x a month ago. Similarly, EV/annualized revenue increased to 1.13x from 1.08x a month ago. The sector is waiting to see what provisions the new Farm Bill will contain, particularly any clarification regarding the legal status of Delta 8.
*Marijuana remains illegal under federal law. The Federal Government does not recognize marijuana to have any medicinal values. Marijuana cultivation, possession, consumption, sales, and distribution are illegal under federal laws and also certain state laws. Please note that there are differences in marijuana laws from one state, county, or city to another.
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