The majority of investors who are looking for marijuana stocks to invest in will purchase stocks based on their growth potential. This can cause assessments that don’t necessarily justify their growth. As a result, it might be more beneficial to purchase marijuana stocks that have a low Enterprise-Value / Forward Sales multiples. Investing in these stocks will mean that you will get good value for every dollar that you pay for the next year of sales.
Here are five marijuana stocks that have the Canadian marijuana industry’s lowest EV / Forward Sales multiples.
1. Golden Leaf Holdings Ltd. (CSE:$GLH) — $0.32
As one of North America’s cannabis oil and solution providers, Golden Leaf produces and administers a variety of products, including cannabis flower and cannabis oil. Golden Leaf has a dispensary and the ownership of this dispensary is through its accessory, Left Coast Connections. Additionally, GLH has a subsidiary called Greenpoint Oregon, Inc. (GPO), and it is through this subsidiary that GLH operates cultivation business. As of right now, GPO uses two different methods for extracting cannabis oil. These extraction methods include the following: carbon dioxide (CO2) extraction and hydrocarbon extraction. When GLH uses CO2 as an extraction solvent, the company is able to focus more on the extraction process. Through the use of CO2, Green Leaf Holdings can leave out a number of properties from the plant, such as lipids, waxes, chlorophyll, and fats. Greenpoint Oregon, Inc. functions over two hydrocarbon extractors.
Golden Leaf Holdings Ltd – Did You Know?
- Market Capitalization is $32,081,143
- Total Revenue (LTM) is $10,289,381
- The Debt to Equity is not applicable
- The Enterprise-Value /Forward Sales is 1.0x
2. Aurora Cannabis Inc. (TSXV:$ACB) — $2.22
Formerly known as Prescient Mining Corp, Aurora Cannabis Inc. is a Canadian based company which focuses on the production and distribution of medical marijuana pursuant to the Access to Cannabis for Medical Purposes Regulations (ACMPR). As of right now, Aurora Cannabis’s primary business comes from the sale of dried medical marijuana. Aurora targets patients in Canada who use medical cannabis and the company operates under the following divisions: the output and sale of medical marijuana, and patient counseling and advisory services.
Generally speaking, Aurora sells dried medical marijuana to patients through the company’s physical delivery service. But, patients do have the option of placing orders over the phone and through Aurora’s online shop and mobile phone app.
Aurora Cannabis Inc – Did You Know?
- Market Capitalization is $737,074,834
- Total Revenue (LTM) is $1,439,270
- The Debt to Equity is 175.9%
- The Enterprise-Value / Forward Sales is 5.6x
3. ABcann Global Corp. (TSXV:$ABCN) — $0.99
Another company which functions as a licensed Canadian cannabis producer is ABcann Global Corp, previously known as Panda Capital Inc. Through ABcann Medicinals Inc, ABcann Global Corp is able to operate as a licensed Canadian cannabis producer, providing a 14,500 square foot facility. This facility has a production capacity of 1,000 kilograms annually. As of right now, ABcann Global Corp plans on starting the development of a 71,000 square foot institution which will have a production capacity of roughly 20,000 kilograms per year.
ABcann Global Corp – Did You Know?
- Market Capitalization is $98,389,547.59
- Total Revenue (LTM) is $0
- The Debt to Equity is not applicable
- The Enterprise-Value / Forward Sales is 6.6x
4. OrganiGram Holdings Inc. (TSXV:$OGI) — $2.40
Formerly known as Inform Exploration Corp., OrganiGram Holdings is another Canadian based company who operates via Organigram Inc. Organigram Inc. is regulated by Health Canada under the Marijuana Medical Access Regulations (MMAR) of the Government of Canada. As a result, Organigram is a licensed medical marijuana producer.
OrganiGram Holdings Inc – Did You Know?
- Market Capitalization is $246,204,650
- Total Revenue (LTM) is $6,127,630
- The Debt to Equity is 16.9%
- The Enterprise-Value / Forward Sales is 6.63x
5. CanniMed Therapeutics Inc. (TSX:$CMED) — $9.08
CanniMed Therapeutics Inc is a plant biopharmaceutical company based in Canada. CMED specializes in the output of pharmaceutical-grade marijuana and they offer a wide range of pharmaceutical-grade marijuana products.
Additionally, CanniMed Therapeutics has a plant biotechnology research and product development program. This program allows for the company to focus on the output of plant-based materials for agricultural, pharmaceutical, and environmental applications. CMED has a subsidiary with CanniMed Ltd, and through this, CanniMed is able to offer medical marijuana oils, dried medical marijuana, vaporizers and vaporizer parts, as well as a number of accessories.
CanniMed only uses dried marijuana flowers to produce their CanniMed Oils, while their vaporizers include Arizer Air Vaporizer and Volcano Medic vaporizer.
CanniMed Therapeutics Inc – Did You Know?
- Market Capitalization is $205,349,361
- Total Revenue (LTM) is $5,788,000
- The Debt to Equity is 127.6%
- The Enterprise – Value / Forward Sales is 7.6x
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