Group 1 - Alan Brochstein is a pioneer in the cannabis investment sector, having focused exclusively on this industry since 2007 [1] - He founded AB Analytical Services to provide independent consulting to registered investment advisors [1] - Brochstein is the managing partner of New Cannabis Ventures, which has been a key provider of financial information in the cannabis industry since 2015 [1] Group 2 - Alan has led the investing group 420 Investor since 2013, which focuses on publicly-traded cannabis stocks [2] - The group covers 20 stocks, providing investment news, earnings report previews, and post-report analyses [2] - Additional features of the group include a model portfolio, 10 weekly videos with chart analysis, 3 weekly summary pieces, a monthly newsletter, and a chat for questions [2]

Group 1 - Xebra Brands Ltd. is an international cannabis company [1] - The company announced a consolidation of its issued and outstanding share capital [1] - The consolidation will be on the basis of one post-consolidation common share for each ten pre-consolidation common shares [1] - The effective date for the consolidation is September 19, 2025 [1]

Core Insights - AYR Wellness Inc. has filed its unaudited interim condensed consolidated financial statements for Q1 2025, ending March 31, 2025 [1] - The financial statements and Management's Discussion and Analysis (MD&A) are available for review on SEDAR+ and the SEC's EDGAR system [2] - Shareholders and interested parties are encouraged to review the filed materials for comprehensive information regarding the Company's operating performance and liquidity position [3] Non-GAAP Measures - The Company reports non-GAAP measures to evaluate business performance and manage capital structure, which may not be comparable to similar measures from other issuers [4] - Non-GAAP measures such as "Adjusted EBITDA" and "Adjusted Gross Profit" are provided to complement GAAP measures and offer further understanding of operational results [5][6] - Adjusted EBITDA is defined as income from continuing operations before interest and taxes, adjusted for non-core costs and non-cash items [7] - Adjusted Gross Profit represents gross profit adjusted for certain costs, including interest and depreciation, with reconciliations provided in the MD&A [8] Company Overview - AYR Wellness is a vertically integrated U.S. multi-state cannabis operator with over 90 licensed dispensaries and a portfolio of cannabis CPG brands [11] - The Company aims to deliver high-quality cannabis products while positively impacting its team members and the communities it serves [11]

Industry Focus Shift - Tilray, once a prominent cannabis company, is now heavily invested in the beer industry [1] Business Strategy - The company's strategic shift involves expanding beyond cannabis into the alcoholic beverage market [1]

WATCH: How Cheech & Chong Turned Their Legacy Into A $100 Million Cannabis Empire https://t.co/l038cafphz https://t.co/QHrusQyAtV ...

Core Insights - The cannabis sector is experiencing a rally due to potential regulatory changes, with bipartisan support for descheduling cannabis, which could present investment opportunities [4][6][59] - The AdvisorShares Pure US Cannabis ETF (MSOS) is highlighted as a significant investment vehicle, with approximately $840 million in assets under management, providing concentrated exposure to the US cannabis market [6][12] - The quant analysis indicates that MSOS has shown excellent momentum and liquidity, recently shifting from a sell to a buy rating due to positive market sentiment surrounding cannabis legalization [12][16] ETF Analysis - MSOS is characterized as an actively managed ETF, which cannot directly own many US cannabis stocks due to federal regulations, instead utilizing investment swaps to achieve similar financial results [21][22] - The ETF's evaluation metrics include momentum, expenses, risk, and liquidity, with momentum being a strong predictive factor for buy/sell signals [8][10][25] - The quant score for MSOS currently stands at 4.35, with thresholds determining the transition from buy to hold or sell ratings based on various performance metrics [25] Company Insights - Verano Holdings (OTCQX:VRNOF) is identified as a strong buy, with a market cap of approximately $500 million, showing positive momentum and strong valuation metrics despite the overall sector's challenges [27][30] - Vext Science (OTCQX:VEXTF) is another notable company, with a market cap of around $60 million, demonstrating significant profitability and growth metrics, making it an attractive investment option [35][36] - Green Thumb Industries (OTCQX:GTBIF) is recognized for its strong balance sheet but faces challenges in growth metrics, indicating a potential long-term investment rather than an immediate buy [47][50] Market Context - The cannabis industry is still in a nascent stage, with significant regulatory uncertainty impacting growth and profitability across many companies [28][39] - Canadian cannabis companies, such as Tilray (TLRY) and SNDL, are noted for their more mature market position, providing a less risky investment alternative compared to US-based companies [39][42] - The overall sentiment in the cannabis sector is influenced by political developments and potential legislative changes, which could significantly impact investment strategies [59][60]

Group 1: Industry Overview - The cannabis sector is experiencing a rally due to proposed regulatory changes and potential descheduling of cannabis, which has garnered bipartisan support [4][6][59] - The AdvisorShares Pure US Cannabis ETF (MSOS) is highlighted as a significant investment vehicle with approximately $840 million in assets under management, providing concentrated exposure to the US cannabis market [6][12] - The cannabis industry is characterized by high volatility and regulatory uncertainty, presenting both risks and potential upside for investors [7][10][20] Group 2: ETF Analysis - MSOS has shown excellent momentum and decent liquidity, which has contributed to its recent upgrade from a sell to a buy rating [10][12] - The quant evaluation of ETFs includes metrics such as momentum, expenses, risk, and liquidity, which are crucial for assessing investment opportunities [8][25] - The ETF's structure involves investment swaps to comply with federal regulations, allowing it to gain exposure to US cannabis companies indirectly [21][22] Group 3: Company Insights - Verano Holdings (OTCQX:VRNOF) is identified as a strong buy with a market cap of around $500 million, showing promising growth and profitability metrics despite the overall sector's challenges [27][30] - Vext Science (OTCQX:VEXTF) is another notable company with a market cap of approximately $60 million, demonstrating strong profitability and growth potential [35][36] - Green Thumb (OTCQX:GTBIF) is recognized for its strong balance sheet but faces challenges in growth and earnings revisions, leading to a hold rating [47][50] Group 4: Market Sentiment and Future Outlook - The cannabis sector is viewed as speculative, with investors advised to approach it cautiously, recognizing the potential for both high rewards and significant risks [14][20] - The ongoing political discussions and potential legislative changes are expected to influence market sentiment and investment strategies in the cannabis industry [18][59] - Canadian cannabis companies, such as Tilray (TLRY) and SNDL, are noted for their more mature market presence, offering a different risk profile compared to US-based companies [38][39]

Core Viewpoint - Canopy Growth Corporation has launched a new at-the-market equity program to raise up to $200 million in common shares, aimed at supporting strategic investments and working capital [1][2]. Group 1: Equity Program Details - The new equity program allows for the issuance and sale of up to $200 million in common shares across U.S. and Canadian markets, with Canadian sales capped at $50 million [2]. - The program is governed by an equity distribution agreement dated August 29, 2025, with BMO Nesbitt Burns Inc. and BMO Capital Markets Corp. as agents [3]. - The program will remain active until June 5, 2027, or until the full $200 million is raised, with the Canadian portion ending earlier on July 5, 2026, or upon reaching its $50 million cap [3]. Group 2: Company Overview - Canopy Growth Corporation operates in the cannabis industry, producing and selling cannabis, hemp, and related products across Canada, Germany, and Australia [4]. - The company operates through four segments, including Canada Cannabis and International Markets, offering a variety of products such as dried flower, pre-rolls, edibles, vapes, oils, and concentrates [4]. - Canopy Growth markets its products under multiple brands, including Tweed, 7ACRES, Spectrum Therapeutics, Storz & Bickel, Wana, and DOJA [4].

Industry Overview - The U.S. cannabis industry is experiencing significant growth, with legal retail sales reaching approximately $30 billion in 2024 and projected to grow over 13% to $34 billion in 2025. Long-term forecasts suggest the market could exceed $90 billion within the next decade [1] - Adult-use cannabis is now legal in 24 states, while medical programs are operational in 40 states. Recent regulatory changes, including delayed rollouts and new THC guidelines, present both opportunities and risks for investors [1] Company Analysis: Ayr Wellness - Ayr Wellness reported full-year 2024 revenue of about $463.6 million, remaining flat compared to 2023. The company incurred a net loss of $359.3 million, worsening by approximately 31.9% year-over-year, largely due to non-cash impairment charges [7] - Ayr opened 11 new dispensaries in Q4 2024, bringing its total to 97 stores nationwide, with expansions in Florida, Ohio, and Connecticut. The company received conditional approval to operate in Virginia, indicating growth amid regulatory shifts [3][7] Company Analysis: Verano Holdings - Verano Holdings reported full-year 2024 revenue of $879 million, down roughly 6% year-over-year. The company posted a net loss of $342 million, which is about 39% of revenue, but adjusted EBITDA was $264 million, equivalent to 30% of revenue [10] - As of mid-2024, Verano operates in 13 states with over 139 dispensaries and has expanded into Virginia, Arizona, and Ohio, indicating a broad geographic reach and commitment to regulatory compliance [8][10] Company Analysis: Planet 13 Holdings - Planet 13 reported trailing twelve-month revenue of approximately $117.3 million, reflecting an 18.2% increase over 2023. However, it posted a net loss of about $49.2 million for the same period [14] - The company operates the Planet 13 Las Vegas dispensary and has multiple retail stores across several states, focusing on upscale branding and experiential retail, although it continues to face challenges in achieving profitability [11][14] Market Dynamics - The cannabis penny stock market is characterized by high volatility, with traders advised to use technical analysis, including breakouts above resistance and volume spikes, to identify potential trading opportunities [2] - Recent discussions around federal reclassification of cannabis are fueling speculative rallies, but any delays could lead to sharp market declines, emphasizing the need for disciplined trading strategies [2][15]

Core Insights - Silver Scott Mines, Inc. has signed a development agreement with Everest Networks to redevelop Kanab.club into a cannabis-focused consumer social network [1] - The agreement includes the creation of the Kanab Token, aimed at enhancing user engagement and providing transactional utility on the platform [1] Company Developments - The partnership with Everest Networks signifies a strategic move towards integrating social networking and business tools specifically for the cannabis industry [1] - The redevelopment of Kanab.club is expected to cater to the needs of cannabis consumers and industry participants, potentially expanding the user base and increasing platform activity [1] Industry Implications - The introduction of the Kanab Token may facilitate transactions within the cannabis sector, promoting a more interactive and engaged community [1] - This dual-platform strategy could position the company favorably within the growing cannabis market, leveraging social networking to enhance business opportunities [1]