And for cannabis investors, there are plenty of storylines to follow as there has been a lot of noise in the sector of late.
Sometimes it’s what a company doesn’t say that can offer hints to investors as to what is going on with a business.
Besides reporting that the new dispensary did $800k in revenue in its first month , there hasn’t been much of an update for investors as to how the new location is doing.
The company last reported its quarterly results in August, when sales of $32.8 million for the period ending June 30 grew 205% year over year.
This upcoming quarter will be the first to include results from Santa Ana, and my concern is that with the company’s lack of press releases about its new location, the results may be underwhelming.
And if Planet 13 doesn’t deliver a positive surprise next month, it wouldn’t be a shock to see the stock crash even further down.
Cannabis producer Trulieve is now the largest marijuana company in the world in terms of revenue after completing its acquisition of Harvest Health at the start of October.
22, the company had more than double the number of dispensing locations that the next largest cannabis operator in the state had — Liberty Health Sciences .
That may be a sign that the company is reaching a point of saturation in Florida, making it all the more paramount for Trulieve to show it can deploy successful operations in other markets as well.
And Trulieve has acquired licenses in other markets, including Georgia, where it entered its seventh state — prior to the acquisition of Harvest Health.
In its Q2 earnings release, Trulieve said it was operational in Massachusetts and West Virginia .
Performing well in Florida isn’t going to be enough to make Trulieve a good long-term buy — especially if the state legalizes recreational use and more competition floods the market.