Emblem Corp. – Should You Invest in this Cannabis Stock?
Our analysts encourage you to evaluate this little-known subsidiary of Aleafia Health because of their strong focus, outlook, and operations. Consider adding Emblem Corp to your marijuana stock portfolio.
We understand that the public cannabis stock market offers endless investing options and it can be very difficult to decide what cannabis company to add to your growing portfolio. Fear not, for our analysts have reviewed them and have determined the best cannabis investing opportunities. Out of all the possible cannabis investing opportunities, our analysts recommend Emblem Corp (OTC: EMMOF) as one of the stronger cannabis stock investments to make for 2020. Emblem is a fully integrated licensed producer and distributor of medical cannabis and cannabis derivatives in Canada under the ACMPR (Access to Cannabis for Medical Purposes Regulations). Led by a team of cannabis experts and former health care and pharma executives, it has three distinct verticals – cannabis production, patient education centers, and pharmaceutical dosage form development. Emblem trades under the ticker symbol “EMC” on TSX Venture Exchange.
Emblem Corp is a cannabis company with a strong focus, strong outlook in subsidiary growth, and a strong grip on cultivation. The company also has the finances to back it up with a $41 million financing and an increase to its cash balance. Emblem used its cash to acquire companies after it increased the cash balance to $64 million in March of 2018. But is this one of the best cannabis stock picks for 2020?
Emblem is on its way to expanding into the cannabis market and establishing its own brands of cannabis products. The company understands that branded products are the way to go and it can easily achieve them with regular quantities as it has incredibly strong cultivation operations.
Emblem Corp. – Should You Invest in this Cannabis Stock?
Why do we like Emblem as a top cannabis stock for 2020?
- Strong Focus: The company is geared toward a very specific branding when it comes to the cannabis market. The CEO of the Emblem, Nick Dean, firmly focuses the company as a “health and wellness firm” with key interests in product innovation, brand development, production and distribution of both medical and recreational cannabis products.
- Strong Subsidiary Outlook: Emblem has acquired a long list of subsidiaries and has entered into plenty of supply agreements. The company has 100% ownership of Emblem Cannabis Corporation in Canada and cannabis education firm GrowWise Health Limited. For further acquisitions, Emblem entered into a letter of intent to purchase Natura Naturals for approximately $58 million. Natura has 40 years of experience with greenhouses and has a licensed cannabis capacity of 660,000 square feet. Additionally, Emblem has minority interests in Fire and Flower and a three-year supply agreement for up to 3,000kg of dried cannabis flower at wholesale pricing from Natura.
- Strong Cultivation Operation: The company has a strong grasp on cannabis cultivation with a 70,000kg per year. This large cultivation capacity is widely attributed to the fact that it acquired Natura Naturals and gained a 660,000 square foot cultivation greenhouse. The greenhouse was brought to full operating capacity towards the middle of 2019. At the start, only 155,000 sq. ft. was producing 15,000kg per year.
For these reasons, our analysts believe that an investment into Emblem at or close to its current price of $1.40 per share represents a good cannabis stock investment opportunity for 2020. Emblem is able to cultivate a large amount of cannabis on a yearly basis and is able to make strategic acquisitions in order to strengthen its position within the cannabis market.
Emblem Corp. – Should You Invest in this Cannabis Stock?
About Cannin: Cannabis and Hemp Investment Experts
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