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- 🚨 The Battle For Middle Earth Has Begun! 🚨
🚨 The Battle For Middle Earth Has Begun! 🚨
William McNarland & Anthony Varrell
June 03, 2024
GM Everyone,
The cannabis industry is coming to a crossroads and needs to batten down the hatches for what might be our most formidable adversary yet—the hemp industry. Recently, real light has been shed on the ways the hemp industry is using Farm Bill loopholes to essentially create their own legal cannabis space without any of the red tape. Everything was fine until politicians recently bifurcated their views, voicing some support for the hemp space while continuing to denounce the cannabis space. This seems to be the inflection point that has woken people up to really dig in and realize the double standard present within our space. This is something everyone should be watching very closely, and we will continue to monitor it as we progress.
Today’s letter can be read in 7 minutes and 10 seconds.
What's Driving the Market Today?
The futures are up this morning, here is what is moving the market:
US May manufacturing surveys and April construction spending due.
Sheinbaum's election win in Mexico unsettles peso.
Modi's projected third term boosts Indian markets.
US stocks rise on cooling inflation hopes and strong end-of-May rally.
OPEC+ extends output cuts to 2025; crude markets steady.
Rescheduling Cannabis: ONDCP Director Rahul Gupta’s Call for Change
Facts that matter:
ONDCP Director Gupta criticizes outdated cannabis policies, advocating for rescheduling.
Anthony Varrell anticipates cannabis rescheduling before the election.
ONDCP’s push for Schedule III cannabis could advance medical research.
Quick Hit: The rescheduling of cannabis has been a contentious issue for decades. During an interview with the Mo News Podcast Raul Gupta said “We’ve had, when it comes to marijuana, failed policies for more than half a century, because of which way too many lives have been upended,”. His comments highlight the adverse impacts of these policies, which have led to widespread incarceration and social disruptions. The ONDCP is now advocating for a shift in approach, aiming to classify cannabis as a Schedule III substance.
New AI Strategy of Dell: Four Key Pillars Explained
Facts that matter:
Dell supports customers through AI adoption stages, Nicholas Brachney emphasizes.
Nicholas Brachney emphasizes AI’s role in streamlining operations at Dell.
Nicholas Brachney stresses the human element in Dell’s AI strategy.
Quick Hit: Nicholas Brackney at Dell underscores the company’s commitment to integrating AI into their operations and products. Dell’s AI strategy is built on four key pillars: providing choices in emerging technologies, leveraging a unique operating model, ensuring a secure and sustainable approach, and maintaining the human element in AI integration.
Coverage Initiated: New Lake Capital Partners
NewLake Capital stands out in the small-cap stock market for its strong financials and its unique position in the cannabis sector. The company’s business model operates on a simple yet efficient premise where it serves as a landlord to cannabis operations, offering real estate solutions that are both strategic and lucrative.They take in the money from the cannabis companies and manage it. The company takes a narrow, thin charge for doing that.
Cansortium Stabilizes Finances with Riv Capital Merger
Facts that matter:
Cansortium Holdings stabilizes finances with $70 million cash post Riv Capital merger.
Consortium’s reduced net debt of $5 million post-merger, Anthony Varrell stated.
Anthony Varrell commented, If adult use passes in Florida they could go to $200 million a year in the state of Florida.
Quick Hit: The merger between Cansortium Holdings (OTC: CNTMF) and Riv Capital (CSE: RIV) are in the headlines in the cannabis industry. This step has not only stabilized Cansortium’s financial situation but also opened up new avenues for growth. Anthony Varrell, the co-host of “Trade to Black” podcast, highlighted the immediate impact on Cansortium’s balance sheet, stating, “The main concern with Cansortium was their balance sheet. And that concern has now been resolved. They now have $70 million in cash.”
Would We Buy These Four Small Cap Stocks? | Trade to Black Small Cap Sunday
On our latest Trade to Black - Small Cap Sunday Podcast, we provide research for four potential small-cap stocks: Yorkton Equity Group (TSX: YEG), Flow Beverages (TSX: FLOW), Globex Mining (TSX: GMX), and Ispire Technology (NASDAQ: ISPR). Our analysis will cover their business models, revenue drivers, historical financial performance, and creditworthiness. Could one of these companies be a multibagger? We will also determine whether hosts Bill McNarland and Shadd Dales would consider investing in these small-cap companies. As investors, we consider gross profit margin, levered free cash flow, net revenue, net income, asset holdings, depreciation, and dividend growth over the past three years. We will look at growth catalysts for each company, the industry, and overall market trends. Don't miss out on this valuable analysis on those small cap stocks! Watch now to gain expert insights and stay informed on the latest small cap stocks and stock market trends.