This week’s show starts with a conversation about the large number of CEO replacements this year. Thus far, AYR Wellness, Ascend, Curaleaf, and The Cannabist all have new leadership. Jesse and Morgan discuss what's driving the changes and what makes a qualified cannabis CEO. Emily Paxhia, co-founder of Poseidon, joins 20 minutes into the episode live from Florida. She's been in Tallahassee and shared her perspective on the obstacles in getting Amendment 3 passed and potential hurdles with the im...
Sep 19, 2024•1 hr 9 min•Season 2Ep. 36
Morgan and Jesse just returned from Glass House Brands' first analyst and institutional investor day and were joined this week by Glass House CEO Kyle Kazan and President Graham Farrar. The group recapped the day and shared some of the highlights from the presentations and tours. Glass House is a single-state operator focused on the California market. We walked through the state of California cannabis and the challenges and opportunities it presents. Kyle and Graham helped us better understand t...
Sep 13, 2024•1 hr 36 min•Season 2Ep. 35
Jeff Schultz, Partner at Foley Hoag, joins the show this week to help us understand the complex political catalysts ahead for cannabis. We start with rescheduling, and Jeff offers his perspective on the ALJ hearing and when we may see a final ruling. A Garland Memo may follow the final ruling and Jeff explains the memo's importance. SAFER Banking may become topical again late this year. We discuss the importance of SAFER in light of Schedule III, and how it would complement a Garland Memo. A com...
Sep 06, 2024•1 hr 25 min•Season 2Ep. 34
The rescheduling process got extended with the announcement of the ALJ hearing on December 2nd. The show starts by discussing whether this is categorically bearish or if going through a more thorough process may yield a net benefit. Jesse and Morgan debate whether this impacts the broader thesis and the types of companies you should own. David Goubert, CEO of Ayr Wellness, joins the show about twenty minutes in and shares their perspective on the ALJ hearing. The conversation transitions into AY...
Aug 29, 2024•1 hr 6 min•Season 2Ep. 33
This week, we were joined by Nicholas Gastevich, Vice President of V. Gastevich Investments, known as CannaVestments on X and Reddit. Gastevich is a seasoned cannabis investor known for his excellent earnings analysis and industry perspective. The conversation began by discussing 2Q earnings results . We saw more differentiation this quarter between the tier 1 and tier 2 MSOs, especially in gross and adjusted-EBITDA margins. Tier 1 gross margins averaged 52%, versus 41% for tier 2s. Gastevich sh...
Aug 23, 2024•1 hr 15 min•Season 2Ep. 32
Higher Exchanges this week kicks off with a listener question about whether Schedule III is enough to kick off a lasting bull market. After going around the horn, Jesse, Morgan, and Toby agree that a combination of growth, cash flow, and greater access will meaningfully move share prices. TerrAscend's Executive Chairman Jason Wild and CEO Ziad Ghanem join the show 20 minutes in. Jason shares his thoughts on what conditions may lead to a lasting move. We then transition to talking about returning...
Aug 15, 2024•1 hr 2 min•Season 2Ep. 31
It was a busy week in cannabis, and the trichome trio is back to cover all the news. The show starts by analyzing Trump's comments about cannabis and what it may mean for Schedule III and broader reform. The group agrees that the early Republican statements appear to derisk the space and reduce possible opposition to Schedule III. We also explore the potential for federal legalization and what it may mean for cannabis stocks. The top ten MSOs all reported 2Q earnings, and the show's second half ...
Aug 09, 2024•1 hr 16 min•Season 2Ep. 30
It's 103 days until the elections, and political theater continues to dominate the cannabis investing news cycle. This week, we learned that Kamala Harris is likely replacing Biden, and Toby helps us understand if this will be beneficial to cannabis and specifically to the Schedule III process. The rescheduling comment period also concluded this week and Headset produced an insightful report showing broad support for rescheduling, and even descheduling cannabis. Morgan walks us through the repor...
Jul 25, 2024•1 hr 11 min•Season 2Ep. 29
Hirsh Jane, Founder of Ananda Strategy, joins the show to discuss the series of state-level catalysts ahead in 2024 and 2025. Ohio is in the process of approving stores and Hirsh updates us on when we might see doors open in the Buckeye State and his expectation for how sales will evolve. Florida is the biggest potential adult-use flip in 2024, and the guys agres the state is polling well, and Amendment 3 is likely to pass this fall. Pennsylvania is the next biggest opportunity, and Hirsh shares...
Jul 18, 2024•1 hr 25 min•Season 2Ep. 28
The trichome trio is back to discuss progress on federal catalysts. The episode begins by discussing the 07/10 holiday, and Jesse updates us on trends he's seeing in the California concentrate market. The bulk of the conversation centers around Schedule III and how to assign probabilities to different outcomes. Morgan also gives us an update on the Boise Schiller lawsuit, and the group covers capital raises and lessons learned from 4Front Ventures' recent raise attempt. The episode concludes wit...
Jul 11, 2024•58 min•Season 2Ep. 27
The show begins this week by sharing due diligence tips when visiting a grow or dispensary. With cultivation, the group agrees there is no one way to grow great cannabis, but there are a handful of best practices. Regarding retail, location, parking, product selection, and budtenders were on the top of the list. Curaleaf CEO Matt Darin joins the conversation to talk about their new line of hemp-derived THC products. He shares the vision for the project and how it can complement their current can...
Jun 28, 2024•58 min•Season 2Ep. 26
Off the top, the guys discuss Verano's announcement of a share repurchase program. The company authorized the repurchase of up to $50 million of shares and we debate whether this is a good use of capital. Toby is more bullish on the program, while Morgan is more concerned about preserving cash and investing for growth. The Cannabist Company CEO David Hart joins the show to cover their recent restructuring and Florida divestiture news. David explains the rationale behind the Florida decision and ...
Jun 20, 2024•58 min•Season 2Ep. 25
The episode begins with Toby elaborating on a recent X post stating that a large $90b pension plan recently invested >$100m in a leading cannabis-focused fund. This led to a broader discussion about how institutions are approaching investing in cannabis. The conversation evolves into what's taking place in Florida. We recently saw a Fox News poll showing 66% support for legalizing adult-use cannabis. Meanwhile, Governor DeSantis recently came out against legalizing cannabis while simultaneous...
Jun 14, 2024•58 min•Season 2Ep. 24
It's merger mania week--or merger maybenia as Morgan called it--and this week's show is dedicated to the potential partnerships between GTI and Sam Adams and Cansortium and RIV Capital. We tackle GTI and SAM off the top with an overview of the proposed merger and discuss the timing and synergies. We debate the timing and wonder why now as we are just approaching potential federal reform and meaningful TAM expansion if Florida flips adult use. The group also covers potential synergies in the sale...
Jun 06, 2024•58 min•Season 2Ep. 23
With Toby on holiday this week, Morgan and Jesse kick off this week's show by reviewing recent price action and contrasting it with reality. While falling share prices have eroded sentiment, there are positive developments. Ohio is beginning to turn on adult-use stores next month, and we analyze key dates, estimate the potential size of the adult-use market, and dig into MSO exposure in the Buckeye State. With 43 MSO-owned stores that may expand up to 70 in the near term, this is an important ma...
May 30, 2024•1 hr 1 min•Season 2Ep. 22
Nick Gastevich, known as CannaVestments online, joined us this week. He is one of the most experienced cannabis investors and manages a family office that is active in the space. We discussed cannabis stock’s adverse reaction to the positive momentum on rescheduling and debated time frames for a final ruling. The heart of the conversation centers on first-quarter earnings, and we evaluated top-line growth and EBITDA conversion and analyzed cash flow metrics. The conversation concludes with an ev...
May 23, 2024•1 hr 17 min•Season 2Ep. 21
Cresco CEO Charlie Bachtell joined us this week to discuss the proposed rule on Schedule III and the company's recent earnings results. Cresco is active in Washington, and Charlie shared his perspective on Schedule III’s next steps, timing, and impact on Cresco's business. We also dug into Cresco's progress. 2023 was the year of the core, and Charlie highlighted the tough decisions they made to cut costs and rationalize the footprint. He also explained Florida's importance and the efforts they a...
May 17, 2024•59 min•Season 2Ep. 20
Verano Co-Founder, Chairman, and CEO George Archos joined the show to discuss the company's recent quarter. The business is beginning to generate significant cash flow, and George shared how he expects revenue to grow and opportunities to use the financial flexibility. We also asked about optimizing Florida assets ahead of the potential adult-use transition and M&A strategy. The second half of the show is about free cash flow yields. Jesse provides an overview of the metric, and Toby shares ...
May 09, 2024•1 hr 1 min•Season 2Ep. 19
Today, we heard the welcome news that the DEA is agreeing with the HHS recommendation to move cannabis from Schedule I to Schedule III. Boris Jordan, Executive Chairman of Curaleaf, joins at the top of the show to share his thoughts on the next steps in the process, the timing of a final ruling, potential risks along the way, implications for institutional interest, and the specific impact of 280E on Curaleaf's business. Hirsh Jain, founder of Ananda Strategy, joins for the second half and helps...
Apr 30, 2024•1 hr 10 min•Season 2Ep. 18
It's a quieter time in cannabis, but this was a fun show. We started by reviewing the 4/20 holiday, focusing on the revenue lift and which categories performed best. Beverages were a top seller, and the guys debated the category's future and who will drive its growth. We debuted a new game called "buy or sell" that led to several fun debates on rescheduling probabilities, how to play a potential rescheduling bounce, when Florida may eclipse California in legal cannabis sales, and whether dispens...
Apr 25, 2024•1 hr 7 min•Season 2Ep. 17
The trichome trio is home from the Benzinga Cannabis Capital Conference in Florida and the show starts with their biggest takeaways from the event. The conversation evolves into a spirited discussion on where we stand on Schedule III. The guys debate the probability of landing on Schedule III and the time frame in which it may happen. The episode concludes by talking about the AGP sentiment survey and what everyone is doing for the 4/20 holiday.
Apr 19, 2024•1 hr 19 min•Season 2Ep. 16
2024 is the year of potential cannabis catalysts and we had Hirsh Jain, Founder of Ananada Strategy join us to discuss a bevy of federal and state-level opportunities. Next week is 4/20, and one potential time that the DEA could respond to the HHS' Schedule III recommendation. The trio debates the probability of a response and the implications to short and long-term investors. On the state side, we tackle Ohio first, and the exciting news that adult-use sales could start as soon as July 2024. Hi...
Apr 11, 2024•1 hr 10 min•Season 2Ep. 15
This week's show starts with a recap of adult use making the ballot in Florida and what it may mean to the industry. Morgan shares his perspective after recently visiting the Sunshine State. We cover the pros can cons of the mandatory vertical market and opportunities for smaller companies like Sunburn to expand if adult use succeeds. Toby gives his thoughts on how Florida will expand the TAM and drive revenue, especially to the tier-one operators. AYR Wellness President and CEO David Goubert an...
Apr 04, 2024•58 min•Season 2Ep. 14
Jesse starts the show by sharing his experiences visiting LEEF Brands and Gold Flora. LEEF is a leading producer of concentrates in California and he went to see their 12,500-square-foot extraction facility in Northern California. Gold Flora is a top vertically integrated California company and Jesse shared his experience seeing their stores and cultivation facilities in San Jose. Sam Armenia, known as Sammy J on X and VP of Corporate Development at C21 Investments, joins the show to share his p...
Mar 29, 2024•1 hr 7 min•Season 2Ep. 13
The show kicks off with Toby sharing his experience at the ROTH Conference this week in Dana Point, California. We discuss how institutions are beginning to look at cannabis, but it will take federal reform for most to spend more time and resources on due diligence. Jesse and Morgan also talk about things it takes to win in the difficult California market. TerrAscend Executive Chairman Jason Wild and CEO Ziad Ghanem join the show to cover their most recent results. The team provides an overview ...
Mar 21, 2024•58 min•Season 2Ep. 12
We are deep in Q4 2023 earnings season and this week's show starts with Jesse, Morgan, and Toby sharing their biggest takeaways from the results so far. Jesse covers how margins are evolving, Morgan complements that with cash-flow conversion metrics, and Toby gives his perspective on the various 280E tax strategies we are seeing utilized. Ascend CEO John Hartmann joins 20 minutes into the episode to give his perspective on the company's Q4 2023 results. Revenue and AEBITDA grew at Ascend in 2023...
Mar 14, 2024•1 hr 2 min•Season 2Ep. 11
This week's show had an all-star cast to review recent earnings. CannaVestments shared his thoughts on the federal and state-level catalysts in 2024 and contrasted this against eroding investor sentiment. He also gave his perspective on the recent results from GTI, Verano, and Trulieve. Boris Jordan, Executive Chairman of Curaleaf, joined the show to review the company's Q4 2023 earnings. He also covered how 280E removal would benefit the business, the results of their recent institutional road ...
Mar 08, 2024•1 hr 25 min•Season 2Ep. 10
GTI, Trulieve, and Verano reported Q4 2023 earnings this week and the guys dig deep into the results. To discuss Verano, they are joined by the company's President Darren Weiss, CIO Aaron Miles, and CFO Brett Summerer. Plus, Morgan asks Grok about cannabis bear Mitch McConnell's retirement and what it means for the cannabis sector
Mar 02, 2024•1 hr 4 min•Season 2Ep. 9
This week's show begins by discussing the Benzinga cannabis conference in Los Angeles. Morgan and Jesse left inspired by the strength of brands, the quality of products, and the lack of focus on politics. Boris Jordan, Executive Chairman of Curaleaf, joined to discuss the recent events in Germany. He shares how he sees the program evolving and the economic opportunity for Curaleaf. Earnings season starts next week and the group weighs in on what they are looking for in the quarterly reports and ...
Feb 23, 2024•1 hr 16 min•Season 2Ep. 8
Morgan's on the road, so Jesse and Toby start the show reviewing the recent pullback in cannabis stocks and the corresponding drop in sentiment. Toby also shares his experience at the Cannacord webinar and Jesse explains how the institutional investments in cannabis compare to more mature sectors. Sam Armenia, known as Sammy J on Twitter and VP of Corporate Development at C21 Investments, joins the show to share his experience as an investor and operator. We talk about the retail-focused investo...
Feb 16, 2024•1 hr 2 min•Season 2Ep. 7
