- Stocks of Valens have added over 61 per cent growth in the last three months, with a current price-to-cashflow of 1353.
- Pharmacielo’s shares have zoomed over 266 per cent in the same period. Its stock ranks among TMX’s Rising Stars.
- Both pot stocks have yielded double-digit growth in the last one and made it to TMX’s top healthcare companies.
The cannabis industry has been faring well on the back of promised legalization drive both in the United States and Mexico this year. In the wake of the ongoing pot wave, Canadian cannabis stocks have been on the rise and advancing. We look at two penny stocks -- The Valens Company and Pharmacielo – that have responded positively to the latest green trend:
The Valens Company Inc (TSX: VLNS)
Current Stock Price: C$ 2.65
The British Colombia-based firm produces cannabinoid-based items and produces beverages.
The pot stock has swelled more than 54 per cent within a one month. Stocks of the cannabinoid company have returned nearly 61 per cent in the last three months, thereby making it to TMX’s top healthcare performers.
The company has over 129 listed shares outstanding on the Toronto Stock Exchange (TSX), with a present market cap of C$ 342.3 million, as per data on the TMX portal.
The marijuana stock is currently trading with a price-to-cashflow ratio of 1353 and earnings per share of C$ 0.01. It delivers a marginally positive return on equity and assets. Its price-to-earnings ratio is 2.409, and its debt-to-equity ratio is 0.17.
In the third quarter of fiscal 2020, ended on August 31, 2020, the cannabis company reported net revenue of C$ 18.1 million, a 10 per cent growth against C$ 16.5 million in Q3 FY19. Its product sales for the quarter generated C$ 15.1 million in Q3 FY20, 83 per cent of net revenue, and a 52 per cent surge compared to C$ 9.9 million in Q2 FY20.
Image Source: Kalkine Group @2020
Pharmacielo Ltd. (TSXV: PCLO)
Current Stock Price: C$ 1.94
The Toronto-based cannabis company develops and distributes THC (tetrahydrocannabinol) and cannabidiol pharmaceutical cannabis products.
The pot stock of the company has rocketed 266 per cent in the last three months and is up almost 34 per cent in one month. Consequently, the penny stock ranks among TMX’s rising stars and top healthcare companies.
The cannabis producer has a current market cap of C$ 270 million, with 139 million listed shares outstanding on the TSX Venture, as per TMX data. Its price-to-earnings ratio is 7.185, and the debt-to-equity ratio is 0.04.
The company posted cash and cash equivalents of C$ 3.2 million at the end of its third-quarter results, ended on September 30, 2020, from C$ 13.7 million as of December 31, 2019. The company reported a private placement worth C$ 10 million on November 23, 2020.
The company has operations across and Colombia, Italy and Mexico.