In this episode we examine the key take aways from Berkshire's 2020 Annual General Meeting (AGM). 

Why did Buffett sell his entire airline holdings (~$6.5B) at a loss?

What can we learn from the legendary investor with regards to his view on the current market?

We also discuss how we look at investing from a long and short term lens.

Can we really be long term investors in this space? Are we better off taking short term profits?

When does it make sense to "sell it all" and move to the sidelines?

In this episode we touch on the recent developments in the general markets and cannabis stocks. 

The market has rallied considerably in the last few weeks to within 15% of it's pre-COVID all-time highs. Does that make sense? Why is it reacting this way? And what's with the recent cannabis rally?

We go through what we think is happening and why you should exercise caution before chasing the dragon. 

Happy 4/20! In this episode we take a step back and review how much the cannabis industry has advanced in the last year.

1. From Boom to Bust - how the capital markets overshot and are now correcting

2. Milestones - major progress has been made in the last year

3. Is it a good time to invest in cannabis? Positives and negatives

Is the S&P 500 overvalued or cheap? That depends on what you think the "new normal" will be. In this episode we discuss how the economy may look very different post-COVID and how long it could take to recover:

The strong market rally - what are investors thinking?

3 reasons why the future normal could be very dissapointing

1) Record high unemployment - 16M+ new claims in the last 3 weeks (staggering)

2) Decreased consumer spending as confidence falls off a cliff

3) Longer term structural issues - what does "opening up" look like?

CANNABIS:

- Bad news for Harvest (HARV) and Ianthus (IAN)

- Good news on Illinois numbers ($188M USD for Q1 Sales)

- Aurora (ACB) 12:1 stock split and new ATM facility - what this means

- IIPR Short Report - more on this next episode

In this episode we dissect the recent market rally and urge caution that there is much more pain to come

- How Deep will COVID go? How long will the lockdown last?

- Is it time for investors to be fearful or be greedy?

- Reasons why the market is underpricing future risk

- Buy/Sell/Hold - what makes sense?

- How Alternative Investments fare when the general market corrects

- How fundamentals and valuation may change even after COVID passes

- Concerns and things to watch in cannabis

- Examining Medipharm Lab's Q4 results

- Village Farms BRUTAL Q4 Financials

- Exercising caution on HEXO

In this episode we delve deeper into the market mayhem that has happened over the last 10 days - things have changed for investors.

- How long will the COVID shutdown last?

- How deep will this go? How bad will it get?

- How should investors change the way they look at the markets (broader markets vs cannabis)

- The worst is yet to come - our thesis on how the next few months could play out

- Why we are selling and raising cash in anticipation of what's next

- Buckle up! Be ready for a longer shutdown than you might think

- How cannabis is behaving so far and what to keep an eye on going forward

- What will be the best investing opportunities in the coming weeks

PS - please excuse the audio quality; we are recording remotely on our phones!

In this episode we do a 180 on coronavirus and admit how we underestimated the virus and its potential to completely turn our economy and life upside down. We dig into how markets are reacting, how bad it is going to get and how this will ultimately affect broader markets and of course, cannabis investing.

- We were 110% wrong - here's what we underestimated

- The Shutdown: stopping the virus means pausing our economy and way of life

- Mass extinction event now applies to many small business outside of cannabis

- How bad is this? How long will it last?

- Predictions: How will government support business and households?

- Is this a 30 day event? Or a 6 month event? What happens if it goes longer than we think?

- How will cannabis behave in a shutdown? Will consumers buy online?

- Weed Stocks in a corona era - how will they behave? Who will win?

- Should investors open their wallets or proceed with caution

In this episode we explore the irrationality and panic which has pummeled stock markets and absolutely brutalized cannabis markets.  We also something of a market update where we discuss news on Canopy, Cresco, Village Farms and the Florida Market.

- What happens when there is a panic and a "rush to the exits"

- What we are seeing in the market today

- Does the market know more than you? 

- Don't expect the market to act rationally in the short-medium term (eg. VFF settlement)

- Several overhangs which will create drag for cannabis investors

- Canopy shutting down 2 BC greenhouses

- Cresco President abruptly "resigns" (bad sign!)

- How bad were Tilray Earnings (hint: really really bad)

- Florida House looking to cap THC at 10% for under 21 patients

- 2 questions to ask yourself before investing in cannabis today

In this episode we talk about the recent pummeling the cannabis markets (along with the broader markets) have taken due to Coronavirus fears. How does this relate to our on-going thesis of a 2008-style cannabis liquidity crisis? What are we buying right now?

- What is going on? How Corona is affecting broader markets

- Are the fears overblown? What potential risks are there?

- How does Corona affect the Cannabis Markets?

- What quality names are we buying at "deep value"

In this episode we emphasize the importance of digging into a company's financials for yourself to see if any warning signs are present. It is CRITICAL you are looking at a company's financials (sedar.com) 

- How we realized there was a "mass extinction" event coming

- Why we sounded the alarm bells 30 days ago

- Learning from the companies who went broke: DYME as a case study

Warning Signs:

1. Cash balance rapidly declining 

2. Large losses on income statement (and the importance of gross margins)

3. Cash Flow Statement vs Income Statement (why this matters)

4. "Circle The Drain" Financing - equity or debt raises at smaller amounts and worse terms

5. Lawsuits - Company gets into more lawsuits and disputes as they can't afford to pay their bills

Bonus - Importance of receivables and taxes payable

**Important - take a holistic view of the company. Having one of these items present is not nearly as having several red flags