Money Mindsets: Aphria Inc. (APHQF)

I have been in the MJ sector for over 2 years now just one year after Trudeau election and banking on his promise he would legalize marijuana. It was a long shot as most politician don’t fulfill their promises. But I thought this guy just like his dad PE will want to leave a legacy his dad did with inter alia the Charter Rights and Freedoms and I knew Justin with his ego would want to be part of history. Now with that said I chose Tweed (now CGC), aphria and Aurora back then doing my DD. I sold aurora and bought more of the 2 others. I really never was active on boards waiting holding my shares, took profit along the way and adding on dips. During those 2 years have witnessed the evolution of this sector and its almost endless potential. I have no doubt that this industry will become so big that everyone who invested today will be greatly rewarded in the near future. So forget about the day traders and their bashing comments on this board stay long and y’all be happy.

Do not think I saw this posted - sorry if it is rerun - from investor place yesterday. I understand that there are a lot more pieces coming out now and many are "pump up" pieces, however, thought I would share as APH is his top valued MJ play.Aphria (OTCMKTS:APHQF) remains my favorite among the larger Canadian marijuana stocks. Named after the Celtic word for ?agreeable,? the agreeability goes beyond its core product. Aphria has grown into the third largest producer in Canada. Only Canopy and Aurora (OTCMKTS:ACBFF) exceed Aphria in size.Aphria?s focus centers around #$%$. The company has become a lead producer of products such as capsules and vaporizers. It has also ventured into the recreational market. Like Canopy, it has also partnered with an alcoholic beverage company. In May, it partnered with Southern Glazer?s Wine and Spirits for distribution rights.Aphria has also become the largest profitable cannabis producer in Canada and it has remained so since 2016. Like most Canadian marijuana stocks, it trades at a relatively high multiple. Its price-to-earnings ratio currently stands at about 88. Such a P/E remains expensive by S&P 500 standards. However, market leader Canopy does not have a P/E at all and trades at over 121 times sales. In comparison, APHQF stock looks relatively inexpensive.Growth also looks promising, at least over the long-term. Analysts do not expect to see profit growth for the upcoming fiscal year. However, for the next year, they predict profits will grow by 450% to 55-Canadian-cents-per-share (42 cents, USD). That would take the forward P/E for the next fiscal year to around 30.Hence, against aggressive growth targets, the price of APHQF stock looks reasonable for this industry. Even if it misses that growth target, Aphria still appears to enjoy the best near-term financial conditions among the larger Canadian marijuana stocks. For those looking for a cannabis stock with a market cap above $2 billion, I prefer APHQF stock over its larger counterparts.