01/12/2015 7:00 am EST
Jimmy Mengel, editor of The Crow's Nest, picks a tiny, micro-cap stock as his top speculative idea for the coming year. We emphasize that this play on medical marijuana should only be considered by those comfortable with the high risks.
T-Bird Pharma (TSX: TPI) is one of only 13 companies that have Marijuana for Medical Purposes Regulations (MMPR) approval to operate in Canada and one of four that actually trade publicly.
It also has the distinction of being the only company growing licensed medical-grade marijuana in British Columbia, which has long been the gold standard for high-quality marijuana.
Medical marijuana is just getting started and T-Bird is a way to play that trend for potentially blockbuster gains.
T-Bird projects it will only take 400 patients to conceivably break even. The overall Canadian market is estimated at 450,000+ patients, so it shouldn’t take much to get it to a profitable state. Here's what it offers:
- A technology-driven approach to growing medical marijuana and security that is both scalable and efficient.
- Pharmaceutical-grade products grown in a clean room environment.
- Development of proprietary technology and software, which will allow for break even with 400 patients.
- Focus on premium BC-developed strains with a portfolio of over 60 high-grade medicinal strains (including popular named varieties).
This tiny company sports a market cap of $21.65 million. We're looking for upside movement over the next few months as they raise awareness for the stock.