Trulieve Cannabis: Big Florida Risk
Trulieve Cannabis faces far more competition in Florida now than at the end of 2020. At least 3 or 4 stronger MSOs have entered the state to absorb a substantial amount of the growth in the state. The MSO faces risk that Q2 revenues will miss targets and the company will face margin pressure in Florida while expanding in other states with lower margins. The stock isn't expensive at a 3.3x forward EV/S multiple, but Trulieve isn't likely to rally in the face of any slowing organic growth. Looking for more investing ideas like this one? Get them exclusively at Out Fox The Street. Learn More » The U.S. cannabis space has been on a major growth trajectory over the last few years. While the MSO (multi-state operator) space has plenty of growth catalysts ahead, not every company has the same opportunity. My investment thesis is more Neutral on Trulieve Cannabis ( OTCQX:TCNNF ) as the MSO faces far stronger competition in Florida after a period of competing...