PLNHF - Planet 13's Cannabis Superstore And Florida Expansion: Is A Merger In The Air? | Benzinga
Equity research firm Zuanic & Associates initiates coverage of Planet 13 Holdings Inc. (OTC: PLNHF) with an Overweight rating, highlighting that the stock's valuation doesn't fully capture the potential of its unique and scalable superstore concept.
Despite potential execution risks, Planet's growth initiatives are expected to drive more than 60% cumulative top-line growth by CY25. This growth is anticipated even with a >30% share count increase resulting from the VidaCann acquisition.
Expansion and Growth Initiatives
Planet 13 currently has two stores in Nevada, a superstore in Santa Ana, California and plans to open a mid-size store in Illinois. The acquisition of VidaCann in Florida is expected to make Florida the second-largest state for Planet 13 with the potential for significant growth in that market.
Planet 13 has expanded the Las Vegas complex to include a restaurant, bar, apparel sections, and memorabilia, with plans for a consumption lounge and a cannabis-themed museum.
While attracting only 4% of Las Vegas visitors, the company aims to increase foot traffic. Delivery and curbside pickup services have been implemented to accommodate changing consumer preferences.
Planet 13's VidaCann Acquisition - Florida Market Expansion
The acquisition of VidaCann positions, Planet 13 is a key player in the Florida market, offering a strong dispensary network, a complementary brand portfolio and an opportunity to expand revenue generation. VidaCann holds Florida's 9th largest dispensary network with 26 dispensaries.
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