GDNSF - Bengal Capital - Grown Rogue: Remains Materially Undervalued Best Days Still Ahead
2024-02-10 04:05:00 ET
Summary
- As the largest position in our portfolio, Grown Rogue's price appreciation has also driven the majority of our performance.
- While we believe Grown Rogue will benefit from higher initial pricing, we do not think it depends on those prices staying elevated in order to make a profit.
- We also believe the higher-margin services revenues from Grown Rogue's consulting relationship with Goodness Growth are an added bonus.
- We believe that Grown Rogue's best days are still ahead and that it remains materially undervalued.
The following segment was excerpted from this fund letter.
Grown Rogue ( OTCPK:GRUSF , CSE:GRIN)
As the largest position in our portfolio, Grown Rogue's price appreciation has also driven the majority of our performance. We continue to believe Grown Rogue still has a long runway of profitable, capital-efficient growth, and therefore believe it continues to be undervalued despite its ~160% price appreciation in 2023 (CAD$0.145 to CAD$0.38, and currently trading north of CAD$0.40)....
Bengal Capital - Grown Rogue: Remains Materially Undervalued, Best Days Still Ahead