SHWZ - Schwazze (SHWZ) - NobleCon 18 Presentation

NobleCon 18. Schwazze CEO Justin Dye and CFO Nancy Huber presented at NobleCon 18. Management highlighted its vertically integrated seed to sale cannabis business, opportunity to create lasting brands, and growth opportunities. A rebroadcast is available at https://noble.mediasite.com/mediasite/Catalog/Full/4ec6170801b441318e66ea53d53540a421.Geographic Focus. Schwazze is regionally focused, today on Colorado and New Mexico, with additional potential expansion into other southwestern states. Schwazze controls the leading position in Colorado and a top position in New Mexico. There remains an ability to continue to grow market share in each market, both organically and through acquisitions.Retail Expertise. Schwazze leads with retail, standing for a broad assortment of differentiated products, service, and quality. Management's retail expertise and experience enables Schwazze to control shelf space and the ability to develop brands, both in-house and with partners.Building Brands. Management believes building brands provides Schwazze the opportunity to mature into a consumer products company, which trade at substantial premiums on an EV/EBITDA basis to the cannabis industry. Today, Schwazze has a house of brands that include StarBuds, Emerald Fields, and R. Greenleaf on the retail side, Purplebees on the manufacturing space, and Grow Forth on the cultivation side. Maintaining Outperform. We are maintaining our Outperform rating and $4.00 twelve month price target. At our price target, SHWZ shares would trade at 8.1x projected 2022 EBITDA, a discount to the peer group's 11.5x. Read More >>