Village Farms International, Inc. (VFF-Q)

(A Top Pick Feb 04/21, Down 19%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with VFF has triggered its stop at $15.00. To be disciplined, we recommend covering the position. Combined with the previous recommendation to cover 50%, this will create a net investment return of 3.8%.

(A Top Pick Feb 04/21, Up 26.8%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with VFF has quickly achieved its $23.50 objective. To be disciplined, we are recommending covering 50% and trailing up the stop (from $10) to $15.

Stockchase Research Editor: Michael O'Reilly VFF is one of the largest vertically integrated greenhouse growers in North America. They produce traditional produce, have an interest in cannabis growth, as well as operating its own power plant in BC for its operations. The company owns a greenhouse facility in Texas that is ready for hemp and CBD extraction. We would buy this with a stop-loss at $10.00, looking to achieve $23.50 -- over 27% upside. Yield 0% (Analysts’ price target is $23.33)

This BC company grows vegetables, but lately has been getting into weed. In late-May, VFF and partner Emerald Health Therapeutics in their Pure Sunfarms joint venture received a sales license to operate a greenhouse to produce cannabis 2.0 derivative products. VFF is banking on full legalization of cannabis in the States, which will boost company sales. According to last month's Q1 earnings report, Pure Sunfarms is the top-selling cannabis brand at the Ontario Cannabis Stores. In late-February, VFF started selling its dried flower in Alberta and will start offering it to Saskatchewan. Also, VFF plans to launch cannabis oil products and other weed products this summer. Total Q1-2020 gross sales YOY soared 49% and net income popped 46%. True, VFF doesn't pay a dividend and trades at an astronomical 7,580x PE, but since that earnings release of May 14, the stock has rocketed almost 80%. Meanwhile, the biggest player, Canopy, has climbed 18%, while Hexo has risen 48%. In the past week, VFF has hovered above $8, leaping 13.55% on Wednesday alone, so the initial euphoria continues. With future sales coming from Saskatchewan and more products being released, it's reasonable to assume that revenues will continue to climb. Veggies may keep you healthy, but weed feeds a stock.