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Friday, October 5, 2018

Pyxus: ‘Better Growth Prospects, Cheaper Valuation Than Tilray, Canopy Growth’


Pyxus (“PYX”) has better growth prospects and significantly more shots on goal than other cannabis companies.
We believe PYX has between 500 and 1,600% upside potential.
PYX recently held an analyst day indicating an EBITDA target of +/- $500m in fiscal 2023.
PYX is being mispriced as the market underestimates the resiliency of the legacy leaf tobacco business, which generates ~ $175m in adjusted EBITDA.
PYX has outstanding growth opportunities not only in legal cannabis, but also in other fast-growing, potentially large markets like industrial hemp/CBD and e-liquids for vaping products.

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