Sundial Growers Inc. (NASDAQ: SNDL) is an integrated cannabis company that produces, distributes, and retails cannabis products. Based in Canada, the company has an expanding presence in the U.S.
Sundial is exciting because it’s unique. Most multistate cannabis operators are focused on expansion and volume. Sundial focuses on experience. It owns the largest cannabis dispensary in the U.S., located just off the Las Vegas Strip. With 112,000 square feet of floor space, the dispensary includes retail space, an events center, and even a restaurant. Consumers appreciate the unique atmosphere and the experience of heading to an integrated entertainment and dining destination, rather than just another storefront.
The strategy is working. In January of this year, the company told investors that the average spend per customer was $100. This was an increase over the $79 average per customer reported at the end of 2019. Revenue was up almost 10% compared to the end of last year.
Sundial Growers plans to add another high profile dispensary to its portfolio, with a 40,000 square foot retail location planned for California later this year. The company aims to replicate the success of its Las Vegas superstore, and if the California project is successful, we could see more Sundial stores in key markets.
Cannabis stocks were greatly overvalued this time last year. Today, the prices are more reflective of the market, and there’s a lot of value to be had in picks like Sundial.
- 1 Year Price Growth: N/A
- YTD Price Growth: -45.18%
- 3 Month Price Growth: -23.61%
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