Career Venture Capitalist.
Joined March 2026
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I think sone of institutional $$ leaving AI will go into cannabis. Just my 2 cents from my 40 year career. $$ always chases returns. And $MSOS and #cannabis offer those returns.
$MSOS I recently posted that I like discussion - but every now and then on X - no matter how hard I try to be polite - (even to the bot or toxic hemp lover) - I have found that there are those few individual cases where words are to no avail. I recently was called a fraud because I didn't put some of my work experience on linkedin. Lol - well some pieces of my life aren't really relevant to my current work obviously. I reflected on this today thinking of our beloved Patrick Stewart who entertained us for so many years with poise and intelligence -- and those peculiar moments when he did the ultimate facepalm and knew that there were no words to apply. 😂How often in this industry have I felt the same way....both with stocks, certain exaggerated or misleading headlines, and with those who emulate Eeyore in their never ending tropes of misery and bitterness. Sometimes infectious joy or a little bit of hope in life has a way to work its own magic. How many stocks have been chased on numbers that don't math? If anything - our little stocks, being solely dependent on real time data of legal moves, have more certainty than the negative earnings and capex of others that trade far out into the future. I always say to my daughters - don't worry, it all comes out in the wash. It may take time, but in the end, what is truth will prevail. Look at the dot com bubble. Look at the current Ai trading and the data center narratives. Look at the incredible expenses and negative earnings of weaponized low float meme stocks. While ours sits quietly, undervalued, and waiting - would it not be very ironic that cannabis stocks rise while those giant Ai stocks pull back for a bit? This year I have had popcorn in hand, dry powder ready to go, and am waiting with anticipation. We will see what is next. My hopium after all of these years of waiting, is to be pleasantly surprised - regardless of market bots and the protagonists we face. @TheDalesReport @ElGuapoTron4000 @shadddales @V_arrell @rivers_kim let's "make it so. ENGAGE!"
DEA stay lifted. Schedule III clock is running.
- Reply briefs closed Nov 5; ALJ decision next
- @AdvisorShares $MSOS @Trulieve $TRLV @tilray $TLRY
- @_herbaldispatch $HERB.CN / $LUFFF targets positive adj. EBITDA in Q3
Rex Wiggins retweeted
🗞️ DEA And Marijuana Rescheduling Opponents File Final Briefs In Hearing Ahead Of Judge’s Decision
🔥-take: This is the bureaucratic death rattle of the Schedule I holdouts.
The DEA just filed its last brief telling the judge to give the GAO “gaps in process” report **zero weight**, while the usual anti-rescheduling groups (NDASA, DUID Victim Voices, etc.) are reduced to arguing that the lack of written internal protocols somehow fatally taints the entire scientific review. The judge already denied their request to reopen the hearing for more testimony or discovery. The record is closed. The briefs are in. The stay delay was lifted Thursday 11/5. A recommendation is coming.
• The DEA is not wavering. It’s explicitly defending the move to Schedule III on the merits: currently accepted medical use, safety under medical supervision (citing tens of thousands of practitioners and millions of patients in state programs), and an abuse profile that fits Schedule III better than I or II. It even called out the opponents’ inconsistency — they loved the 2016 review that kept cannabis in Schedule I even though the same lack of written protocols applied then.
• The opponents’ best remaining argument is procedural hand-waving after losing on the substance. When your case rests on “the process wasn’t formal enough,” while HHS/FDA already recommended rescheduling and the hearing produced thousands of pages of evidence, you’re not winning on the science.
• Attorney General Blanche already issued an order reclassifying state-licensed medical cannabis and FDA-approved products toward Schedule III treatment. The broader hearing is the remaining piece of the same administration’s effort.
This isn’t a done deal — the ALJ still has to recommend, and the DEA Administrator makes the final call, with post final rule litigation likely. But the last-minute delay tactics failed, the agency charged with defending the proposal is doing exactly that, and the opponents are recycling arguments the judge already limited. For anyone who has watched cannabis rescheduling die in process hell for years, this looks like the closest it’s come to actually happening.
The leaf is still green, the sky is still blue, and the Schedule I status is looking increasingly indefensible.
🇺🇸🌿🧺 $MSOS
marijuanamoment.net/dea-and-…
Memory/semis and other tech stocks are in a significant drawdown/bear market now.
My criticism of FIN TV is that their duty was to prepare viewers for the eventual risks that arise.
Their duty waws to challenge "group stink" and the bullish consensus.
Fin TV failed to this - instead soft balls were lobbed in company interviews and Perma Bulls like Dr. Jereny Siegel, Tom Lee (@fundstrat) and Dan Ives (@DivesTech were paraded daily - confidently providing ever bullish soliloquies without any consideration towards the potential risks to large cap technology stocks (which dominates the Indices).
Fin TV never learned from prior cycles.
They took the easy way through formulaic programming.
@KeithMcCullough @Hedgeye_HGRO @RPKInvestor @HedgeyeDJ @gnoble79
Time to load $MSOS. Tutes coming in Part of AI hot $$$ coming into cannabis. $MSOX @RosellaStrang @V_arrell #cannabis #CannabisCommunity
🇺🇸 $CRLBF Cresco Labs @crescolabs
🤑 Q3 Earnings Report
• Revenue: $173M (+5% YoY)
• Gross Margin: 46.8%
• Operating Cash Flow: $26M
☎️ CONFERENCE CALL: Fri 11/6 at 8:30am ET
events.q4inc.com/attendee/81…
🔥-take: Cresco Labs delivered resilient $173 million revenue (up 5% YoY) and standout cash generation—$26 million in operating cash flow converting over 60% of Adjusted EBITDA into free cash flow — while closing an accretive Pennsylvania retail acquisition, improving cultivation, ramping a new state, and securing shareholder approval for a simplified structure ready for potential U.S. listing/reform.
🤖 ANALYSIS:
Cresco Labs (CSE: $CL / OTCQX: $CRLBF), a leading multi-state operator focused on branded cannabis products and Sunnyside dispensaries, reported results for the quarter ended September 30, 2026. The release highlights disciplined execution in a still-challenging cannabis market characterized by price compression and competitive intensity.
Top-line and profitability
Revenue came in at $172.8 million (reported as $173 million), essentially flat sequentially versus $173.3 million in Q2 2026 and up ~5% year-over-year from $164.9 million in Q3 2025. This met the company’s prior guidance for roughly flat sequential revenue and aligned with Street expectations around $173–174 million.
Gross profit was $79.5 million (46.0% margin), down from $86.9 million (50.2%) in Q2 and roughly flat versus $79.4 million (48.1%) a year ago. Adjusted gross profit reached $80.9 million (46.8% margin). The sequential margin compression reflects higher cost of goods sold relative to revenue, consistent with industry-wide pricing pressure, though management noted cultivation improvements that supported the base business.
SG&A was $57.7 million (33.4% of revenue); Adjusted SG&A was $54 million (31.3%). The gap primarily relates to one-time/non-recurring costs tied to M&A, uplisting preparedness, and federal reform efforts.
Adjusted EBITDA was $34.9 million (20.2% margin), down from $39.5 million (22.8%) in Q2 and $39.8 million (24.1%) in Q3 2025. This landed in line with guidance for margins near 20%. Net loss was approximately $15 million (or $14.5 million per some summaries), versus net income of ~$15 million in Q2 and a larger loss a year earlier. Interest expense was roughly $15.7 million.
Cash flow and balance sheet
The clear highlight is cash generation. Operating cash flow jumped to $26.1 million (versus $15.4 million in Q2 and just $6.2 million in Q3 2025). Free cash flow reached $21.2 million after modest capex of ~$5 million, delivering the >60% conversion of Adjusted EBITDA into free cash flow highlighted by CEO Charlie Bachtell. This is a meaningful improvement and demonstrates strong working-capital discipline and operational leverage on the existing base.
As of September 30, cash, cash equivalents, and restricted cash stood at $76 million, with $454 million in long-term notes and loans payable. Fully diluted shares were ~508.2 million. Investing activities reflected the acquisition (net cash used in investing of ~$43 million), partially offset by financing inflows.
Strategic and operational progress
During the quarter Cresco closed the acquisition of nine Pennsylvania medical dispensaries (PharmaCann Penn) for $50 million, strengthening its position as the #1 retailer (and already #1 wholesaler) in one of the largest medical markets. Management also cited cultivation improvements and ramp-up in a new state while keeping the core business steady. The company retained #1 share in multiple billion-dollar markets (per Hoodie Analytics).
Shareholders approved (with >94% support) three special resolutions simplifying the corporate structure—creating a new parent, potential Delaware redomicile, and extending a listing sunset—to better align with a future U.S. investor base and senior exchange listing. Management emphasized that the business is built to stand on its own and is not dependent on reform timelines, while remaining ready to act.
Context and takeaways
In a sector still dealing with price compression, high effective taxes, and slow federal progress, holding revenue flat-to-up, maintaining mid-40s adjusted gross margins and ~20% Adjusted EBITDA margins, and converting a large portion of that into free cash flow is solid execution. The Pennsylvania deal is expected to be immediately accretive, and the structure changes reduce friction for any future uplisting or institutional interest.
Near-term focus remains operational discipline, integration of the new retail footprint, cultivation gains, and cash generation rather than growth-at-all-costs. The results reinforce Cresco as one of the more cash-flow-oriented operators among the larger MSOs, with a cleaner path to potential U.S. capital-markets access.
🗣️ MANAGEMENT COMMENTARY:
Charlie Bachtell @CharlesBachtell, CEO
"Q3 delivered revenue of $173 million, up 5% year-over-year, and $26 million in operating cash flow, converting over 60% of Adjusted EBITDA into free cash flow. The Cresco team executed this quarter as we closed an acquisition, improved cultivation, and ramped up a new state, all while keeping the base business running at a high level."
"Last quarter we said we were doing everything within our control so that when federal regulations allow, we will be ready for our next chapter. Last week our shareholders approved three special resolutions with over 94% support, simplifying our corporate structure and aligning Cresco with the U.S. investor base that will increasingly own this industry as it normalizes. That said, we do not build our plan around reform timelines. The business stands on its own, and Cresco will be ready to act when the next phase arrives."
🇺🇸🌿🧺 $MSOS
investors.crescolabs.com/new…
Rex Wiggins retweeted
Continue to be proud of our team at @Trulieve as we enter into the next growth cycle of our business with revenue expansion, best-in-class margins and solid cash generation. It’s only the beginning….Onward!
Forget the Blue Wave, The Cannabis Green Defense Won the Night: What the 2026 Midterms Mean for the Cannabis Industry cannabis.net/blog/opinion/fo…
Forget the Blue Wave, The Cannabis Green Defense Won the Night: What the 2026 Midterms Mean for the Cannabis Industry cannabis.net/blog/opinion/fo…
Senior Trump Adviser Says President Is “Entirely Confident” DEA Will Quickly Finalize Marijuana Rescheduling
themarijuanaherald.com/2026/…
Rex Wiggins retweeted
Trulieve announced today that it has received federal registrations from the DEA for state-licensed medical marijuana dispensaries, becoming one of the companies participating in the first wave of federal registrations. themarijuanaherald.com/2026/…
🌿 CANNABIS Sector: Top Movers 📈
🇺🇸🧺 $MSOS 🟢 6.60%
🌎🧺 $YOLO 🟢 5.16%
🍄🧺 $PSIL 🔴 9.14%
🍃 $CURLF 🟢 10.76%
🍀 $GRUSF 🟢 9.06%
🏔️ $TSNDF 🟢 8.45%
☀️ $GLAS 🟢 8.26%
🏖️ $TRLV 🟢 7.98%
🧺 $SPY 🔴 .47% / S&P
🧺 $QQQ 🔴 1.37% / NASDAQ
🧺 $IWM 🔴 .05% / Russell 2000 Index
🇺🇸🌿🧺 $MSOS 🟢 ~34%+ 🆚 $SPY 🟢 17%+
[Timeframe: 3/31 – Present]
Rex Wiggins retweeted
$MSOS HIGHEST CALL VOLUME SINCE TODD BLANCHE RESCHEDULED MEDICAL CANNABIS IN APRIL! 🔥
Rex Wiggins retweeted
$MSOS $TRLV Congratulations @rivers_kim You have done an excellent job and steering the company in an excellent direction. Very grateful for your hard work. Praying we get through that final hurdle soon for recreational as well.
Thank you @AGToddBlanche and @POTUS for taking historic action on medical cannabis. @Trulieve now has DEA registration numbers following physical inspections. We look forward to continuing to work with the DEA in the future as implementation of the final medical rescheduling order continues.
Rex Wiggins retweeted
To help clear up the confusion, Eric Berlin will join us on tomorrow’s livestream to answer some of the questions the cannabis industry has been asking all weekend.
@V_arrell @TheDalesReport $MSOS