What's the right way to measure Cannabis company leverage?

The standard answer is Debt/EBITDA; however, Viridian believes the single best valuation measure is Total Liabilities / Market Cap, which reflects the market's estimation of the asset value above liabilities. It is immune to accounting manipulations and reacts instantly to news that changes investors' views of company value.

Some investors, however, are more comfortable with an accounting-based measure, and Viridian also makes use of these ratios in the Viridian Capital Credit Tracker model. We are in the process of incorporating a new measure into the model utilizing several...