|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||0.00 - 0.00|
|52 Week Range|
|Beta (3Y Monthly)||2.00|
|PE Ratio (TTM)||76.90|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Cannabis stocks have made several investors wary because of their high level of volatility. Earlier this week, some of the companies that reported earnings such as Canopy Growth (WEED), Tilray (TLRY), and Aurora Cannabis (ACB) (ACBFF) missed analysts’ estimates by a large margin, and the stocks got hammered. In an interview with CNBC, Andrew Left of Citron Research was largely pessimistic on the Canadian cannabis industry and expects that cannabis stocks will fall in the near term.
During the second quarter, Canopy Growth’s (WEED) (CGC) operating losses widened from ~$1 million to almost $214 million. The company reported a net loss of $330 million, which widened from losses of $1.6 million a year ago in 2017.
During the second quarter, Canopy Growth’s (WEED) (CGC) registered patients grew almost 34% YoY (year-over-year) to 84,400 patients from 63,000 patients. During the same period, the company’s average selling price per gram increased 24% to $9.87 from $7.99 a year ago. The company stated that the average selling prices increased due to a change in the product mix, which had higher prices. Higher priced products sold in Germany at $13.58 per gram also lifted the average selling prices YoY.
In its earnings call, Tilray (TLRY) stated that its Canadian entity will serve as a production hub to meet global cannabis demand and that its Portugal entity will primarily serve as a distribution hub for global markets, specifically focusing on the European Union. The company hopes to create a strong presence in Latin America with its medical cannabis products in Chile and Brazil.
During its 3Q earnings call, Tilray (TLRY) stated that the recreational cannabis market will play a meaningful role for the company as it ramps up supply through increased production capacity. The company updated investors that it recently signed a supply agreement with the province of Prince Edward Island and that its products are currently available in eight provinces. The company is scaling production capacity in anticipation of strong recreational demand.
Aurora Cannabis (ACB)(ACBFF) showed continued momentum in the first quarter in international markets with acquisitions and the development of distribution channels to serve the medical cannabis market outside of Canada. Aurora Cannabis recently acquired ICC Labs in Latin America. Further, the company stated that its developments in Canada will support scale in product availability for the international markets as well.
Tilray (TLRY) reported its quarterly earnings today after the market closed. Tilray reported a net loss of $18.7 million, which expanded from a net loss of $1.7 million in the corresponding quarter a year ago. On a per-share basis, Tilray’s EPS came in at -$0.2, down from $0.02.
One of the most anticipated aspects of Aurora Cannabis’s (ACB) (ACBFF) earnings results was an update on the recreational cannabis (HMMJ) market demand. In its press release, Aurora Cannabis stated that the company had a “strong performance” in the recreational cannabis segment during the quarter, which ended in September 2018. During the first quarter, the company stated that its brands accounted for nearly 30% of the total cannabis supplied through the OCS (Ontario Cannabis Store) with San Rafael being Aurora’s top brand sold in Ontario.
Aurora Cannabis’s (ACB) (ACBFF) revenue rose by 260% year-over-year to 29.6 million Canadian dollars in the first quarter, which ended on September 2018. It’s important to note that the revenue included sales from recreational cannabis for the first time along with medical cannabis.
Cronos Group (CRON) reported its quarterly earnings early this morning. The company reported sales of 3.7 million Canadian dollars, which beat analysts’ consensus estimate of 3.6 million Canadian dollars. Its sales for the quarter rose almost 186% YoY from 1.3 million Canadian dollars in the corresponding quarter of 2017.
Yesterday, we took a brief look at Aurora Cannabis’s (ACB) (ACBFF) first-quarter earnings for fiscal 2019 in How Aurora Cannabis Fared in the First Quarter. Aurora Cannabis stock fell ~4.5% during the regular market session after the company released its earnings. When stocks decline after an earnings release, it usually means that the earnings didn’t live up to the expectations priced into the stock and that the market corrected the stock price to realign its expectations with the latest information.
On November 7, Michigan voted in favor of legalizing recreational marijuana. Michigan became the tenth state to legalize recreational marijuana. With the growing momentum toward legalization, the possibility of nationwide legalization of recreational cannabis may be closer than expected.
On November 7, US Attorney General Jeff Sessions resigned from his position. The Justice Department’s chief of staff, Matt Whitaker, will serve as the acting attorney general. This development could bring some optimism to the cannabis sector in the US, as Jeff Sessions was one of the harshest critics of marijuana.
In Aurora Cannabis Inches Closer to Acquiring ICC Labs, which was published on November 2, we left off the series stating, “The deal hasn’t been approved yet by ICC Labs’ shareholders. A special meeting will be held on November 6 to urge shareholders to approve the arrangement between Aurora Cannabis and ICC Labs.” ICC Labs’ board and lenders approved the acquisition for the deal at the meeting.
On November 5, Aurora Cannabis (ACB) (ACBFF) increased its stake in Choom Holdings, a cannabis product retailer, through a private placement in the amount of 20 million Canadian dollars. While this investment increases Aurora Cannabis’s share of holdings in Choom Holdings, the company has the right to acquire additional ownership of up to 40% of Choom Holdings.
OTCQB: CHOOF) ( "Choom") an emerging adult use cannabis company that has secured one of the largest retail networks in Canada, are pleased to announce that the companies have completed a non-brokered private placement of a debenture (the "Offering") in the principal amount of $20,000,000 in Choom by Aurora, convertible into common shares of Choom ("Common Shares") at a conversion price of $1.25 per Common Share, with a four year maturity date.
OTCQB: CHOOF) ( "Choom") an emerging adult use cannabis company that has secured one of the largest retail networks in Canada , are pleased to announce that the companies have completed a non-brokered private placement of a debenture (the "Offering") in the principal amount of $20,000,000 in Choom by Aurora, convertible into common shares of Choom ("Common Shares") at a conversion price of $1.25 per Common Share, with a four year maturity date.
HENDERSON, NV / ACCESSWIRE / October 26, 2018 / After pouring over several companies, we've found a few that look set for a major bounce in conjunction with the market. One company we like a lot that is prime for a rebound is BioRestorative Therapies, Inc. (BRTX) a life sciences company focused on stem cell-based therapies. BRTX looks like it has found that support and is on the brink of its next run.
Investorideas.com, a global news source covering leading sectors including marijuana and hemp stocks releases a sector snapshot with a focus on CBD and THC beverage deals brewing as the legal cannabis market in Canada just opened up new opportunities. Companies mentioned: American Premium Water Corporation (OTC: HIPH), Aurora Cannabis Inc. (TSX: ACB.TO), (NYSE: ACB), Canopy Growth Corporation (TSX: WEED.TO), The Hydropothecary Corporation (TSX: HEXO.TO).
Cannabis company The Green Organic Dutchman Holdings Ltd (OTC: TGODF)'s shares have lost more than half their value in the last month. The Green Organic Dutchman is well-positioned to take advantage of multiple international opportunities, but also has a strong exposure to the organic Canadian marijuana market, Dley said in the initiation note. The company is well-funded to reach an annual capacity of around 430,000 pounds, which excludes hemp, the analyst said.
Continuing our discussion on the valuation multiples for the cannabis sector on October 23, we’ll discuss how the nine cannabis companies’ (HMMJ) forward EV-to-EBITDA valuation multiples stack up against each other compared to the levels on October 9.
In this part of the series, we’ll discuss the forward EV-to-EBITDA median multiple of nine cannabis stocks as of October 23.
WKN: A1C4WM) announced today that Polish Ministry of Health granted the Company approval for its first shipment of medical cannabis to Poland. In the coming days, Aurora Deutschland GmbH will ship the products to a pain treatment center and a hospital in Warsaw.
A health drink company called New Age Beverages is cashing in on the ongoing cannabis craze. Yahoo Finance’s Alexis Christoforous speaks to the CEO of New Age Beverages Brent Willis.