APHA - Aphria Inc.

NYSE - NYSE Delayed Price. Currency in USD
-0.22 (-3.44%)
At close: 4:02PM EDT
Stock chart is not supported by your current browser
Previous Close6.39
Bid6.16 x 3100
Ask6.20 x 1800
Day's Range6.12 - 6.40
52 Week Range3.75 - 16.86
Avg. Volume3,570,810
Market Cap1.555B
Beta (3Y Monthly)3.45
PE Ratio (TTM)20.64
EPS (TTM)0.30
Earnings DateN/A
Forward Dividend & YieldN/A (N/A)
Ex-Dividend DateN/A
1y Target EstN/A
Trade prices are not sourced from all markets
  • Curaleaf CEO on $875M Grassroots deal, cannabis legalization: 'East coast markets will liberalize'
    Yahoo Finance Video6 days ago

    Curaleaf CEO on $875M Grassroots deal, cannabis legalization: 'East coast markets will liberalize'

    Curaleaf is buying private, midwest-focused multi-state operator GR companies Inc aka Grassroots for $875 million dollars in a cash and stock deal. Yahoo Finance's Zack Guzman & Sibile Marcellus, along with Dealbreaker Executive Editor Thornton McEnery discuss with Curaleaf CEO Joe Lusardi

  • Medicare-for-all could ‘dramatically’ increase access to medical cannabis
    Yahoo Finance Video22 days ago

    Medicare-for-all could ‘dramatically’ increase access to medical cannabis

    Key Democrats have been talking up Medicare-for-all in the presidential race, and Nicholas Vita, the CEO of cannabis company Columbia Care, says a move to that type of health care system could benefit medical cannabis too. He spoke to Yahoo Finance’s Brian Sozzi and Akiko Fujita.

  • Aurora Cannabis Stock Has a Cash Burn Problem
    InvestorPlace17 hours ago

    Aurora Cannabis Stock Has a Cash Burn Problem

    The fairy-tale 2019 for Aurora Cannabis (NYSE: ACB) stock appears to be over. ACB stock roughly doubled in the first three months of the year. It's now down 22% in the past three months. On Thursday, the slide was capped off by a downgrade from Bank of America.Source: Shutterstock At this point, ACB stock is a risky bet, given the company's clear, near-term issues. However, there are potential solutions for ACB down the road. In fact, Aurora may still have an important role to play in long-term cannabis portfolios. * 8 Stocks to Buy That Are Growing Faster Than Amazon Aurora's Cash Burn ProblemThe primary concern for Bank of America analyst Christopher Carey was Aurora's cash burn rate. In his note, Carey said Aurora has a strong core-cannabis business. Unfortunately, investors have very little clarity on its balance sheet. For marijuana stocks, clarity and transparency are extremely important.InvestorPlace - Stock Market News, Stock Advice & Trading TipsLike other cannabis producers, Aurora has been spending money like crazy to scale up its production and expand its business. As of the first quarter of 2019, the company had a cash balance of C$390 million. In that same quarter, Aurora burned through C$151 million of cash as its capital expenditures ramped up. If the company stays on its current trajectory, it will need more funding within the next few quarters, Carey says.To make matters worse, Aurora has a C$230 million convertible debenture that expires in Q1 of 2020 at a share price about 35% above the current level of ACB stock In other words, unless Aurora stock rallies tremendously in the next couple of quarters, Aurora will be on the hook for a C$230 million cash payment in roughly six months.Raising capital isn't necessarily a bad thing. But Bank of America's Carey says raising capital from a position of weakness is always bad news for investors."We think ACB's U.S. expansion (a core strategy, per mgmt) could, if debt is added and no partner found, require other uses of financing like equity (capital raises or deals), despite management's stated plan to slow pace of equity dilution," Carey says. Potential SolutionDespite Carey moving to the sidelines on ACB stock, he touches on one obvious near-term solution to all of Aurora's major problems.: the company needs a powerful partner.Constellation Brands (NYSE: STZ) has invested $4 billion in Canopy Growth Corp (NYSE: CGC). Tobacco giant Altria Group (NYSE: MO) has invested $1.4 billion in Cronos (NASDAQ: CRON). Tilray (NASDAQ: TLRY) has formed a $100 million partnership with Anheuser-Busch Inbev (NYSE: BUD). In fact, alcohol and tobacco companies were responsible for roughly a third of the $15 billion of total cannabis M&A in 2018.Analysts have long speculated that Aurora needs a partner with a global brand, copious resources and distribution infrastructure. Aurora even hired billionaire hedge fund manager Nelson Peltz as a strategic advisor earlier this year. Many owners of Aurora Cannabis stock are hoping Peltz will ultimately land Aurora a major partnership.If Peltz and Aurora are able to secure a partnership with a company like Philip Morris (NYSE: PM), Coca-Cola (NYSE: KO) or Heineken (OTC: HEINY), most of Aurora's problems would be solved overnight. A partner with similar resources to those firms would enable Aurora to grow into a global giant. ACB stock would also likely get a huge pop as soon as news of such a deal hit the press. How to Play ACB StockDealing with Aurora Cannabis stock is tricky at this point As Bank of America's Carey said, there's nothing wrong with Aurora's core business. But the company's balance sheet is a mess. Carey predicts that Aurora will have $200 million of sales in 2019. With a market cap of more than $7 billion, Aurora Cannabis stock is priced at about 35 times the company's trailing sales. Bank of America doesn't expect the company to become profitable until next year. ACB stock is already priced for extreme growth, leaving little room for disappointment.Aurora has plenty of uncertainty at the moment, but it's not alone. Most of the top marijuana stocks are priced for extreme growth. Yet investors have no idea what the cannabis market will look like in five years.I think that those who are bullish on marijuana stocks should bet on the cannabis industry, instead of trying to pick individual winners. Inevitably, one or two companies will likely take over the lion's share of the market. At this point, it's nearly impossible to tell which companies that will beInvestors can pick ACB stock as the winner and then lose sleep over its high cash burn and balance sheet. Or they can buy shares of Canopy, Tilray, Cronos, Aphria (NYSE: APHA), Curaleaf (OTC: CURLF) and others and assume the long-term winners will come from within that group.Diversification is that best tool for combating risk. Cannabis bulls shouldn't stress over near-term volatility. Buy a basket of cannabis stocks and evaluate them in five years.As of this writing, Wayne Duggan did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Tech Stocks That Are Still Worth Your Time (And Money) * 7 Marijuana Stocks With Critical Levels to Watch * 7 of the Best Smart-Beta ETFs to Target Right Now The post Aurora Cannabis Stock Has a Cash Burn Problem appeared first on InvestorPlace.

  • I’m Glad I Don’t Own Cronos Group Stock and Here’s Why
    InvestorPlace4 days ago

    I’m Glad I Don’t Own Cronos Group Stock and Here’s Why

    If I was a holder of Cronos Group (NASDAQ:CRON) stock, I would have serious anxiety about the much-hyped cannabis investment.Source: Shutterstock While CRON stock is up 46% this year, most of those gains occurred in January. Eventually, though, I believe that the company will be facing some tough times -- and in the not-so-distant future. Here are five things to consider: CRON Stock Is More Expensive Than Its PeersVarious metrics indicate that Cronos stock is more expensive than its peers. The company has an extremely high price-to-sales ratio of 336. To put that into perspective Tilray (NASDAQ:TLRY) has a PS ratio of 135, while Aurora Cannabis (NYSE:ACB) runs at 79. Moreover, the PS ratio for Aphria (NYSE:APHA) and Canopy Growth (NYSE:CGC) is 52 and 68, respectively.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Stocks Top Investors Are Buying Now In addition, Cronos is the only member of this group to have negative gross margins. Aurora's gross margin is 11%, while Tilray, Aphria and Canopy all feature double-digit margins. Cronos has a gross margin of -21%. Judged from these two metrics, CRON stock is clearly a much more expensive investment than its peers. The Coming Price WarFew people talk about it, but I believe a price war will erupt in this industry very soon. That is because investors are starting to realize that growing marijuana outside is significantly cheaper than growing in an indoor facility or a greenhouse.Admittedly, advantages exit to growing in indoor facilities, such as better security and better quality. However, the cost advantages of outside growing outweigh them.Still, Cronos seems to grow the vast majority of its cannabis indoors. If the company doesn't develop outdoor growing, it may not be able to compete with outdoor projects. Eventually, this will hurt the Cronos stock price. Potential Share DilutionOne thing that really stood out to me when I was reading Cronos' income statement: the massive amount of potential dilution.The company just reported earnings per share of $1.95. However, the diluted share earnings were only 48 cents. Regular earnings per share is the net income of the company divided by the number of outstanding shares. Diluted earnings per share is what the earnings would be if all of the company's bonds that can be turned into shares are converted.This potential share dilution is very concerning. Therefore, I don't want to buy Cronos Group stock because it exposes me to two risks.First, CRON stock trades in a volatile market. Second, management can potentially dilute shares at any time, presenting a hidden but serious threat to my portfolio. Wall Street Is Falling Out of Love with Cronos StockAt this time last year, it seemed like every analyst was extremely bullish on the cannabis industry. But as the sector consolidates, it seems to be losing its luster.For instances, analysts have issued some downgrades. Further, I noticed a rise in bearish sentiment seems. And on top of it all, The Street seems to favor CRON stock the least out of the large growers.The average rating for Cronos stock is a hold. In contrast, the other four -- Tilray, Canopy, Aurora and Aphria -- have average ratings of overweight.Finally, you don't need to be a market guru to see that the $14 level is important support for CRON stock. This level is support because it was resistance in September and December of last year.Resistance levels become support levels because the investors who sold or shorted Cronos Group stock at $14 profited from the decline. But then when Cronos stock rallied above $14, the shorts lost money, creating a panic.As of this writing, Mark Putrino did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Tech Stocks That Are Still Worth Your Time (And Money) * 7 Marijuana Stocks With Critical Levels to Watch * 7 of the Best Smart-Beta ETFs to Target Right Now The post I'm Glad I Don't Own Cronos Group Stock and Herea€™s Why appeared first on InvestorPlace.

  • 7 Marijuana Stocks With Critical Levels to Watch
    InvestorPlace5 days ago

    7 Marijuana Stocks With Critical Levels to Watch

    [Editor's note: This story will be updated each week with new stocks and analysis. Please check back often for Mark's latest take on marijuana stocks.]Yesterday I heard an investor say that technical analysis is like reading tea leaves. I am not surprised by this because most technical analysts do not seem to understand just what it is that they are supposed to be doing.These analysts look at charts and mindlessly identify patterns without understanding what they are supposed to mean. Some even promote esoteric methods like Gann Theory and Elliot waves that institutional traders do not use.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIn financial markets, some levels are more important than others. In addition, prices are always doing one of three things. They are going up, going down, or staying the same. If understood and used correctly, technical analysis should illustrate these levels and trends.Understanding these dynamics can help you profit. Short-term traders need to know which levels are important in order to be successful. Long-term investors can benefit by having a better understanding of where to place their buy and sell orders.For example, suppose that you buy a stock at $20. The market starts to go your way and you plan sell it when it gets to $30. A look at a chart may show that there is significant resistance at the $29 level. This means that your stock may never get to $30. It may rally and hit the resistance at $29 and then sell off and drop back to $20. If you were waiting for $30, you would have missed out on making a significant profit. * 7 Stocks Top Investors Are Buying Now Here are some interesting dynamics that are playing out in seven marijuana stocks. Technical Levels in Marijuana Stocks: Trulieve Cannabis (TCNNF)Trulieve Cannabis (OTCMKTS:TCNNF) develops medical cannabis products. The classic head & shoulders pattern continues to play out in TCNNF.Like most things in technical analysis, this pattern is widely misunderstood. Most of the alleged H&S patterns that I see in the financial media are not actually H&S patterns.First of all, the head and shoulders pattern is a reversal pattern. That means it needs to come at the end of a meaningful trend. There is no such thing as a head and shoulders continuation pattern, at least by a classic definition. The left shoulder here formed after a 50% move in two months. That is clearly a meaningful trend.Second, the volume needs to support the pattern. Most volume has to be in the left shoulder or head. This increasing volume means the smart money is selling their positions to the buyers that are late to the rally.Once we get to the right shoulder, the volume drops. This is because most buyers have completed their orders. Since there is not sufficient buy interest anymore, the stock price will eventually drop.The traditional way to determine a price target with a head-and-shoulders pattern is to take the distance from head to the neckline and subtract it from the neckline. In this case, that would suggest TCNNF will continue to decline. Cronos (CRON)Cronos (NASDAQ:CRON) grows and sell marijuana.Last week I discussed the importance of the $14 level to CRON stock. It has been a support level since May. On July 12 and July 15, that is almost exactly where the low trades were. Had you bought it, you would be looking at a nice profit as it is now trading above $15.The reason why the $14 level is support is because it was a resistance level during last September and December.How does a level that was resistance become a support level?There are two types of sellers. There are short-sellers and there are sellers who are selling stock that they hold. The people who sold at $14 were feeling pretty good after the stock went down. The short-sellers were looking at a profit and the long sellers think they made the right decision.Then the stock rallies above $14. Now the short-sellers are losing money and tell themselves that if it comes back to $14, they will by it back. Those who sold their shares now think that they made a mistake and tell themselves if they can, they will buy it again at $14. * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip Meanwhile, those who bought it at $14 wish they bought more. They tell themselves if it comes back to $14, they will add to their positions. Added to this are professional traders who see a clear level to trade off of.The buy interest of these four groups at $14 creates the support level. Canopy Growth (CGC)Canopy Growth (NYSE:CGC) grows and sells marijuana.The gap that I spoke about last week in CGC stock is refilling. The action here shows how what gaps up may gap down, and vice-versa.When a stock makes a big move in a short period of time, traders say "it gapped up" or "it gapped down". You can see that Canopy Growth stock gapped up in early January when it rallied from $30 to $40 in just a few days.Now that you know how support levels form, it is easy to understand why gaps refill. Those who sold a stock at a particular level buy it back if the stock rallies and then retreats to that level.When a stock gaps, it does not spend much time trading at the levels it gaps through. Because of this, there isn't enough time for buy interest to be created, so meaningful support does not form. This is why when a stock gaps up through a range, it may later gap down through it. That is what we have seen with CGC stock. Emerald Health Therapeutics (EMHTF)Emerald Health Therapeutics (OTCMKTS:EMHTF) is a pharmaceutical company that makes cannabis products.EMHTF is testing support at the $1.75 level. This level was also support in December. If you like the long-term prospects of the company, this is probably a good time to buy it.There is a story here that may be a very bullish dynamic for this company. Emerald Health just announced that it has received its cultivation license from the Canadian government for a large outdoor cultivation area.Investors are starting to realize that growing outside is substantially cheaper than indoor or greenhouse growing. There are advantages to these more expensive methods, such as enhanced security and better quality, but the cost advantages of outdoor growing more than offsets them. * 7 Dependable Dividend Stocks to Buy This move into outdoor growing may show that the company is positioning itself for the future. Curaleaf Holdings (CURLF)Curaleaf Holdings (OTCMKTS:CURLF) is a life sciences company that owns and manages licensed cannabis businesses. And CURLF stock shows us the concept of a trend.There is considerable confusion around trends and trendlines. In fact, I recently saw one well-known technical analyst say that trendlines are not valid. I have no idea what he is talking about.In financial markets, prices are either going up, down, or staying the same. When they are going down the forces of supply are in control. When they are rising the forces of demand are in control. When prices are not changing the forces are equal.If properly used and understood correctly, trendlines should simply be a graphical illustration of these dynamics. Of course, it takes some practice and experience but they are not "mathematical absurdities."Here we see that the forces of supply controlled the CURLF market from May until this week, when the downtrend line was broken. This simply means that the forces of supply may be taking over, or at least equalizing with the forces of demand. Aphria (APHA)Aphria (NYSE:APHA) grows and sells cannabis, and APHA stock continues to trade between resistance at the $7.30 level and support around the $6.25 level. It looked like it was going to break recently, but then the stock became oversold and rebounded.If the support at $6.25 breaks, it will probably become a resistance level. This happens just as explained in the Canopy section, except going in the opposite direction. * The 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond As multiple groups of sellers converge on one area in the chart, resistance forms. CURE Pharmaceutical Holding Corp (CURR)CURE Pharmaceutical Holding Corp (OTCMKTS:CURR) develops and manufactures drugs and drug delivery systems.The action here once again shows how a resistance level becomes a support level. We identified this level last week. If you bought it you would be up over 10%.I find support and resistance level to be amazing things. Few people appreciate them. Academics say they shouldn't exist but clearly, they do.Resistance and support levels are really illustrations of mass psychology. Some exchange-traded funds or stocks have literally millions of share holders. Each one of these holders has their own agenda, yet somehow their combined actions create clear levels in the markets.Even after studying the markets for over 20 years I still can't fully comprehend how or why this happens. It reminds me of how ant colonies move to find new nests. Every individual ant just does its own thing, yet somehow the combined actions of millions of ants moves the colony.Now there is something to think about the next time you use some of these companies' products.As of this writing, Mark Putrino did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks Top Investors Are Buying Now * The 10 Best Cryptocurrencies to Keep on Your Radar * 7 Marijuana Penny Stocks That Could Triple (But You Won't Make Money) The post 7 Marijuana Stocks With Critical Levels to Watch appeared first on InvestorPlace.

  • My Opinion Has Changed on These 3 Marijuana Stocks
    Motley Fool5 days ago

    My Opinion Has Changed on These 3 Marijuana Stocks

    The cannabis industry is evolving, and so must investor perceptions of the businesses within the industry.

  • CNW Group5 days ago

    High Tide Announces Research Analyst Coverage by Canaccord Genuity

    High Tide Announces Research Analyst Coverage by Canaccord Genuity

  • Aphria Inc. to announce fourth quarter and fiscal 2019 financial results on August 1, 2019
    CNW Group5 days ago

    Aphria Inc. to announce fourth quarter and fiscal 2019 financial results on August 1, 2019

    Aphria executives will host a conference call to discuss these results at 5:00 pm ET . There will also be a simultaneous, live webcast available on the Investors section of Aphria's website at aphriainc.com. Aphria Inc. is a leading global cannabis company driven by an unrelenting commitment to our people, the planet, product quality and innovation.

  • Why Aphria Stock Will Be the Next Billion-Dollar Pot Behemoth
    InvestorPlace6 days ago

    Why Aphria Stock Will Be the Next Billion-Dollar Pot Behemoth

    Depressed and drifty … that's how most investors would probably describe the cannabis stock sector of the past couple of months. It's a slow summer for marijuana stocks, but you don't have to catch the summertime blues in your quest for tomorrow's big weed winner. While everybody and their uncle is mesmerized by the more expensive Canopy Growth (NYSE:CGC) stock, I'd like to turn your attention to Aphria (NYSE:APHA), whose ambitious plans could bring newfound prosperity to today's patient shareholders.Source: Shutterstock For a well-known asset listed on the New York Stock Exchange, Aphria stock is surprisingly affordable and could easily fit into practically anyone's budget. Don't be tricked into thinking that cheap means low-quality, though, as APHA has a $1.68 billion market cap and plenty of trading volume, to the tune of several million shares traded daily.Still, APHA shares are "cheap" in that they're a good value right now. Aphria stock is much closer to its 52-week low of $3.75 than its 52-week high of $16.86, indicating that APHA is capable of going much higher and is probably just weighed down by overall sector weakness.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Planting the Seeds of GrowthAphria's Interim CEO, Irwin D. Simon, has big plans for the company, which I believe will be reflected in the price before the year is over. For instance, Simon just announced the launch of Aphria's new social impact platform, Plant Positivity. In this program, Aphria will partner with Canadian non-profit Evergreen to create six new garden spaces this summer at the Evergreen Brick Works in Toronto. * 10 Monthly Dividend Stocks to Buy to Pay the Bills Aphria's financing will add more than 50 varieties of native plant species to the existing 8,000 square meters of gardens at Evergreen Brick Works. There are also plans under way to develop a similar garden space in Leamington, Ontario with a local community partner.This initiative is sure to provide positive public relations for Aphria, and just as importantly, it will promote the vision of enhanced education and access to plants within the community. In the words of Aphria's interim CEO:"Finding ways to give back and fostering stronger, healthier communities everywhere Aphria operates is the core of who we are … Through … [this program], we hope to make a meaningful impact on people's lives." Plenty of Ambition to Go AroundAs a prospective investor, however, I don't just want to feel good about a company; I'm looking for serious sales growth. In that regard, Interim CEO Simon is aiming for the skies with a plan to achieve one billion Canadian dollars in sales by the end of 2020.How will Aphria achieve this lofty goal? CFO Carl Merton stated that the company is adding more processing capabilities, and the company intends to expand its cannabis cultivation capacity from 115,000 kilograms to 255,000 kilograms. Along with this, Simon claimed that the global cannabis market has the potential to reach $150 billion, including both medical and recreational cannabis. I Like These NumbersPersonally, I view the company's optimism as a good thing; Seaport Global's Brett Hundley seems to echo my bullish outlook, as he's maintaining a "buy" rating on Aphria stock, along with $13 price target -- nearly double the current share price.Moreover, Hundley has published recent sales estimates for fiscal year 2020 at C$520 million, followed by C$851 million for fiscal year 2021. That's what I call a clear road map to Simon's billion-dollar goal -- and a perfect catalyst for the next leg up in the APHA stock price. The Bottom Line on Aphria StockThere's absolutely no need to feel down or dreary this summer, even if you're a cannabis stock watcher. Soon enough, I sense a sizable move coming in Aphria stock -- if even a fraction of the company's big plans come to fruition, there will be no shortage of green to go around.As of this writing, David Moadel did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post Why Aphria Stock Will Be the Next Billion-Dollar Pot Behemoth appeared first on InvestorPlace.

  • Does Aurora Cannabis Stock Chart Point to a Mid-Summer Plunge?
    InvestorPlace6 days ago

    Does Aurora Cannabis Stock Chart Point to a Mid-Summer Plunge?

    Shares of Aurora Cannabis (NYSE:ACB) haven't been looking so hot. In fact, on July 12 alone, shares tumbled more than 5%. But the fall did more than give investors a sour ending to the week. It sent shares through a key level of support and all but put the nail in the short-term coffin of pain.Source: Shutterstock InvestorPlace - Stock Market News, Stock Advice & Trading TipsOK, maybe that's a little extreme. But the point is that ACB stock is not looking healthy on the charts. While that doesn't mean Aurora Cannabis can't bounce back and repair some of that technical damage, it makes it a lot harder to do so. From an investing standpoint, I like to blend technicals and fundamentals. When the technicals are not strong -- like with ACB stock -- we need to lean more heavily on the fundamentals. When the fundamentals are not the stock's strong point, we need the technicals to display strength. Unfortunately for Aurora Cannabis stock investors, while its end market looks to be a long-term opportunity, its fundamentals are not that strong in the short term. Without technicals to lean on, this stock could have more downside coming. Trading ACB Stock Click to EnlargeWith shares of ACB dumping on Friday, the stock lost a key level of support between $7 and $7.25. For the stock to even come close to repairing some of this damage, it needs to reclaim this former level of support. * 7 Dependable Dividend Stocks to Buy The risk here is two-fold, with the first being that Aurora Cannabis stock continues to head lower. The second risk is that it rebounds back up to the $7 to $7.25 range, which then acts as resistance. That would be bad news for the bulls. On Monday, ACB stock was rallying back toward that prior range support, so we should know relatively soon whether it can reclaim this area or if it will be found as resistance. At least we don't have to wait long to find out. Should ACB stock reclaim that key support area, it may run up toward $7.50 to $8. But here's the problem for traders looking to take ACB on the long side. Even if it reclaims prior support, it has to push through this next area too, before looking healthy again. And what's between $7.50 and $8? Just 2019 downtrend resistance (blue line), the 20-day, 50-day and 200-day moving averages. I'm not saying ACB stock is the worst equity to buy or that it's doomed. But until it repairs its technical damage and starts to put together more constructive price action for the bulls, it's a hard one to go long. Particularly as the PowerShares QQQ ETF (NASDAQ:QQQ) and SPDR S&P 500 ETF (NYSEARCA:SPY) are hitting new all-time highs. The breakdown in ACB stock was actually preceded by Canopy Growth (NYSE:CGC). CGC stock broke down ahead of ACB and led the way lower for a number of cannabis stocks. What's Up With Cannabis Stocks?So what's leading this charge lower? Because it's not just CGC and ACB stock. Cronos Group (NASDAQ:CRON), New Age Beverages (NASDAQ:NBEV), Aphria (NYSE:APHA) and others are all taking a very similar bearish setup. On the charts, this setup is known as the bearish descending triangle. Simply put, it's when trend is pushing shares lower against a static level of support. When support gives way, the bearish setup starts to play out, forcing share prices lower. The question is, why is the entire industry all setting up in the same manner? * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond Things really started to unravel when Canopy Growth -- which many consider the "blue chip" stock of the bunch -- ousted its CEO. Canopy was volatile but stable that day, but has been under pressure all month since. It seems to have turned investors into sellers throughout the group, as the cannabis industry awaits a new catalyst. That's even as growth has been incredible, with many of these names turning in earnings reports of triple-digit revenue growth gains.While Aurora Cannabis missed analysts' estimates, it still churned out revenue growth of 289% last quarter. That said, most of these names -- ACB included -- do not generate profits and do not have the strongest financials. Thus, we need the technicals to behave better to justify a long position. For now, I'd wait before establishing a position in ACB stock. Long-term investors may opt to accumulate the stock, but I would rather wait until the stock looks healthier. One alternative would be a position in Constellation Brands (NYSE:STZ), which owns 40% of CGC, but has strong fundamentals and a good-looking chart to boot. Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell held no position in any aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post Does Aurora Cannabis Stock Chart Point to a Mid-Summer Plunge? appeared first on InvestorPlace.

  • The Firing of Canopy Growth’s co-CEO Is Only Part of the Case Against CGC Stock
    InvestorPlace7 days ago

    The Firing of Canopy Growth’s co-CEO Is Only Part of the Case Against CGC Stock

    Most owners of Canopy Growth (NYSE:CGC) stock have embraced micro details like the company's specific acquisitions or macro matters like the slow march towards the legalization of recreation cannabis in the U.S.Source: Shutterstock Most owners of CGC stock, however, have ignored the area in between those two extremes. That's the area where a company takes little building blocks like acquisitions and assembles them on a major foundation, enabling it to earn a profit. * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip Failure to respect that middle ground ultimately cost the now-former co-CEO of Canopy Growth, Bruce Linton, his job. Booze company Constellation Brands (NYSE:STZ), which is not only a major Canopy Growth stock holder but also has effective control of CGC's board of directors, fired Linton in early July primarily because of CGC's continued heavy losses that have weighed on CGC stock price.InvestorPlace - Stock Market News, Stock Advice & Trading TipsCanopy's other top executive, Mark Zekulin, is also on his way out.At first glance, it would be easy to simply chalk the whole affair up to company-specific, and even personnel-specific, misunderstandings. And there's some truth to that.In a much more meaningful sense, though, the surprising shakeup may be a microcosm of bigger cracks starting to form within the cannabis craze. Not unlike the ultimate fate of rare earth metals stocks in 2010, solar panel stocks in 2007 and 3D printing stocks in 2013, reality is starting to seep into marijuana mania.The owners of marijuana stocks are understandably not liking what they're seeing. Trouble in ParadiseDuring Constellation's most recent earnings call, CEO Bill Newlands explained he was "not pleased with Canopy's recent reported year-end results." For Canopy's fourth quarter that ended in March, the company posted an EBITDA loss of CA$257 million on gross revenue of CA$140.5 million. The total loss of CA$323 million translates into a loss of 22 Canadian cents per share of CGC stock, or 17 U.S. cents per share (U.S.) for the NYSE-listed equity of the Canadian company.The full year was even uglier.Perhaps even worse, sales of recreational marijuana -- which only became legal in Canada as of October -- fell nearly 4% versus Q3Don't think for a minute that Canopy Growth is the only marijuana stock flashing warning signs, though.Take CannTrust Holdings (NYSE:CTST), for instance. CTST stock has been nearly cut in half since July 5th, when it was discovered that its cannabis production was exceeding legal limits.I'm not suggesting that all cannabis companies are secretly growing plants they shouldn't be growing. But CannTrust's actions do point to the growing pressure for production hikes within the fiercely competitive cannabis market. That same pressure may well be inspiring other similarly risky efforts, including ill-advised acquisitions.To that end, Aurora Cannabis (NYSE:ACB) was pegged by Motley Fool's Sean Williams as a name that's exceedingly vulnerable to major writedowns in upcoming quarters. It's sitting on more than $3 billion worth of goodwill added to its balance sheet to account for a wave of dealmaking that's yet to bear fruit. The company must soon start conceding, via writedowns, that it overpaid for those companies.Bloomberg issued the same warning just a few days ago, with Bloomberg Intelligence analyst Kenneth Shea noting that some of the industry's most-loved names had driven an "aggressive pace of acquisitions at prices above book value." Aurora, Canopy Growth and Aphria (NYSE:APHA) were specifically cited as at-risk cannabis stocks.Hexo's (NYSEAMERICAN:HEXO) shares fell sharply last month after it reported that its cannabis sales somehow slumped during its third quarter, while its loss increased again.The list of red flags facing marijuana stocks continues to grow. And those red flags are starting to weigh on cannabis stocks in general and Canopy stock in particular. The Bottom Line on CGC Stock and Other Marijuana StocksOn their own, none of these developments or data nuggets is insurmountable. Indeed, most cannabis investors appear to know they're counting on hype rather than results to drive marijuana stocks higher, and that the cannabis market may not fully gel for years.In the aggregate, however, the paradigm shift in the tone and quality of the headlines not only poses a threat to the CGC stock price, but to all cannabis stocks.For the first time since the cannabis craze took shape in 2017, with Canopy Growth stock largely leading the charge, the industry and its individual components are being asked to justify their heavy spending in the name of future market share.As Charles Taerk, the CEO of Faircourt Asset Management, recently put it, the market is taking note of winners and losers. He explains "Now investors are starting to judge the companies a little differently. They're starting to say, 'Wait a second, how are they profitable and you're so far from profitable?'"An inability to justify the rapid move away from that profitability just cost Canopy Growth's co-CEO his job, serving as a shot across the bow for other cannabis company chiefs.The CGC stock price may have started this week out with a recovery effort, but the bar is quickly being raised for Canopy Growth stock and its peers. As we learned from crazes like 3D printing, rare earth metals and solar panels, not every player survives once the hype fades and companies have to at least move towards, rather than away from, profitability.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about him at his website jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post The Firing of Canopy Growth's co-CEO Is Only Part of the Case Against CGC Stock appeared first on InvestorPlace.

  • Even Cronos Isn’t Safe From the Pot Stock Implosion
    InvestorPlace7 days ago

    Even Cronos Isn’t Safe From the Pot Stock Implosion

    In recent weeks, Cronos (NASDAQ:CRON) stock has been one of the strongest players in the struggling marijuana sector. Last Friday, however, CRON stock gave way as the pot stock sector plunged even farther. CRON stock dropped more than 6% and broke technical support.Source: Shutterstock Cronos stock has been one of the strongest in the industry in recent months. It hasn't collapsed like, say, CannTrust (NYSE:CTST) or Aphria (NYSE:APHA). But the overall weakness in pot stocks as a whole has caught up with CRON stock, even though it is arguably the best positioned for the current industry malaise. Cronos: Slow and Steady Wins the RaceIn my previous article about Cronos, I described how the company was interesting, but that patience was required. Canopy has been running a deliberate and gradual growth strategy. That's in contrast to many of its rivals that are spending money to boost their capacity and marketing as fast as possible.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFor quite awhile, many investors viewed Crono's approach as a negative. Marijuana, like say dot-coms in the 1990s, was about having the first mover advantage. Cronos was seemingly allowing its rivals to get ahead by growing more quickly. * 5 STARS Stocks Smashing the Market (FANG Stocks, Too) What a difference a few months make, however. CRON stock has held up better than almost all its immediate marijuana peers. Why's that? Because Cronos hasn't been spending boatloads of money to pursue every revenue growth avenue possible. Instead, it has focused on its core business and is seemingly developing a sustainable and profitable business.It's interesting to note the contrast between Cronos and Canopy Growth (NYSE:CGC). Both have superstar backers. Cronos has its alliance with tobacco heavyweight Altria (NYSE:MO) while Canopy teamed up with Mexican beer giant Constellation Brands (NYSE:STZ). Altria has seemingly instilled Cronos with its methodical approach to business. Meanwhile, Canopy had an ugly falling out with its backer Constellation that resulted in Canopy's founder and co-CEO Bruce Linton getting ousted. Seemingly, Constellation grew tired of Canopy's business strategy which, so far, has led to massive losses. Cronos is One of the Only Pot Companies Making MoneyA recent Bloomberg article noted that the marijuana companies, as an industry, are running into big trouble. Instead of massive profits after legalization, instead inventory is piling up while prices plunge and losses mount. This had led analysts to suggest that a massive wave of writedowns is coming for the industry.Cronos seems to avoid the worst of it, however. The article notes that Cronos is the only one of the biggest five Canadian firms that is expected to make a profit this Q4. Cronos also made a huge profit in its most recent quarter. That comes with an asterisk as most of it came due to non-operating income. However, Cronos, unlike most pot firms, also turned an operating profit in at least some of its quarters in both 2017 and 2018.When the industry was booming, people were giving Cronos a hard time for not putting its cash to work faster. But that decision is looking more and more wise as the rest of the industry drowns in a massive flood of excess cannabis. Massive Marijuana Inventory Sinking ProducersAccording to data from Health Canada, the marijuana industry is facing a veritable deluge of cannabis inventories. In October 2018, when regulators permitted recreational use, Canada had 115,000 kilograms of dried marijuana inventory. As of April, that figure has skyrocketed to 215,000 kilograms.Meanwhile, actual consumer demand for dried marijuana only rose from 6,300 kilos a month to 8,900 kilos over the same period. When inventories nearly double but demand rises less than 50%, you know you have a major problem brewing. In fact, even if the marijuana producers stopped growing any more product tomorrow, there'd still be a massive glut. At a rate of 9,000 kilos a month of consumption, it'd take more than two years for Canadians to use up the already existing supply of dried marijuana.The situation, incredibly, is even worse yet for CBD oil. Since October, the inventory of CBD oil has spiked by 150%. Meanwhile, monthly consumer demand has risen less than 40%. This left the Canadian market with 120,000 liters of CBD oil inventory in April, against monthly demand of just 8,200 liters.How's this going to end? Like most speculative booms do: With most of the higher-cost and levered producers going bust. Tons of entrepreneurs started, and investors funded, marijuana businesses with the hopes of easy profits. Unfortunately, it wasn't to be. The supply of new marijuana is far exceeding actual consumer demand. The industry will have to cut supply and consolidate to improve pricing and achieve profitability. CRON Stock VerdictCronos is playing the long game. And that's the place to be. Many of its competitors bet the farm on sales growth spiking after legalization. Instead, it seems a lot of "medicinal" users simply transitioned to recreational use in Canada once full legalization occurred. The overall market is growing a bit, but not nearly enough to absorb the mountain of marijuana supply coming online. * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip Like with any speculative boom, there will be a massive shakeout ahead where the weaker players fold. Cronos, with its strong balance sheet and Altria backing, will be a survivor. In fact, it can probably do well. Oftentimes, industry leaders can buy their former rivals for pennies. But that doesn't mean you need to buy CRON stock today. Even the dot-com survivors, like Amazon (NASDAQ:AMZN) ultimately dropped 90% from their peak bubble prices. Cronos has a sound business strategy, but CRON stock will still slide with the rest of the industry until the marijuana supply glut improves.At the time of this writing, Ian Bezek owned MO stock. You can reach him on Twitter at @irbezek. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post Even Cronos Isn't Safe From the Pot Stock Implosion appeared first on InvestorPlace.

  • 3 Reasons Linton’s Firing was Good News for Canopy Stock
    InvestorPlace7 days ago

    3 Reasons Linton’s Firing was Good News for Canopy Stock

    When it comes to the cannabis industry, the only real debate seems to be around how big it's going to get. Modest estimations put the industry at $40 billion by 2024. And there are few cannabis companies that catch the eye of investors quite like CGC stock.Source: Shutterstock But Canopy Growth (NYSE:CGC) hit a snag last week after it came out that the former CEO and co-founder Bruce Linton was fired. The company issued a press release saying that Linton has stepped down from his role as CEO and from the Board of Directors. Then in an interview with CNBC, Linton revealed that he was fired.Many investors were surprised to learn that Linton was let go, but this doesn't change the fundamentals of the company. Canopy Growth is still one of the most valuable cannabis stocks in Canada. Here are three reasons why Linton's firing was good news for CGC stock:InvestorPlace - Stock Market News, Stock Advice & Trading Tips The Numbers Just Weren't ThereLinton did many things right during his run at Canopy. He secured a $4 billion investment from Constellation Brands (NYSE:STZ) and oversaw a number of important acquisitions. * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip However, when Constellation Brands made this investment, it earned a 37% stake in the company. It also earned the right to nominate four members to the six-member board. And when Canopy Growth reported losses of C$98 million during its fiscal fourth quarter, this hurt Constellation's bottom line as well. According to Constellation's fiscal first-quarter results, the company reported losses of $54.4 million tied to Canopy Growth. Going forward, Constellation Brands will likely find a replacement that is more interested in improving Canopy's bottom line. CGC Stock Is Ready for New LeadershipCanopy's recent financial performance probably had a lot to do with Linton's firing. But the company may also be looking to transition to new leadership, which isn't uncommon for a maturing company. After all, it takes a different skillset to build a company than it does to run a billion-dollar global brand. According to the press release, Mark Zekulin will act as sole CEO of the company while the board looks for outside leadership. This seems to indicate the company is looking for a new leader going forward, not Zekulin or another co-CEO. The company needs to prove it can find the right person to build on Canopy's momentum going forward. The Cannabis Industry Is ChangingLinton's firing will result in a major leadership change going forward. The change caught most investors off guard and the company's shares dropped roughly 5% that day. However, the stock quickly rebounded. After all, Linton is not the first CEO to be ousted from a cannabis company he founded. Aphria (NYSE:APHA), CannTrust Holdings (NYSE:CTST), and Organigram Holdings (NASDAQ:OGI) all replaced their original CEOs with more seasoned management.The cannabis industry as a whole is changing as it moves from its entrepreneurial beginnings to becoming a major consumer products industry. As the industry continues to change, investors will begin holding these companies to a different standard where profitability is the biggest determination of success. As of this writing, Jamie Johnson did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post 3 Reasons Lintona€™s Firing was Good News for Canopy Stock appeared first on InvestorPlace.

  • 4 Best Marijuana ETFs for Conservative Portfolios
    InvestorPlace8 days ago

    4 Best Marijuana ETFs for Conservative Portfolios

    [Editor's note: "4 Best Marijuana ETFs for Conservative Portfolios" was previously published in May 2019. It has since been updated to include the most relevant information available.]Investors are clamoring for ways to get in on a popular, but risky, marijuana-investing craze. Despite the reality that cannabis is illegal under federal law, many states have legalized the substance and plenty of marijuana ETFs have cropped up as a result.For recreational use, Oregon, Massachusetts, California and a few more states allow marijuana use. Yet, the majority of U.S. states have medical marijuana legislation in the pipeline. Presently, with the legal disconnect between federal and state law regarding marijuana use, investing directly in U.S. marijuana ETFs and stocks is risky and replete with scams and fraud.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Dependable Dividend Stocks to Buy If you're determined to get in on the marijuana investing scene, there are several "conservative-ish" marijuana ETFs for partaking in the speculative pot party: Alternative Harvest ETF (MJ)Hot off the New York Stock Exchange, the Alternative Harvest ETF (NYSEARCA:MJ) began trading on Dec. 26, 2017.Source: Shutterstock Derived from an international real estate investment trust (REIT) fund, the marijuana ETF tracks cannabis cultivators, producers and distributors, along with cannabinoid drug makers, fertilizer producers and tobacco companies.As the first of what is sure to be many U.S. marijuana ETFs, the Alternative Harvest enjoys a first-mover advantage. American Growth Fund (AMREX)It's risky to call American Growth Funds Series Two Class E (MUTF:AMREX) a conservative marijuana pick., as the fund has racked up significant losses in the pastSource: Shutterstock Yet, if you're a contrarian seeking a fund with access to the cannabis industry through marijuana ETFs you might consider AMREX.AMREX's top holdings include some well-known names and other niche pot players including GW Pharmaceuticals PLC-ADR (NASDAQ:GWPH), Scotts Miracle-Gro Co (NYSE:SMG), Abbott Laboratories (NYSE:ABT), Cara Therapeutics Inc (NASDAQ:CARA), Cannabis Sativa Inc (OTCMKTS:CBDS) and more. * 7 Dependable Dividend Stocks to Buy The fund is small and hasn't gained serious investor traction, but it might be a good diversifier against the movements of the S&P 500. Cronos Group Inc. (CRON)Go north for another fund tapping into marijuana ETFs. Cronos Group (NASDAQ:CRON), formerly known as PharmaCan Capital Corp, and formerly trading on the OTC market under "PRMCF," is an investment firm focused on investing in the medical marijuana industry.Source: Shutterstock Cronos' investments abide by Canada's Access to Cannabis for Medical Purposes Regulations (ACMPR). Founded in 2013 in Toronto, the fund targets Canadian firms and makes minority investments in cannabis-related firms. Create Your Own Pot Mutual FundDiversification is key when investing in a speculative sphere like marijuana ETFs. You might want to dip your toes in the above marijuana ETFs and add in some popular cannabis-related stocks to round out your pot portfolio.Source: Shutterstock M1 Finance and Motif both allow you to create your own mutual fund, for extremely low fees. You can choose the investments, purchase your preferred amount and voila, you have your own marijuana ETF, comprised of both funds and individual stocks!In addition to the funds profiled above, consider adding several pure marijuana industry stocks and pot-related holdings. Top marijuana stocks include Canopy Growth, Aphria Inc (NYSE:APHA) and GW Pharmaceuticals. Peripherally related pot stocks include Scotts Miracle-Gro or Constellation Brands, Inc. (NYSE:STZ). * 7 Dependable Dividend Stocks to Buy Investing in marijuana is risky. With the disconnect between state and federal marijuana laws, putting your money in this sector sets you up for a roller coaster ride. Tread cautiously into the pot investing fields.Barbara A. Friedberg, MBA, MS is a veteran portfolio manager, expert investor, and former university finance instructor. She is editor/author of Personal Finance; An Encyclopedia of Modern Money Management and two additional money books. She is CEO of Robo-Advisor Pros.com, a robo-advisor review and information website. Additionally, Friedberg is publisher of the well-regarded investment website Barbara Friedberg Personal Finance.com. Follow her on twitter @barbfriedberg and @roboadvisorpros. As of this writing, she does not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Dependable Dividend Stocks to Buy * 10 Stocks Driving the Market to All-Time Highs (And Why) * 7 Short Squeeze Stocks With Big Upside Potential The post 4 Best Marijuana ETFs for Conservative Portfolios appeared first on InvestorPlace.

  • The CannTrust Scandal: 5 Thoughts From a Shareholder
    Motley Fool11 days ago

    The CannTrust Scandal: 5 Thoughts From a Shareholder

    CannTrust drops a bombshell announcement on investors. Here's what you should know.

  • CNW Group13 days ago

    High Tide Announces Canna Cabana Selling Cannabis at 2 More Alberta Locations

    High Tide Announces Canna Cabana Selling Cannabis at 2 More Alberta Locations

  • Forget Short-Sellers! This Is the No. 1 Enemy of Pot Stocks Right Now
    Motley Fool13 days ago

    Forget Short-Sellers! This Is the No. 1 Enemy of Pot Stocks Right Now

    The recent poor performance of marijuana stocks can be traced to one source.

  • InvestorPlace15 days ago

    Where Is Canopy Growth Stock Headed After the Shocking Removal of Its Co-CEO?

    Some of the leading companies in the cannabis space are feeling pressure to justify the huge valuations of their stocks. Just look at Canopy Growth (NYSE:CGC). Recently, the company announced that its co-CEO, Bruce Linton, would step down.On an interim basis, co-CEO Mark Zekulin will run the company until a permanent leader is found. The company is considering both internal and external candidates.In a CNBC interview following his departure,, Linton said: "I think stepping down might not be the right phrase. I was terminated."InvestorPlace - Stock Market News, Stock Advice & Trading TipsAll this comes after CGC reported disappointing fiscal fourth-quarter earnings on June 20. CGC announced adjusted EBITDA of negative $257 million for the fiscal year. But perhaps the most worrisome part of the report was that its Q4 gross recreational Canadian revenue fell to C$68.9 million from C$71.6 million during the same period a year earlier. This is an indication that there are still complications with the supply and distribution of cannabis in Canada as well as continuing black-market activities. * 5 Dividend Stocks to Buy From Across the Globe The management of Constellation Brands (NYSE:STZ), which invested a whopping $4 billion Canopy stock in November, was far from thrilled. Here's what Constellation CEO William Newlands said last week about CGC: "And while we remain happy with our investment in the cannabis space and its long-term potential, we were not pleased with Canopy's recent reported year end results."Yikes! It looks like STZ played a major role in Linton's departure.So what should investors do with CGC stock now? I don't think the owners of Canopy Growth stock should panic, since the company's long-term prospects still look promising. The following developments should be bullish for CGC stock: * CGC has partnered with STZ to launch cannabis-infused beverages. The drinks are expected to go on sale in Canada later in the year, which should nicely boost CGC's growth and propel CGC stovk price higher. * After the Farm Bill was signed into law, cannabidiol (CBD) products can be made in the U.S.. To this end, CGC has been building a sophisticated hemp-processing facility in New York. * CGC has agreed to acquire Acreage Holdings (OTCMKTS:ACRGF), which has cannabis licenses in 20 states and owns a retail chain called The Botanist. The deal will position the company to benefit from the anticipated legalization of cannabis in the U.S.on a federal level.The cannabis market will continue to be volatile. CGC is not the only operator with growing pains. Other marijuana companies, including Aphria (NYSE:APHA), Tilray (NASDAQ:TLRY) and Cronos Group (NASDAQ:CRON) have also had problems. The Bottom Line on CGC StockLinton is a pioneer in the cannabis space and has quickly built an empire. As he was quoted as saying in last week's press release: "Creating Canopy Growth began with an abandoned chocolate factory and a vision."But those who have the talent to build an innovative company in an emerging market may not be the right people to run a large organization. Linton appears to be in the latter category.Yet the silver lining is that STZ recognized this early on and was not afraid to make a bold, somewhat risky, change. That is actually a bullish sign for CGC stock and should ultimately propel CGC stock price higher.Tom Taulli is the author of the upcoming book, Artificial Intelligence Basics: A Non-Technical Introduction. Follow him on Twitter at @ttaulli. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks That Should Be Every Young Investor's First Choice * 5 IPO Stocks to Buy -- According to Wall Street Analysts * The Top 10 Best Sectors in the Market for 2019 The post Where Is Canopy Growth Stock Headed After the Shocking Removal of Its Co-CEO? appeared first on InvestorPlace.

  • PR Newswire15 days ago

    Aphria Inc. launches Plant Positivity social impact platform

    LEAMINGTON, ON, July 8, 2019 /PRNewswire/ - Aphria Inc. ("Aphria" or the "Company") (TSX: APHA and NYSE: APHA) today announced the launch of its new social impact platform, Plant Positivity. Championing the incredible power that plants have in overall well-being and providing greater access to green spaces for communities, Plant Positivity will be a new component of Aphria's existing Corporate Social Responsibility strategy, which will continue to deliver on the Company's commitment to give back to both people and the planet.

  • These 25 Pot Stocks Lost at Least 20% in the Second Quarter
    Motley Fool18 days ago

    These 25 Pot Stocks Lost at Least 20% in the Second Quarter

    A broad-based sell-off in marijuana stocks last quarter spared few cannabis investors.

  • Aphria Stock Could Become Cheap Soon
    InvestorPlace20 days ago

    Aphria Stock Could Become Cheap Soon

    Aphria (NYSE:APHA) stock hasn't moved much over the last two months. As Aphria stock works to recover from last year's implosion, analysts' estimates for APHA are falling even though it landed a lucrative vaping deal. Although Aphria Inc still has not fully regained the confidence of investors, strong production numbers and a move into vapes and concentrates could help send Aphria stock higher. APHA Is Still Recovering From Its 2018 DeclineAphria stock continues to suffer the impact of last year's swoon by APHA. The equity lost more than 75% of its value over three months last year as a short seller called Aphria Inc. a "shell game with a cannabis business on the side." Many expressed doubts about the company's Latin American acquisition, questioning the value of what it had obtained in the deal. This led to the departure of APHA's founder and then-CEO, Vic Neufeld. Irwin Simon, the founder and former CEO of Hain Celestial (NASDAQ:HAIN), took over on an interim basis. * 10 Stocks That Should Be Every Young Investor's First Choice The effects of last year's decline of Aphria stock linger. At around $7 per share, Aphria stock still trades almost 60% below its $16.86 per share high of last September. Also, unlike stocks such as Canopy Growth (NYSE:CGC), APHA stock did not regain its pre-Canada-legalization highs.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Aphria Stock Will Benefit From Higher Production Levels, VapesThe collapse of APHA stock occurred despite the fact that Aphria Inc. became the third-largest cannabis producer in Canada, lagging only Aurora Cannabis (NYSE:ACB) and Canopy. Moreover, as dried cannabis falls in value, Aphria has partnered with Pax Labs to enable APHA's cannabis to be used in Pax's vaporizers. As InvestorPlace columnist Will Ashworth mentioned, vapes and concentrates help to diversify the company away from dried cannabis, whose prices continue to drop.Vaping is mostly positive for Aphria stock. Although Pax will also work with Aurora, Organigram (NASDAQ:OGI), and Supreme Cannabis (OTCMKTS:SPRWF), some estimate that vapes and concentrates will take up to 30% of the recreational market by 2021. Moreover, since Aphria is the second-largest cannabis producer in this group, Aphria's cannabis will be compatible with a significant percentage of Pax's devices. Aphria Stock Held Back by UncertaintyHowever, I think two factors will hold back Aphria stock. First, analysts' profit estimates for the company have fallen substantially over the last month. Three months ago, analysts forecast earnings per share of 38 Canadian cents Today, Wall Street analysts, on average, predict a loss of three Canadian cents per share.One research firm, Canaccord Genuity, cut its price target on Aphria stock to C$16 from C$18 per share and also reduced its revenue and earnings estimates. It cited slower-than-expected capacity growth as the reason for the cuts.The second concern involves leadership. The fact that Simon made the Pax deal despite his interim status highlights his ability. However, the company's leadership situation remains uncertain. That uncertainty likely exacerbated the decline of Aphria last year.But the price-sales ratio of Aphria stock is about 19\. That compares well to the price-sales ratios of Canopy and Aurora, which are 80.8 and 61.8, respectively. Many believe questions about Aphria's interim leadership have led to this lower multiple. Perhaps if the company could install a more permanent leadership team and somehow prevent earnings estimates for it from falling further, Aphria stock would reach its 52-week high or even move beyond that level. Final Thoughts on Aphria StockGiven APHA's valuation and potential market share, Aphria stock should eventually overcome its challenges. Despite its new (interim) CEO, APHA is still 50% below its 52-week high. Though Simon landed the vaping deal, he remains interim CEO, creating questions about the future direction of the company. Moreover, revenue and profit estimates continue to fall as sales across the industry disappoint.However, Aphria stock trades at a substantial discount to its larger peers, even as analysts' revenue and profit estimates for APHA fall. That could turn around as traders begin to see sales numbers rise from the company's sale of vapes, concentrates, and other products. Moreover, if APHA picks a permanent CEO, APHA could easily go from cheap for a reason to merely cheap.As of this writing, Will Healy is long APHA stock. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks That Should Be Every Young Investor's First Choice * 5 IPO Stocks to Buy -- According to Wall Street Analysts * The Top 10 Best Sectors in the Market for 2019 The post Aphria Stock Could Become Cheap Soon appeared first on InvestorPlace.

  • CNW Group20 days ago

    High Tide Announces Canna Cabana Now Selling Cannabis in Grande Prairie with 10 More Alberta Stores to Follow Shortly

    High Tide Announces Canna Cabana Now Selling Cannabis in Grande Prairie with 10 More Alberta Stores to Follow Shortly

  • Can Vaping Growth Help Investors Extract More Value From Aphria Stock?
    InvestorPlace22 days ago

    Can Vaping Growth Help Investors Extract More Value From Aphria Stock?

    Of the multiple positive catalysts should fuel Aphria Inc (NYSE:APHA) in the months ahead, the most intriguing one is is vaping, or using a vaporizer to get the desired effect from cannabis use. My InvestorPlace colleague Will Healy pointed out some of these catalysts in his June 6 article, when APHA stock was trading at more than 50% below its 52-week high.Source: Shutterstock InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe next day, Aphria announced that it had entered into a supply agreement for the Canadian market with San Francisco-based Pax Labs, a leader in the manufacture and sale of vaporizers. In the U.S. alone, Pax has sold more than 500,000 Era vaporizers to date with plenty of growth expected in the months and years ahead. "As Aphria continues to drive the evolution of the industry, we are thrilled to partner with a technology leader like PAX to provide a new avenue for consumers to integrate cannabis into their lives," said Irwin Simon, interim CEO of Aphria. "We are excited to bring our premium cannabis extracts from Solei, RIFF and our flagship medical cannabis brand, Aphria, to the PAX Era device and platform." Vaping is Going to Be Big in CanadaThe vaping market in Canada is expected to be significant. Aphria estimates that vapes and concentrates will account for up to 30% of the entire adult-use market by 2021. The great thing about vaping, from Aphria's perspective, is that concentrates provide a much higher margin than dried cannabis. * 7 Stocks to Buy for a Dovish Fed Statistics show that U.S. use of vape products is growing, while the use of dried flower is slowing. In Colorado, the use of vape products increased tremendously over three years. In 2014, vape products accounted for 12% of the legal market. By 2017, that number had grown to 23%. Meanwhile, over the same three years, the use of dried flower dropped by 12 percentage points to 54% of the market. Between edibles, concentrates, and infused drinks, the cannabis industry is moving away from the dried flower to an industry filled with choice. The fact that Aphria is partnering with one of the premier vape companies is a sign that Simon understands the importance of moving beyond supplying dried buds. APHA Is Not AloneThat only downside from Aphria's announcement is that PAX pick three other Canadian cannabis producers to help sell its product: Aurora Cannabis (NYSE:ACB), OrganiGram (NASDAQ:OGI), and Supreme Cannabis (OTCMKTS:SPRWF). However, the fact that Aphria is near completion of it $55 million Extraction Centre of Excellence in Leamington, Ontario, makes this concern far less of an issue. That's because when completed, Aphria will have annual extraction capacity of 200,240 kilograms, making it one of the largest extractors in Canada. Currently, analysts haven't factored Aphria's extraction facility into their valuation models. Once the facility is running, and products are available for sale in late December or early in 2020, Aphria stock is going to be far more attractive to investors than it is today. Bottom Line on Aphria StockIn May, I highlighted the pros and cons of the regime change at Aphria. As I stated, it's hard to know if Irwin Simon's the right person for the job. While his work at Hain Celestial (NASDAQ:HAIN) was at times exceptional, in recent years he did little to impress investors, eventually stepping down as CEO in June 2018. * The Top 8 Tech Stocks of 2019 (So Far) Joining the Aphria Inc board in December as chairman, Simon was appointed interim CEO on March 1 after former boss Vic Neufeld retired in January. Since then, Simon's made a few management changes to put his own stamp on the company. The PAX announcement is a sign Simon might be sticking around as the permanent CEO. If the board didn't have confidence in him, this kind of deal probably wouldn't have happened. While not completely sold on Simon, the PAX deal in combination with the completion of the extraction plant, suggests investors aren't giving Aphria stock its due.Aggressive investors ought to consider buying this potential growth and value play. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Top Small-Cap Stocks Of 2019 * Critical Levels to Watch in 7 Marijuana Stocks * 5 Smaller Cloud Stocks That Have Plenty of Potential Compare Brokers The post Can Vaping Growth Help Investors Extract More Value From Aphria Stock? appeared first on InvestorPlace.

  • The 10 Fastest-Growing Pot Stocks in 2020
    Motley Fool23 days ago

    The 10 Fastest-Growing Pot Stocks in 2020

    These cannabis stocks should see sales growth of at least 161% next year.