|Bid||0.0000 x 0|
|Ask||0.0000 x 0|
|Day's Range||0.2760 - 0.3250|
|52 Week Range||0.0940 - 2.7800|
|Beta (5Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||0.59|
High Times Set to Expand Quickly with Cannabis Dispensaries and E-Commerce Horvath Brings Decades of Retail, Digital Sales Experience including Aerie, Victoria’s Secret Horvath Also Led IPO Process, Public Investor Comms at DSW, Green Growth Brands By John Jannarone, IPO Edge Hightimes Holding Corp., owner of the eponymous magazine, has hired Peter Horvath as its new CEO, […]
Rendering of a High Times Dispensary By John Jannarone, IPO Edge Hightimes Holding Corp., owner of the eponymous magazine, entered a purchase agreement to buy 13 active and planned retail dispensaries from Harvest Health and Recreation, Inc. for $80 million in cash and stock, giving the company an almost instant foothold in California’s cannabis market. […]
Marijuana producer Hexo Corp. led cannabis stocks down Monday, falling 21% after the company reported earnings that were hit by write-downs.
By John Jannarone, IPO Edge High Times is now vertically integrated. Formally known as Hightimes Holding Corp., the owner of the eponymous magazine and operator of Cannabis Cup events, announced it has a signed letter of intent to acquire California-based cannabis holding company Humboldt Heritage Inc. along with its subsidiaries Humboldt Sun Growers Guild and […]
The selloff in the market and in Canopy Growth (NYSE:CGC) stock both continue. Markets plunged again earlier this week, and Canopy stock hasn't been immune to the selling pressure. Now, shares trade back where they did in 2017.Source: Jarretera / Shutterstock.com As I've argued over the past few weeks, investors need to keep their cool. This selloff has not been easy and certainly has not been fun. But over time, the economy and the markets will recover.In the meantime, however, the volatility is dispiriting. However, as I've told subscribers of my Cannabis Cash Weekly service, in these environments investors sometimes have to step back and let the chaos play out.InvestorPlace - Stock Market News, Stock Advice & Trading TipsTaking that step back, the opportunity in CGC stock becomes more clear. The long-term growth opportunity in cannabis is delayed -- not eliminated. Canopy is the industry's leader, and should remain so. In fact, it may emerge with an even stronger position. * 10 Stocks to Invest In for a Post-Coronavirus Whipsaw Canopy isn't going anywhere. This, too, shall pass -- and when it does, CGC stock will rally sharply. Canopy Cuts BackEven before panic gripped the markets, it was becoming increasingly clear that the cannabis industry was headed for a shakeout. And that shakeout is almost guaranteed at this point.In the sector as a whole, there is too much debt and too much capacity. Canopy chief executive officer David Klein made precisely that point in an interview on Feb. 14. "There's not a lot of market demand for cannabis production facilities," he told Yahoo! Finance. "There's a lot of capacity in Canada and no logical buyers."That capacity is why Canopy announced earlier this month that it was closing two facilities in British Columbia. Furthermore, a greenhouse project in Ontario also is being canceled. Canopy isn't throwing good money after bad.Wall Street largely cheered the move -- for good reason. It cuts Canopy's costs, and in turn, speeds its path toward profitability. It also keeps the company from participating in "race to the bottom" pricing in wholesale cannabis.It's also a decision many other cannabis companies won't be able to make. An Industry Shakeout LoomsCanopy can make that decision because of its fortress balance sheet. In 2018, Constellation Brands (NYSE:STZ,NYSE:STZ.B) invested some $4 billion into Canopy Growth.Much of that money has been spent. Canopy has made acquisitions, and spent heavily to build out production assets. In fact, it's clear in retrospect that previous management spent too much. That's a key reason why Constellation sent Klein -- formerly its chief financial officer -- to take the top spot at Canopy.However, Canopy still has a good chunk of that cash remaining. As of Dec. 31, the company had 2.3 billion CAD (about $1.6 billion) in cash on its balance sheet. With losses coming down and long-term debt of just 536 million CAD ($373 million), the company is in excellent financial shape.To put it simply, Canopy isn't going bankrupt -- but other producers will. There's a real chance the equity in Aurora Cannabis (NYSE:ACB) gets wiped out, one reason I've long recommended even cannabis bulls avoid that name. Moreover, MedMen Enterprises (OTCMKTS:MMNFF) had to call off its acquisition of PharmaCann -- likely due to financing worries. Its OTC stock price -- just 19 cents -- shows its desperate state.The news is just as bad, if not worse, for many smaller, private operators. Those companies don't have the cash to weather store closures or any short-term effects.Canopy, however, does. And that positions it well going forward. How CGC Stock Can BenefitCertainly, a worldwide pandemic is not how anyone hoped the cannabis industry would become more rational. But it's also likely that the response to the coronavirus from China simply will be the catalyst, not the cause. Given debt levels and overcapacity, many smaller operators were going to fail regardless.That said, Canopy would benefit either way. In fact, a recent transaction shows how. Last week, Canopy and TerrAscend (OTCMKTS:TRSSF) entered into a loan agreement. Canopy is lending TerrAscend 80.5 million CAD, backed by TerrAscend's assets.The loan has an interest rate of 6.1% annually over the next decade -- but that's not the prize. Canopy also received more than 17 million warrants to buy TerrAscend shares, most of them at an exercise price of 3.74 CAD per share.If TerrAscend, which currently trades below 2 CAD, posts a huge rally, Canopy will get its money back while also owning a nice chunk of the company at an attractive price.If it doesn't, though, Canopy has first claim on its assets, brands, and retail operations.This kind of savvy deal is what Klein was hired to make. And it highlights the opportunities Canopy will have for the next few years. The company can patiently wait out the upheaval in its industry, and pick its spots to make investments that can drive significant value.Of course, that's exactly what investors should be doing right now. As they do so, they should give at least a long look to Canopy Growth stock.Matthew McCall left Wall Street to actually help investors -- by getting them into the world's biggest, most revolutionary trends BEFORE anyone else. The power of being "first" gave Matt's readers the chance to bank +2,438% in Stamps.com (STMP), +1,523% in Ulta Beauty (ULTA) and +1,044% in Tesla (TSLA), just to name a few. Click here to see what Matt has up his sleeve now. Matt does not directly own the aforementioned securities. More From InvestorPlace * America's Richest ZIP Code Holds Wealth Gap Secret * 10 of the Best Long-Term Stocks to Buy in a Bear Market * 7 "Perfect 10" Healthcare Stocks to Buy Now * Where the FANG Stocks Sit in This Wild Market The post When the Smoke Clears, Canopy Growth Stock Will Be a Winner appeared first on InvestorPlace.
Cannabis retailer MedMen Enterprises Inc. reported a widening net loss Wednesday as the company reigns in its costs and restructures the business, selling off assets outside of California, its largest market. MedMen stock was halted near the end of the regular trading session. The embattled weed company logged a fiscal second-quarter net loss attributable to shareholders that doubled to $40.6 million, which amounts to 9 cents a share, versus a loss of $18.7 million, or 23 cents a share in the year-ago quarter. The company reported a comprehensive loss from continuing operations of $74.8 million, widening from $63.2 million in the year-ago period. MedMen revenue rose 11% sequentially to $44.1 million, and 50% from the year-ago quarter. Analysts expected revenue of $49.5 million and model fiscal third-quarter sales of $56.7 million. The company said that it had sold a cultivation and manufacturing facility in Illinois for $17 million and highlighted an 11% sequential reduction in its selling, general and administrative expenses. MedMen stock gained 1.3% in the regular session Wednesday, as the S&P 500 index fell 0.4%. The Cannabis ETF fell 1.5% in Wednesday trading.
NEW ORLEANS, Jan. 31, 2020 -- Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), is.
MedMen Enterprises Inc. (CSE: MMEN) (OTCQX: MMNFF) announced Friday that CEO Adam Bierman is stepping down from the role effective Feb. 1. Ryan Lissack, the cannabis company's chief operating officer and chief technology officer, has been named interim CEO. Bierman is also agreeing to return his Class A super voting shares to MedMen, the company said.
Deals Signed with Holders of Dispensary Licenses in Los Angeles and Las Vegas By John Jannarone High Times announced it will open two flagship retail stores offering cannabis under dispensary licenses, giving the strongest brand in the marijuana industry a new engine of growth as it prepares for a public listing. Formally known as Hightimes […]
In late November, the cannabis dispensary chain Medmen Enterprises Inc (OTC: MMNFF) was sailing in rough seas after reporting losses of $79 million over a one-year period ended June 29. CEO Adam Bierman and his team announced a new, 90-day strategy to start generating profits, with plans to achieve positive EBITDA by the end of calendar 2020. In total, over the past 30 days, MedMen has strategically reduced its corporate headcount by over 40%, representing approximately 20 million in annual salary-related savings, the company said in a Dec. 11 release.
After a rough stretch for the sector, marijuana stock bargains abound; here are 8 that stand out, asserts Timothy Lutts, a leading specialist in the cannabis sector and editor of the Cabot Marijuana Investor.
Public opinion on cannabis is changing quickly, growing ever more lenient. In a short span, less than a lifetime, we’ve seen a series of decriminalization and partial legalization regimes take hold in the US. While the drug remains fully illegal at the Federal level, it is fully legal in 11 states and legalized for medical use in another 15. The result of this patchwork is that Canada, which enacted full legalization nationwide in October 2018, has become the center of North America’s cannabis industry.Most of the large cannabis companies – the growers and suppliers – are based in Canada. US-based companies face the twin handicap of not being able to operate in the whole country as well as not being able to transport their product across state lines, even when the states involved have legalization regimes. It makes a confusing picture for the financial analysts and stock investors.That doesn’t mean you can’t get resolution from studying the field. There are advantageous investments in the cannabis industry, but potential investors may have to look a bit harder to find them.Seaport Global analyst Brett Hundley has taken a deep dive into three cannabis names that have lately been making waves in the sector. The companies include the largest player in the cannabis industry, a mid-sized producer that may or may not be able to live up to its hype, and a small-cap distributor that could be entering its death-throes.A look at the analyst consensus ratings on these stocks show that Wall Street is watching them with a cautious eye. Yet, Hundley believes that one of the trio presents a buying opportunity. Let's take a closer look:Hexo Corporation (HEXO)Hexo made a big splash in the Canadian cannabis sector. The company quickly grew to be one of the country’s biggest producers, setting up some 2 million square feet of grow facilities in Ontario and Quebec. The company markets several brands and a full line-up of products for the medical and recreational sectors across Canada.Like MedMen, however, Hexo ran too far and too fast. The company posts regular EPS losses, and in calendar Q3 missed the forecast by 120%. Analysts had expected a 5-cent per share loss – but the net loss per share came in at 11 cents. It was the latest in a long line of bad news for HEXO, news that has pushed the stock value down by 72% since peaking at the end of April.A closer look at those recent quarterly results sheds more light on what’s wrong with HEXO. Early in October, the company announced that it would be delaying the Q3 report (the company’s fiscal Q4) to the end of the month, and withdrew its 2020 guidance. Shares predictably fell, and industry watchers were understandably nervous. At the end of the month, HEXO reported revenue of C$15.4 million on sales of 4,009 kilograms of cannabis products.First, the good news. The top line was up 18% sequentially, and a whopping 1000% year-over-year. Sales volume was up 45%. Gross margins, at 45%, were acceptable, and an increase in operating expenses went along with an increase in the size and scope of company operations. But investors just can’t get over that dramatic rise in EPS loss, or the reduction in 2020 guidance. And like MedMen, Hexo has been laying off workers – the company cut 200 positions this past fall.Hundley very clearly laid out the warning factors in HEXO: “We note that many of the company's opex improvements weren't made until late in October, pushing full benefits into later quarters. As well, we are mindful of potential margin pressures from the fact that HEXO may not see 2.0 benefits until its national rollout towards summer of 2020. Quebec recently announced a decision to ban cannabis vapes from its market; this is disappointing for HEXO…” Hundley gives this stock a Hold rating, and declines to set a definite price target.Wall Street’s view of HEXO is similar to Hundley’s. The stock has a Hold from the analyst consensus, based on 13 ratings, including 8 Holds and 3 Sells, but only 2 Buys. Shares have slipped from over $8 earlier this year to just $2.29 now. The average price target of $3.23 implies an upside of 41%, however – a reminder that the potential for risk and usually includes a potential for reward. (See Hexo's stock analysis on TipRanks)Canopy Growth (CGC)And now we get to the giant of the cannabis industry. With a market cap exceeding $7 billion, Canopy is by far the largest company in this sector. Canopy’s size extends to market share and production capabilities, too – simply put, this company dominates Canada’s legal marijuana markets.So why isn’t it turning a profit? Canopy received a $4 billion payday in 2H18, when beer giant Constellation Brands bought a 35% stake in the company, and the conventional wisdom then was that Canopy was well-positioned for ‘cannabis 2.0,’ the expansion of Canada’s legal market this December. With new lines of edibles, beverage, and vaping products entering the legal lists, a partnership with a beverage giant and its distribution network seemed like a no-brainer.But Constellation’s $4 billion stake in CGC also came with control of the Board of Directors – and a desire to see the stake pay off. Constellation had no patience for steady EPS losses, and after two consecutive quarters of increasing losses, Canopy CEO and founder Bruce Linton found himself out of a job.Since then, the company has had to deal with upper management churn as well as the known headwinds of Canada’s cannabis market: oversupply, regulatory bottlenecks, too-low retail prices. In the November quarterly report, for Q2 fiscal 2020, CGC reported yet another loss, this time of 82 cents per share. Revenues were up year-over-year, but missed the analyst forecasts.In a piece of good news, Canopy will head into the New Year with some stability at the top. David Klein will take the CEO spot effective January 14. Klein is currently CFO of – you guessed it – Constellation Brands, so it appears that the beverage giant will be exerting greater control over Canopy in 2020.Hundley, in his note on Canopy, points out that the appointment of Klein to the top spot should come as no surprise. Constellation dwarfs Canopy, and even though it only holds a one-third stake in the smaller company, this was no ‘merger of equals.’ Hundley expects that Klein will move quickly to reverse CGC’s losses, as Constellation wants to see a return on its $4 billion investment. Hundley writes, “We expect that Klein will move quickly to pursue profitability within Canopy, with an overriding focus on this metric. Canopy has burned $800MM in cumulative funds over the past two quarters, driving a cumulative adjusted EBITDA loss of almost $250MM. Our model assumes deep cuts to SG&A during FY2021, and we feel better about execution of such an occurrence, with Klein at the helm. We also anticipate substantial cuts to capital expenditures and business investment…”As with HEXO above, Hundley declined to put a price target on Canopy and rates the stock a Hold. He wants to see what the new management will do, and how the company will execute as the cannabis beverage market begins to open.Like Hundley, Wall Street is cautious on Canopy. Even though the consensus rating on the stock is a Moderate Buy, it’s based on a mix of 6 Buy ratings and 10 Holds. Adding to the warning flashers is the average price target, which at $20.60 suggests a 2% downside from the $20.38 current share price. Canopy brings plenty of advantages to the table, but the cannabis industry is still full of pitfalls. (See Canopy's stock analysis on TipRanks)MedMen Enterprises (MMNFF)The weakest of our cannabis plays today is MedMen. Based in California, the most populous state in the Union and the country’s largest single legalized-cannabis market, MedMen has been in business since 2010. The company operates 32 dispensaries across six states: California, Nevada, Arizona, Illinois, New York, and Florida. MedMen produces much of its own product, in growing facilities that total well over 90,000 square feet.Despite offering a wide range of cannabis products – edibles, vaporizers, concentrates, topicals, pre-rolled joints – for both the adult use and medical markets, MedMen has had difficulty gaining traction. For its Q1 2020, the company reported some good news – a 105% year-over-year revenue gain to $44 million, and gross margins of 52% – but the basic fact of a $22.2 million net loss overwhelmed that. Investors have limited patience for companies that bleed money, and MMNFF shares have been declining steadily throughout calendar year 2019.MedMen may be able to survive the growing pains of a new industry in the process of both formation and legalization, but can it do so while downsizing? Last month, the company released plans to improve market share and cut expenses – but what cannabis industry watchers noticed most was that the plan also includes extensive layoffs. Over 190 employees are being cut in the name of efficiency and capital allocation, but behind the management spin is the simple fact the company expanded too fast and now is bigger than it can afford to be. The picture does not inspire confidence.In his yesterday's research note on MedMen, Hundley personifies the Wall Street view of this stock. He gives it a Buy rating, noting that the company has a strong brand presence and that management is willing to make hard decision, but his comments show the underlying caution: “It is clear that the company will need to cut its cost base further, while also generating a healthy amount of asset sale proceeds, if it wants to remain as a going concern… we believe that institutional investors have now mostly lost faith in the long-standing leadership of this business.” It’s not exactly a ringing endorsement.Hundley’s $4 price target, implying a massive 925% upside, also is not a signal of earth-shaking potential here. Rather, it indicates that MedMen has fallen so far – the stock is down 86% this year – that at this point, there is really nowhere for it to go but up. (To watch Hundley’s track record, click here)Check out these 5 ‘Strong Buy’ stocks that top Wall Street analysts recommend
MedMen Enterprises Inc (OTC: MMNFF) (CSE: MMEN) reported first-quarter results Wednesday as the cannabis company embarks on cost-cutting efforts that include 190 layoffs. MedMen reported revenue of $44 million, up by 105% on a year-over-year basis. The first-quarter gross margin was 52%, in contrast to 50% in the prior quarter.
Cannabis retailer MedMen Enterprises Inc. (CSE: MMEN) (OTCQX: MMNFF ) announced Friday a strategic plan to reach its target of positive EBITDA by the end of 2020 that includes the layoff of 190 employees. ...
Ask Benjamin Witte about Recess, and one of the first places he’ll send you is the company’s Instagram page.
As the cannabis market expands, it's hard to keep track of the many products that launch every week. Culinary CBD and edibles brand Azuca has released single-serving, hemp-infused organic sugar sticks. The sugar sticks size and pre-measured packaging are also convenient for consumers on the go.
Florida is the second-fastest adopter of medical marijuana. The state reports an average increase of 609 medical marijuana patients on a daily basis.