16.95 -0.09 (-0.53%)
After hours: 6:07PM EDT
|Bid||16.85 x 800|
|Ask||16.95 x 900|
|Day's Range||15.99 - 18.20|
|52 Week Range||11.30 - 52.43|
|Beta (3Y Monthly)||1.13|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
If you're interested in Pyxus International, Inc. (NYSE:PYX), then you might want to consider its beta (a measure of...
For Morrisville tobacco-turned-cannabis processor Pyxus International, it’s been a trying few months. Now it faces a federal lawsuit.
Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card! J. Sikkel became the CEO of Pyxus International, Inc. (NYSE:PYX) in 2013. This analysis ai...
As we approach April 20, a date that’s become something like a holiday for cannabis enthusiasts, there’s little argument that legalized marijuana is spreading like, well, a weed. Uruguay was the first country in the world to legalize cannabis for recreational use, in 2013, followed by Canada, which in 2018 became the world’s first developed nation to legalize recreational cannabis, having approved it for medicinal use back in 2001. In the United States, while it’s not legal at the federal level, as of the end of 2018 only four states have deemed cannabis to be illegal, with the majority of states approving it (as well as cannabidiol or “CBD,” the nonpsychoactive component of cannabis) for medicinal use.
If the adage "never short a dull market" actually holds true then this market is set up for some very strong action. While it may seem trite, there is some logic to "never short a dull market." When markets are slow and boring it is much easier to be surprised by good action rather than bad action.
By buying an index fund, investors can approximate the average market return. But if you pick the right individual stocks, you could make more than that. For example, the PyxusRead More...
The bears are finally gaining a little traction as the combination of negative technical action and negative headlines create selling pressure. The main catalyst so far were some negative comments about the issues involved in China trade from Trade Rep Lighthizer, who commented that enforcement was a major issue. On top of that we have the Michael Cohen testimony and the Democrat-controlled hearing with Jerome Powell.
Why Pyxus International Stock Rose Over 33% after Its Q3 Results(Continued from Prior Part)Third-quarter EPSCompared to its EPS of $9.83 in the third quarter of fiscal 2018, Pyxus International (PYX) reported EPS of -$0.56 in the third quarter of
Cannabis stocks are having a blistering start to 2019. The sector appeared to have peaked in the fall of 2018. As many had warned, marijuana stocks turned sharply lower following Canada's legalization going into effect in a classic "sell the news" event. However, since then, the tide has turned. This year, pot stocks are back with the sector ETF posting a 50% move off the lows. * 9 U.S. Stocks That Are Coming to Life Again Not surprisingly, this enthusiasm has carried both recreational and medicinal cannabis stocks higher. For today, let's focus on the medicinal space. The recreational plays have been getting more attention lately with all the blockbuster partnerships. However, there are some interesting business stories developing in the medical cannabis stock space as well.InvestorPlace - Stock Market News, Stock Advice & Trading TipsSource: Shutterstock Aurora Cannabis (ACB)Aurora Cannabis (NYSE:ACB) is getting a ton of attention this week thanks to its recent earnings report. Aurora initially disappointed the market as its revenue numbers came in below expectations. This point raised some confusion. The company reported CAD $48 million in cannabis revenues, which was below expectations. Total revenues, which included a few other minor accounting items, hit CAD $54 million. That number beat analysts' outlooks.ACB stock initially dropped about 5% following earnings. Since then, it reversed course and traded higher. That makes sense; at the end of the day, it's the forward outlook that matters here, not a few million dollars of revenue this past quarter. On that note, the most solid bullish argument for ACB stock is that its patient base is surging. This quarter, it reported more than 73,000 active registered patients -- more than 200% growth from the same quarter last year.Of course, bears will point to the huge losses that Aurora is reporting. The company lost CAD $238 million, which blows the revenue figure of CAD $54 million out of the water. Some of these losses appear tied to ramping up operations. For the back half of the year, Aurora projects positive EBITDA, and much smaller net income losses. That, combined with relatively downbeat sentiment here, make ACB stock a buy within its sector. Do be careful though, Aurora needs to start posting much smaller losses as its customer base increases or investors will lose patience fairly quickly. GW Pharmaceuticals (GWPH)When it comes to medical cannabis stocks -- as opposed to the recreational lane -- GW Pharmaceuticals (NASDAQ:GWPH) is the king. GW Pharmaceuticals got involved with its epilepsy drug well before the flood of marijuana stocks hit the market last year.GW capitalized on its first-mover advantage by already securing FDA approval for its therapy while other cannabis stocks are still getting their operations up and going. The company has gotten widespread insurance coverage approval for its drug, Epidiolex. * The 7 Best Video Game Stocks to Power Up Your Portfolio! Earlier this year GW confirmed that the vast majority of both fee-for-service and managed- Medicaid providers will cover Epidiolex. Big private providers, such as Express Scripts (NASDAQ:ESRX) are on board as well. GW recently raised $300 million. That cash should give it plenty of runway to get Epidolex sales up and going while also funding its numerous other in-progress clinical trials. For a pureplay marijuana biotech stock, it's hard to top GWPH.Source: Shutterstock Cara Therapeutics (CARA)Cara Therapeutics (NASDAQ:CARA) is a bit more undercover as a cannabis stock. The company specializes in various therapeutic treatment alternatives that can serve as alternatives to opioids. As we've seen in recent months, opioids are a crisis in America. An estimated 30,000 people or so die from overdoses every year.This opens an opportunity for Cara, which I previously described. As it is, Cara has various drug therapies in development for pain management. Some of these involve cannabinoids, although its lead clinical candidate does not. In any case, with China increasingly in the news, CARA stock should shine as doctors look for alternatives to dangerous traditional opioids. CARA stock is up from $12 to $17 recently and could rise a lot farther once it picks up more backers from the medical marijuana stock community.Source: Shutterstock KushCo Holdings (KSHB)KushCo Holdings (OTCMKTS:KSHB) is arguably the clearest medical marijuana distribution play in the United States at this time. The company used to be called Kush Bottles, which shows the company's main product line. However, KushCo has branched out past just packaging to provide a variety of supplies for medicinal marijuana sales. By partnering with more than 5,000 pharmacies and dispensaries around the world, KushCo has established a powerful first-mover advantage in its field.That said, there are reasons for caution with KSHB stock. You might think that this is a cheap stock. It is trading for less than $6 and is not listed on a major stock exchange. Despite those factors, KushCo has a market cap of more than $500 million, as the company has issued many shares to fund its growth. * The 3 Best Chinese Stocks to Buy for a Long-Term Portfolio As appealing as the "picks and shovels" play on the marijuana industry sounds, KSHB stock comes with risks. That $500 million market cap is backed by just $50 million or so in current assets, putting a 10x valuation multiple on its property, inventory, cash, and so on. Also, you should take note of the company's gross margin. Its gross margin has plummeted from 35% to 13% in recent quarters, resulting in KushCo making increasingly large losses despite growing revenues. KushCo has an interesting business model and a strong advantage from its robust distribution partnerships. But it needs to start showing that the business can turn profits before the stock can find further upside.Source: Shutterstock Pyxus International (PYX)What happens when a struggling more-than-century old tobacco company turns itself into a marijuana play? The stock soars. Meet the company previously called Alliance One, now known as Pyxus International (NYSE:PYX). For the past two decades or so, Alliance One showed flat to declining revenues as its tobacco business declined. So, last summer, using the hemp workaround to avoid legal issues, Pyxus pivoted to the marijuana market and changed its name, and PYX stock flew.In fact, PYX stock soared from $13 at the start of 2018 to as high as $40, aided by favorable calls from the likes of Citron Research, among others. But the enthusiasm wouldn't last long. Once investors came to their senses, they saw that Pyxus remained heavily in debt and stuck to its legacy tobacco business which faces uncertain prospects going forward. There are a lot of cannabis stocks out there; there aren't many that have more than a billion in debt like Pyxus does.PYX stock soared more than 30% on Tuesday following its earnings report. The market clearly liked what it saw, starting with nearly 10% revenue growth. But the company continues to lose large amounts of money. It reported a GAAP EPS loss of 56 cents per share. It will need a far bigger turnaround to justify anything close to its current share price. The recent share price spike offers speculators an ideal opportunity to sell PYX stock.Source: Shutterstock GB Sciences (GBLX)GB Sciences (OTCMKTS:GBLX) is -- in one way similar -- to KushCo. Despite trading on the Pink Sheets and having a tiny share price, GBLX stock isn't necessarily undervalued. GBLX stock, in fact, sells for under a quarter but, due to a large share count, has a market cap of almost $60 million.I don't want to pick on GBLX stock in particular, as there are a bunch of medical cannabis stocks like GBLX. But it's worth noting one like this to see the pattern. You find a bunch of these, companies that are attached to whatever the current trend is popular but don't have many resources of their own. * Buy Medical Marijuana Stocks for Legal Pot's Next Leg Up In the case of GB Sciences, they had just $3 million in cash as of their last quarterly report. That's not a good sign, as the company has $2.1 million in current liabilities and more than $8 million in total obligations. That will make it hard for the company to achieve its goals in terms of studying Parkinson's and other serious diseases. Yes, GB will put out more press releases and garner more media attention, but without far more cash, the stock isn't going anywhere in the long run. GBLX stock plummeted from a high of 80 cents to just 14 cents last year. If you're already long, take advantage of the recent rebound to get out at 24 cents -- GBLX will likely go a lot lower in coming months.Source: Shutterstock Lexaria Bioscience (LXRP)Lexaria Bioscience (OTCMKTS:LXRP), like GB Science, is a penny stock on the Pink Sheets exchange. However, LXRP has a lot more credibility and gives us a good example of the contrast between an investable speculation and a risky gamble. Lexaria is a higher-quality medical cannabis stock because it has a strong backer: Altria (NYSE:MO).Altria famously lifted Cronos (NASDAQ:CRON) into the big leagues with its massive investment at $12/share. CRON stock went on to hit $25. Altria got a lot less attention with its recent investment in Lexaria, but it may end up having a similar effect. Earlier this year, Altria agreed to invest up to $12 million into Lexaria.Why did it do that? Lexaria has a novel patented technique for oral delivery of drugs. Obviously, this potentially has a huge market in the medicinal marijuana space. As it is, Altria has validated the technology by investing in it and seeking to commercialize it for nicotine. At $1.30 a share and a $100 million market cap, LXRP stock is still highly speculative. But unlike many medical cannabis stocks, Lexaria has promising technology and enough financial backing to potentially deliver strong results for its investors.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 * The 7 Best Video Game Stocks to Power Up Your Portfolio! * 7 Forever Stocks to Buy for Long-Term Gains * 5 Self-Driving Car Stocks to Buy Compare Brokers The post Should You Buy, Sell, Or Hold These 7 Medical Cannabis Stocks? appeared first on InvestorPlace.
Why Pyxus International Stock Rose Over 33% after Its Q3 Results(Continued from Prior Part)Third-quarter revenue In the third quarter of fiscal 2019, Pyxus International (PYX) posted revenue of $524.5 million, a rise of 9.8% from $477.8 million in
Why Pyxus International Stock Rose Over 33% after Its Q3 ResultsThird-quarter performance Pyxus International (PYX) posted its fiscal 2019 third-quarter earnings results after the market closed on February 11. In the quarter, which ended on December
News that the Senate was close to agreeing on a border deal that would avert a second government shutdown received the credit for a fast and furious rally today. The momentum slowed in the afternoon and there was no ramp up in the last 45 minutes for the first time in 15 sessions, but there were no notable pullbacks during the day.
Shares of Pyxus (NYSE:PYX) roared higher on Feb. 12, after the global agricultural company reported third-quarter numbers that largely impressed investors and implied that new growth initiatives may finally be taking hold. As of this writing, Pyxus stock is up more than 25% on the day.To be sure, Pyxus stock was roughly 70% off its 52-week highs heading into the Q3 print. As such, the natural question here is as follows: Is this big rally legit, or is it simply a dead cat bounce?I'm inclined to say the latter.InvestorPlace - Stock Market News, Stock Advice & Trading TipsPyxus belongs in the basket of cannabis hype stocks that went parabolic in late 2018 during the cannabis craze. That bubble popped. PYX stock dropped. Ever since then, there has been a clear divergence in cannabis winners and losers. Some pot stocks have rallied back to all-time highs on continued positive developments. See Canopy (NYSE:CGC). Others haven't, and Pyxus belongs in that group.There's a reason for that: The cannabis side of the Pyxus business is very small, and it's pretty much the only part that has healthy long-term growth potential. Total revenues are struggling to head consistently higher, margins are under pressure and leverage is a problem. * 10 Stocks That Every 20-Year-Old Should Buy In other words, there are a lot of red flags here. Third-quarter numbers didn't fully address those red flags. So long as those red flags hang around, Pyxus stock will remain volatile and it will struggle to hold onto gains. Third-Quarter Numbers Were Good EnoughMy overall interpretation on PYX's third-quarter earnings report was that it was good enough to showcase that this business isn't completely worthless.Heading into the print, Pyxus had a market cap of just $150 million. To put that in context, revenues this year are expected north of $1.8 billion, while adjusted EBITDA is expected at $155 million. Thus, heading into the Q3 earnings report, Pyxus stock was being valued at a market cap less than this year's projected EBITDA.Against that valuation backdrop, Pyxus' numbers simply needed to be "not horrible" in order to warrant a pop in Pyxus stock.They weren't horrible. Revenues rose nearly 10% year-over-year, after dropping 12% in the previous quarter. Gross margins fell back, but not by as much last quarter. New growth initiatives showed promise, including double-digit revenue growth from the e-liquids category. The guide didn't get decimated.Overall, it was a decent quarter, and considering the anemic valuation heading into the print, decent was good enough to cause a 20% pop in PYX stock. Red Flags RemainThis set up is tempting to buy into. You have a cannabis hype stock that lost all its hype, but it's now starting to get some back. The valuation is ostensibly attractive. The long-term upside is potentially enormous through increased cannabis exposure. You also have massive short interest.Overall, I can see why someone would want to but into this Pyxus stock rally. If cannabis fever strikes Pyxus investors again, this stock could easily keep running higher for a little while longer.But, that rally won't last. And, it won't last because there are fundamental issues here. Namely, this company is only 3% cannabis and new growth initiatives. It's 97% tobacco, and that 97% is facing secular headwinds. Meanwhile, margins are falling, and EBITDA margins are expected to be just 8% this year. Revenues have been on a downtrend for five years. * The 7 Best Video Game Stocks to Power Up Your Portfolio! Above all else, there's a mountain of debt on the balance sheet. Net debt in the third-quarter totaled just under $1.3 billion. EBITDA over the past twelve months is just over $150 million. Thus, Pyxus has a scary net debt to EBITDA ratio of over 8. That's unsustainable, and implies tremendous risk.Overall, the long-term challenges facing Pyxus were not fully addressed by decent third-quarter numbers. As such, this rally looks more like a dead cat bounce than the beginning of a big turnaround. Bottom Line on PYX StockFor risk-adverse investors, Pyxus is a cannabis hype stock that you should probably forget about. For investors looking for exposure to the cannabis sector, consider buying Canopy on a dip instead. And, for investors looking for a breakout stock, take a look at these stocks instead. Bottom line: Pyxus stock is a speculative long that isn't worth the risk at current levels.As of this writing, Luke Lango was long CGC. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks That Every 20-Year-Old Should Buy * 10 Best Dividend Stocks to Buy for the Next 10 Months * 10 Monster Growth Stocks to Buy for 2019 and Beyond Compare Brokers The post Should You Chase the Big Rally In Pyxus Stock? appeared first on InvestorPlace.
International agricultural company Pyxus International Inc. (NYSE: PYX), which also has extensive cannabis operations, reported its financial results for the fiscal third quarter after Monday's closing bell. Pyxus said its third-quarter earnings amounted to $524.5 million, up by 9.8 percent on the year. Last year, Pyxus announced its "One Tomorrow" transformation strategy.
On a per-share basis, the Morrisville, North Carolina-based company said it had a loss of 56 cents. The tobacco company posted revenue of $524.5 million in the period. Pyxus shares have increased 46 percent ...
Although many market players root for stocks to go straight up every day, it is refreshing from a trading standpoint to have some periodic bouts of weakness. There was one good intraday bounce so far which has been the pattern lately but what will be key is if intraday lows are breached and the indices do not rally in the last hour. The indices are hitting new intraday lows on headlines that Larry Kudlow is saying that there is a pretty sizable distance to go in the China trade talks.
Last hour strength for the eleventh day in a row kept the indices fairly flat but it was one of the choppiest days of actions we have had so far this year. The swings were not big but things moved up an down several times intraday.