ACB.TO - Aurora Cannabis Inc.

Toronto - Toronto Delayed Price. Currency in CAD
2.6800
+0.0800 (+3.08%)
At close: 4:00PM EST
Stock chart is not supported by your current browser
Previous Close2.6000
Open2.6500
Bid2.6700 x 0
Ask2.6900 x 0
Day's Range2.5500 - 2.7600
52 Week Range1.9600 - 13.6700
Volume7,473,745
Avg. Volume10,090,101
Market Cap3.001B
Beta (5Y Monthly)1.59
PE Ratio (TTM)N/A
EPS (TTM)-0.3660
Earnings DateFeb 09, 2020 - Feb 13, 2020
Forward Dividend & YieldN/A (N/A)
Ex-Dividend DateN/A
1y Target Est4.53
  • Business Wire

    ACB FINAL DEADLINE TODAY: ROSEN, A TOP RANKED LAW FIRM, Reminds Aurora Cannabis Inc. Investors of Important Tuesday Deadline in Securities Class Action; Encourages Investors with Losses in Excess of $1MM to Contact the Firm – ACB

    Rosen Law Firm, a global investor rights law firm, reminds purchasers of the securities of Aurora Cannabis Inc. (NYSE: ACB) between October 23, 2018 and January 6, 2020, inclusive (the "Class Period") of the important January 21, 2020 lead plaintiff deadline in the securities class action. The lawsuit seeks to recover damages for Aurora investors under the federal securities laws.

  • Business Wire

    TUESDAY DEADLINE ALERT: The Schall Law Firm Announces the Filing of a Class Action Lawsuit Against Aurora Cannabis Inc. and Encourages Investors with Losses in Excess of $100,000 to Contact the Firm

    TUESDAY DEADLINE ALERT: The Schall Law Firm Announces the Filing of a Class Action Lawsuit Against Aurora Cannabis Inc.

  • Is It Finally Time to Buy Aurora Cannabis Stock?
    InvestorPlace

    Is It Finally Time to Buy Aurora Cannabis Stock?

    I recently wrote that Aurora Cannabis (NYSE:ACB) stock isn't headed for $0, but it's still too early to buy. However, in the past couple of weeks, multiple Wall Street analysts have updated their outlook for Aurora. Some analysts are getting more pessimistic on the fundamental outlook for Aurora in the first half of 2020. Others are getting more bullish on the potential long-term value opportunity in Aurora stock.Source: Jarretera / Shutterstock.com Aurora's next earnings report is less than a month away. I think it's still too early to be buying the dip. Besides, there is at least one better option out there for speculative cannabis investors. Management Is ConfidentOne of the biggest Aurora bulls on Wall Street is Cantor Fitzgerald analyst Pablo Zuanic. Zuanic recently met with Aurora management. This week, he said he came away from the meeting even more convinced that Aurora's massive selloff is a buying opportunity.InvestorPlace - Stock Market News, Stock Advice & Trading TipsZuanic says there are three primary drivers of Aurora's underperformance in the past month, none of which are real reasons to sell the stock. First, CCO Cam Battley was let go. Zuanic says the market seems to think Battley resigned, but that's not the case. In fact, he says some more fresh blood would be good news for Aurora."We think ACB would benefit from some pruning and from bringing in an outside CEO renown in the investment community for both sound growth strategy and financial discipline (cost/cash flow)," Zuanic says. * 7 Earnings Reports to Watch Next Week Second, traders have been speculating that Aurora may significantly write-down the value of certain assets after a recent property listing price came in below expectations. Zuanic says Aurora's move to sell non-core assets is part of its cost management plans and should be considered good news for the balance sheet.Finally, Aurora's credit facility requires it to have a total funded debt-to-adjusted shareholders equity ratio at or below 0.25:1 by Sept. 30, 2020. Zuanic says all Aurora needs to get its ducks in order prior to this deadline is to generate around $21 million in earnings before interest, taxes depreciation and amortization (EBITDA) per quarter by the September quarter.Company management and Zuanic himself are confident that goal is still within reach."We would make use of the recent pullback," Zuanic said in conclusion. Cantor has an "overweight" rating and $3.85 price target for Aurora stock. Balance Sheet ConcernsThe same week Zuanic came out with his bullish commentary on Aurora, Bank of America analyst Christopher Carey downgraded the stock to "underperform." Carey also cut his price target to just $1.15.Like many Aurora bears, Carey's primary concern is the company's balance sheet."With [balance sheet] risks to remain a core investment thesis in 2020 in our view, and lingering uncertainty especially on financial covenants, we struggle to envision a scenario where shares have sustainable support," Carey wrote in the downgrade note.Carey credits Aurora with taking several steps to improve its balance sheet, including spending cuts, deferred capex and asset sales. However, he says Aurora is still not in position to meet the terms of its credit facility.Bank of America expects weakness in the Canadian cannabis market to continue throughout the first half of 2020. Without impressive growth numbers to support the bull thesis for cannabis stocks in the near-term, Carey says investors will remain focused on balance sheets. "Unfortunately, ACB has the weakest in our group, while valuation is still near group high," he said.In other words, Aurora has a lot of good things going for it. But at this point of uncertainty and at the current valuation, he simply can't recommend the stock. A Better Option Than Aurora StockLong-time readers know I've been like a broken record when it comes to cannabis stocks. There will likely ultimately be some huge winners in the space in the long term. But there is simply too much risk and uncertainty at this point to be picking one winner. * The 10 Best Value Stocks to Own in 2020 If you insist on picking one stock, I believe Canopy Growth Corp (NYSE:CGC) is the best pick in the space today. It certainly has a lot less risk than Aurora. Canopy has a strong balance sheet and a major financial backer in Constellation Brands (NYSE:STZ). In addition, I think there's a good chance Constellation may step in and buy out Canopy as soon as the financial outlook for cannabis stocks clears up.In the meantime, rather than buying a single stock, cannabis investors should consider owning a basket of at least four or five cannabis stocks to diversify their portfolio. Analysts expect the difficult cannabis market to persist in the first half of 2020. It would be wise for cannabis investors to consider clash flow, debt levels and valuation. In addition to Canopy, investors should consider other top-tier stocks such as Tilray (NASDAQ: TLRY) and Cronos Group (NASDAQ:CRON).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 * The Top 5 Dow Jones Stocks to Buy for 2020 * 7 Fintech ETFs to Buy Now for Fabulous Financial Exposure * 3 Tech Stocks to Play Ahead of Earnings The post Is It Finally Time to Buy Aurora Cannabis Stock? appeared first on InvestorPlace.

  • Planes, Trains, Autos Eclipse Miners in Fabric of Canada Market
    Bloomberg

    Planes, Trains, Autos Eclipse Miners in Fabric of Canada Market

    (Bloomberg) -- Move over materials, there’s a new kid on the block. The C$300 billion ($230 billion) industrials group has ousted miners and forestry stocks to become the third-most valuable collection of companies on Canada’s equity market, behind banks and energy.Comprised mainly of transportation, engineering and construction stocks, industrials are generally seen as cyclical stocks and had blockbuster gains last year with a 24% rally. That was behind only tech and utilities.Last year Ballard Power Systems Inc.’s shares more than doubled after reporting a technology breakthrough that will reduce the amount of high-cost platinum used in its fuel-cell products. Air Canada came in second in the group after announcing a planned acquisition of tour operator Transat AT, accelerating its global presence in the leisure industry.Ballard’s surge has continued this year, climbing about 70% in January, as China signaled it wouldn’t further cut subsidies for electric vehicles, easing some fears for battery investors.One drag on the sector has been Bombardier Inc., which saw its stock slump and bonds tumble last week after the company said it was rethinking the A220 jet program with Airbus as it seeks ways to increase cash flow to help with paying down its $10 billion debt load. But, at a shadow of its former self, its contribution to the sectoral gauge is less than 1%.Markets -- Just The NumbersChart of The WeekEconomyCanadian businesses reported improved sentiment amid reduced concern about global trade conflicts, according to a Bank of Canada survey. Future sales like new orders have picked up, particularly outside of the energy sector, the Ottawa-based central bank’s fourth-quarter survey of executives found.Economists will see a big data dump on Jan. 22 with new housing price figures, inflation and the Bank of Canada’s rate decision.PoliticsPrime Minister Justin Trudeau’s bid to complete the Trans Mountain oil pipeline won a major victory Thursday as the nation’s top court rejected an appeal brought by British Columbia aimed at challenging the controversial project. The Supreme Court of Canada has dismissed the case, the court said in a statement.TrendingInCanada1\. St. John’s, Newfoundland, has declared a state of emergency as a blizzard ramps up with 75 centimeters of snow expected in the province.2\. And if you missed it, we taste-tested McDonald’s Corp. and Beyond Meat Inc.’s new PLT burger, which is getting a trial run in Ontario.\--With assistance from Steven Frank.To contact the reporter on this story: Divya Balji in Toronto at dbalji1@bloomberg.netTo contact the editors responsible for this story: Kyung Bok Cho at kcho7@bloomberg.net, Jacqueline Thorpe, David ScanlanFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Cannabis magazine High Times to open retail stores this year
    Yahoo Finance

    Cannabis magazine High Times to open retail stores this year

    The 45-year old marijuana advocacy publication will be getting into the cannabis retail business.

  • How Long Can the Rally in Canopy Growth Stock Last?
    InvestorPlace

    How Long Can the Rally in Canopy Growth Stock Last?

    Cannabis stocks performed terribly in 2019, and Canopy Growth (NYSE:CGC) was no exception. Despite the backing -- to the tune of $4 billion -- of Constellation Brands (NYSE:STZ), and over a full year of legal cannabis sales in Canada, CGC has yet to turn a profit. With investors souring on the cannabis industry in general, Canopy Growth stock lost 23% of its value in 2019. That number is actually misleading because CGC went into 2019 just as it was beginning to recover from a slump. It actually closed the year down a whopping 52% from its high at the end of April. So it is big news that CGC has strung together multiple days of significant growth. After a 4.4% pop on Wednesday, that's 21% in just three days.Source: Shutterstock What is going on with Canopy Growth? And more importantly for investors, can it sustain this rally to the point of a full-blown recovery? Why the Sudden Optimism Around Cannabis Stocks?This week has been an anomaly if you've been following cannabis stocks. For much of 2019, the story was rather grim. However, this week has seen many of them pop. CGC is up 21% since Monday. Hexo (NYSE:HEXO) is up 38%. Aurora Cannabis (NYSE:ACB) is up 25%. Cronos (NASDAQ:CRON) is up 23%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsEven lowly CannTrust (NYSE:CTST) has seen an 11% gain.There seem to be two factors that have lit a fire under these stocks this week. The first is the news that the first edibles under Canada's "Cannabis 2.0" rollout hit stores. The second is the introduction of a bipartisan bill in the U.S. that would bypass Food and Drug Administration restrictions and legalize hemp-derived CBD nationally for use in foods and supplements in the American market. What If Cannabis 2.0 Also Stumbles?Having Congress take action to eliminate the confusion over CBD sales in the U.S. will undoubtedly help cannabis producers. Many of them already sell CBD products in that market (the FDA hasn't been enforcing its ban), but legalization would likely provide at least a modest boost to sales. * 7 Earnings Reports to Watch Next Week The bigger issue for most cannabis stocks is the Cannabis 2.0 rollout in Canada. What happens if it also stumbles the way the initial legal recreational marijuana launch did? After all, that disaster was the reason so many cannabis stocks went through the roof in 2018 (in anticipation) and then tanked as reality hit. Unfortunately Cannabis 2.0 got off to a rocky start, with a lengthy waiting period between legalization of edibles and when companies could actually sell them. Even with edibles and cannabis-infused drinks now available (nearly a month after legalization), there are once again shortages in stores. Ontario -- by far the country's largest market -- remains critically underserved, with a fraction of the expected retail locations open. Canada's second-largest province played spoiler by announcing a ban on the sale of most cannabis edibles. Despite legalization at the federal level, Quebec is concerned that sweetened cannabis products would appeal to minors. Consumers are balking at the price of what edibles are available.Adding to the industry woes, legal recreational marijuana sales across Canada were dropping through the fall.The industry pinned a lot of hopes on Cannabis 2.0 being the point where the legal marijuana market in Canada found its legs. Instead, it's showing all the signs of being a repeat of last year. Bottom Line: Canopy Growth Stock Remains a Risky BetAt under $25, CGC can be a tempting investment. Twice in the past year and a half, the stock has been trading in the $50 range. The company has a new CEO in place, the backing of a multinational beverage conglomerate, and Canada's Cannabis 2.0 market has launched. After being beaten down for virtually eight straight months, CGC just strung together three straight days of gains for an impressive 21% boost. * The 10 Best Value Stocks to Own in 2020 Unfortunately, many of the challenges that caused Canopy Growth and other cannabis stocks to perform so poorly last year remain, especially in the Canadian market. There has been some optimism to start 2020 because of the edibles launch and the promise that Ontario will open more recreational cannabis stores, but that may not be enough. The investment analysts polled by CNN Business rate Canopy Growth stock as a "hold," and their median 12-month price target of just $19.77 represents 20.6% downside. Of the 21 analysts, the most optimistic has a $25.28 price target. Maybe they're all wrong. Maybe 2020 will be the year the legal recreational marijuana market takes off in Canada, powering cannabis stocks to a recovery. But I wouldn't bet on it.As of this writing, Brad Moon did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The Top 5 Dow Jones Stocks to Buy for 2020 * 7 Fintech ETFs to Buy Now for Fabulous Financial Exposure * 3 Tech Stocks to Play Ahead of Earnings The post How Long Can the Rally in Canopy Growth Stock Last? appeared first on InvestorPlace.

  • Business Wire

    Robbins Geller Rudman & Dowd LLP Files Class Action Suit Against Aurora Cannabis Inc.

    The suit alleges defendants issued false statements concerning Aurora business and prospects, resulting in its stock trading at inflated prices.

  • Business Wire

    ACB FINAL DEADLINE: ROSEN, A GLOBALLY RECOGNIZED LAW FIRM, Reminds Aurora Cannabis Inc. Investors of Important Tuesday Deadline in Securities Class Action; Expanded Class Period – ACB

    Rosen Law Firm, a global investor rights law firm, reminds purchasers of the securities of Aurora Cannabis Inc. (NYSE: ACB) between October 23, 2018 and January 6, 2020, inclusive (the "Class Period") of the important January 21, 2020 lead plaintiff deadline in the securities class action. The lawsuit seeks to recover damages for Aurora investors under the federal securities laws.

  • Barrons.com

    Aurora Cannabis Stock Has Erased 2020 Losses After Analysts Reiterated Support

    Aurora Cannabis stock has erased a dismal start to the year. Sales of gummies and chocolates have exceeded the company’s expectations.

  • TheStreet.com

    Aurora Cannabis Affirmed Outperform at Cowen on Expected Stricter Cost Controls

    Cowen analyst Vivien Azer affirms Aurora Cannabis at outperform, expecting the Canadian company to more carefully control capital spending and production and other costs.

  • Aurora Cannabis Shareholder Alert: Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $50,000 In Aurora Cannabis To Contact The Firm
    Newsfile

    Aurora Cannabis Shareholder Alert: Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $50,000 In Aurora Cannabis To Contact The Firm

    New York, New York--(Newsfile Corp. - January 15, 2020) - Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Aurora Cannabis (NYSE: ACB) ("Aurora Cannabis" or the "Company") of the January 21, 2020 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company. Faruqi & Faruqi LogoIf you invested in Aurora Cannabis stock or options between September 11, ...

  • Barrons.com

    A New Bill Would Remove a CBD Roadblock for Marijuana Companies

    A bill introduced in Congress would order the FDA to allow the marketing of CBD as a dietary supplement and food additive.

  • Benzinga

    Benzinga Pro's Top 5 Stocks To Watch For Wed., Jan. 15, 2020: GS, RSX, NKTR, NVAX, ACB

    Benzinga Pro's Stocks To Watch For Wednesday Goldman Sachs (GS) - Shares were down 1.6% following mixed Q4 results and sparse details about an overhang which had been on investors' mind's, charges related ...

  • MarketWatch

    Curaleaf closes upsized $300 million senior secured term loan facility

    Curaleaf Holdings Inc. said Wednesday it has closed an upsized $300 million senior secured term loan facility with an interest rate of 13% per annum. Proceeds of the deal will be used to refinance existing debt, pay fees and expenses from previously announced acquisitions, to fund capex and for general corporate purposes. "Most importantly we strengthened our balance sheet without diluting our existing shareholders," Chief Executive Joseph Lusardi said in a statement. Cannabis companies have been struggling to raise capital of late after a sharp correction in the sector, which has been developing more slowly than expected and continues to compete with the black market. A number of companies, including Aurora Cannabis have been forced into highly dilutive capital raisings. Curaleaf shares have gained 22% in the last 12 months, while the ETFMG Alternative Harvest ETF has fallen 41% and the S&P 500 has gained 26%.

  • AdvisorShares CEO says 2020 'could be a good year' for cannabis
    Yahoo Finance

    AdvisorShares CEO says 2020 'could be a good year' for cannabis

    Despite waning investor optimism in the cannabis space, AdvisorShares CEO Noah Hamman says 2020 could be a big year for the sector.

  • Oilprice.com

    The Cannabis Industry’s Dirty Energy Secret

    The business of growing cannabis is anything but green, in fact, the growing of pot is so power-intensive that its ecological footprint is quickly becoming an environmental nightmare

  • Avoid Aurora Stock, Buy Canopy Growth Stock for Cannabis Exposure
    InvestorPlace

    Avoid Aurora Stock, Buy Canopy Growth Stock for Cannabis Exposure

    At some point, Aurora Cannabis (NYSE:ACB) has to be a buy. Right? Perhaps eventually, it will be. But until Aurora stock shows signs that its downtrend is ending, why stick with a loser?Source: ElRoi / Shutterstock.com I couldn't have been more clear about how I feel about cannabis stocks at this point. While many of these companies have explosive opportunities over the next 12 to 48 months, many others lack the financial strength to survive over that time frame.As a result, investors need to blend the technicals and fundamentals -- hand-picking which ones are most likely to survive, then thrive. In the summer when support gave way, I waved a flag of caution. After the washout and subsequent bounce in November, I said to avoid Aurora stock as it struggled to rebound.InvestorPlace - Stock Market News, Stock Advice & Trading TipsI don't write that to showboat -- trust me, I've had more than enough servings of humble pie. Instead, I write it to drive home the same point: If you're going to speculate with cannabis stocks, don't do it with the losers. Avoid Aurora StockSource: Chart courtesy of StockCharts.comThe first problem with ACB stock? The chart. * 4 Energy Stocks to Power the New Year Aurora stock continues to make new low after new low. In mid-November, the stock plunged to new lows. ACB stock bottomed at $2.14 and within days, shares were up about 50% -- hitting a high of $3.25.However, the 20-day moving average remained stiff resistance, and Aurora stock was unable to reclaim prior range support near $3.50. That right there was the first sign that ACB stock was to be avoided.The next sign came when it failed to hold the $2.40 area, which quickly sent Aurora stock back down to new lows. Those lows now continue to break, leading to lower prices. I don't know when ACB stock will bottom, but until it puts in a low and reverses trend, I'm not interested in buying it.Then, there are the financials.Despite explosive revenue growth and -- quite frankly -- solid gross margins, Aurora Cannabis is losing tons of money. Trailing revenue of 293.5 million CAD has produced a gross profit of 205.5 million CAD. Solid right? It is, but a trailing net loss of 383.5 million CAD is a red flag.Total cash went from about 316 million CAD at the end of June to 191.9 million CAD at the end of September. Current liabilities weigh in at about 464.6 million CAD, while current assets of 588.3 million CAD.Will ACB face a liquidity issue? I'm not sure. I just know that it lacks the same financial firepower as some of its peers, while the charts remain detrimental to the bull case. If Not Aurora Stock, Then Who?I like several other names more than ACB stock, including Canopy Growth (NYSE:CGC) and Aphria (NYSE:APHA). Canopy's thesis and chart can be viewed here, while Aphria's is available here.While neither stock is robust at the moment, they are making much better strides that Aurora stock.First, both have broken over downtrend resistance. In Canopy's case, the stock is maintaining over the 20-day and 50-day moving averages as well. For Aphria, the stock is just over these key moving averages, and remaining above them would be a victory for the bulls. Second, these stocks are not only avoiding new lows, they are holding key support marks.If that changes, it's an opportunity for speculators to consider stopping out and limiting the damage. With Aurora stock, we don't have key support holding up -- so we don't have a way to measure risk.Now, look at the balance sheet difference (all figures in CAD).Current Assets Current Liabilities Ratio (Current) Total Assets Total Liabilities CGC 3.6B 425.8M 8.4 8.2B 2.6B APHA 780.8M 138.5M 6.0 2.4B 708.4M ACB 588.3M 464.6M 1.3 5.6B 1.1B Are these companies perfect? Not by any means. Canopy has a strong balance sheet, but negative free cash flow. Aphria has a smaller balance and is not yet generating positive free cash flow, but has turned a profit in seven of the last nine quarters.These are not slam dunks, but APHA and CGC have better setups than Aurora stock. That said, they are still speculative stocks.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long APHA. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Mid-Cap ETFs to Buy for Next Decade * 8 Quirky ETFs for Not-So-Quirky Profits * 4 Energy Stocks to Power the New Year The post Avoid Aurora Stock, Buy Canopy Growth Stock for Cannabis Exposure appeared first on InvestorPlace.

  • Business Wire

    Shareholder Alert: Robbins LLP Announces Aurora Cannabis, Inc. (ACB) Sued for Misleading Shareholders

    Shareholder rights law firm Robbins LLP announces that a purchaser of Aurora Cannabis, Inc. (NYSE: ACB) filed a class action complaint against the Company for alleged violations of the Securities Exchange Act of 1934 between October 23, 2018 and January 6, 2020. Aurora produces and distributes medical cannabis products.

  • Barrons.com

    Aphria Stock Gets Hammered After the Marijuana Company Reports Sales Plunge

    The Canadian pot producer blames a change in Germany’s reimbursement for medical marijuana, but says demand is strong. Shares are down 8%.

  • Why the cannabis industry has stalled for more than a year: Morning Brief
    Yahoo Finance

    Why the cannabis industry has stalled for more than a year: Morning Brief

    Top news and what to watch in the markets on Tuesday, January 14, 2020.

  • Barrons.com

    Aurora Cannabis Stock Has Dropped 22% in 2020. Here’s Why.

    If they did so at their historical rate last quarter, S&P 500 earnings per share could end up 0.5% higher than a year ago. Delta (DAL) will have a chance to update investors on its recent performance when it reports fourth-quarter earnings this morning. Aurora Cannabis (ACB) shares have dropped almost 22% since the start of 2020 alone.

  • Why 2020 Could Be an Even Uglier One for Aurora Stock
    InvestorPlace

    Why 2020 Could Be an Even Uglier One for Aurora Stock

    It's no secret 2019 wasn't a good one for cannabis stocks. Some investors might be asking the question: Is now be a good time to gain industry exposure with Aurora Cannabis (NYSE:ACB)? Let's see what happening off and on the price chart to reach a stronger risk-adjusted determination in 2020's early going.Source: Shutterstock Last year was a painful one for Aurora stock. Not that the marijuana producer was alone. From former standout Tilray (NASDAQ:TLRY) to the industry's largest Canopy Growth (NYSE:CGC), or niche players such as Aphria (NASDAQ:APHA), most cannabis companies shares went up in smoke in 2019. For its part ACB stock plunged 67%. * 7 Inflation-Beating REITs to Ground Your Income Portfolio To be clear, much of the bearish price action in Aurora wasn't without cause. Over the period there were plenty of quarterly misses and losses to contend with. But the real albatross weighing on shares in 2019 was Aurora's precarious debt situation within a much more challenging cannabis market than investors anticipated. And right now Wall Street doesn't see 2020 as looking any easier.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Analyst Take on ACBLate last week two analysts came out with "sell" ratings on ACB. Investment bank Piper Jaffrey cited a poor balance sheet and weak EU sales as risks for the company. The firm also issued a $1 price target for the stock.The firm warned Aurora Cannabis isn't likely to achieve positive cash flow until the third quarter of 2021. In the interim, it sees the company's debt growing by roughly $152 million. Worse yet, the liability is on top the outfit's existing need to refinance approximately $274 million in debt due August 2021.On Friday Bank of America Merrill Lynch chimed in with similar reservations. In their estimation, the pot producer's debt obligations won't be covered and supersede ACB's strong position in Canada's recreational marijuana market. Aurora Cannabis Stock Monthly ChartSource: Charts by TradingViewThe monthly chart of ACB stock largely supports Wall Street's sell-side at this juncture. ACB stock is down in nine of its last ten months. Worse and technically, shares have broken most every conceivable layer of bullish price, pattern and Fibonacci support along the way. Aurora is now in strong position to challenge 2017's key low of $1.38 which followed the initial run-up in shares.At this time there's little reason to see this next technical test as having an outcome any different than ACB's multiple failures in 2019. The bears are in control with no signs of letting up. Moreover, in 2020 I wouldn't dismiss or discount Piper's $1 price target and the threat of shares once again becoming an actual penny stock.Market Maker's Edge: Despite the obvious admonitions off and on the price chart, I'm not keen on shorting sub $2 stocks. As a former options market maker, I'd stress buying a bear put spread. This kind of position smartly limits and reduces the position's Greeks while allowing for solid profit potential.For investors wanting to buck today's overwhelming bearish warnings, I'd first recommend waiting on monthly chart confirmation a bottom is in Aurora Cannabis. Right now, that would mean waiting until February and a rally above January's high of $2.27 before considering a position. From there, a longer-dated married put strategy or out-of-the-money long call play due to potential asymmetric risk is where I'd begin looking for long delta exposure.Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Inflation-Beating REITs to Ground Your Income Portfolio * 7 Healthcare Stocks to Buy or Sell As Pricing Pressures Mount * 7 Earnings Reports to Watch This Week The post Why 2020 Could Be an Even Uglier One for Aurora Stock appeared first on InvestorPlace.

  • Barrons.com

    Aurora Cannabis Stock Has Tanked So Far in 2020. Why an Analyst Says It’s Time to Buy.

    Aurora’s stock decline is a reaction to analyst downgrades, and it’s a good time to buy shares given the company’s improving cash flow outlook, an analyst at Cantor Fitzgerald says.

  • Benzinga

    Cannabis Countdown: Top 10 Marijuana Stock News Stories Of The Week

    Cannabis Countdown: Top 10 Marijuana Stock News Stories of the Week Welcome to the  Cannabis Countdown . In this week’s rendition, we’ll recap and countdown the top 10 marijuana stock news stories for ...