196.81 0.00 (0.00%)
After hours: 6:05PM EDT
|Bid||189.01 x 800|
|Ask||200.00 x 800|
|Day's Range||193.86 - 197.16|
|52 Week Range||150.37 - 218.45|
|Beta (3Y Monthly)||1.12|
|PE Ratio (TTM)||49.29|
|Earnings Date||Jan 7, 2020 - Jan 13, 2020|
|Forward Dividend & Yield||3.00 (1.52%)|
|1y Target Est||226.95|
Piper Jaffray analyst Michael Lavery thinks that Canopy Growth and Cronos Group have good positions in the industry. They have strong cash positions.
Constellation Brands (STZ) is a global manufacturer and marketer of wine, spirits, and beer with a wide range of brands, including Clos du Bois, Ruffino, Robert Mondavi, and SVEDKA vodka, notes John Staszak, an analyst with the independent research firm, Argus Research.
It's been a hard year for marijuana firms and their investors. The industry has been wracked with worries about health concerns, waning demand and regulatory tie-ups. Naturally, this has taken a toll on marijuana stock prices.Aurora Cannabis (NYSE:ACB) is a prime example of a pot stock that's been hammered over the past 12 months. ACB stock has fallen 67% from where it was a year ago and many are speculating that the industry hasn't bottomed yet.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Troubled IndustryOne of the big reasons the industry is struggling right now is the slow-moving legalization process in Canada. The government is struggling to get through a backlog of licensing requests. That means companies that want to operate within Canada's legal marijuana market sometimes have to wait over a year for a permit.Canada's so-called "Cannabis 2.0" is slated to begin on October 17. During that time, the nation will legalize vaping products, edibles and cannabis-infused beverages. On the surface, that looks like a near-term catalyst for ACB. But if the nation's last round of marijuana legalization is anything to go by, we might be waiting a long time to see the benefits. * The 7 Best Penny Stocks to Buy On top of that, the marijuana industry is bumping up against health concerns as well. Vaping has been linked to 33 deaths across the U.S. and thousands of "lung injury cases." What's worse is that the Centers for Disease Control and Prevention says the majority of those patients have a history of using products that contain THC, the psychoactive chemical found in marijuana. Issues Involving ACB StockOf course, the industry-wide issues with obtaining legal permits put all marijuana firms on a level playing field. However, the vaping concerns weigh heavily on ACB stock as the firm is making big bets on the future of that industry. Management has consistently pointed to vaping as an area of focus. So, if regulators clamp down to avoid health problems, it could have a negative impact on Aurora stock.There are many out there, though, who look at the vaping issues as little more than a blip on the radar. After all, cigarettes contribute heavily to a host of terminal illnesses, but that market is still open for business. That's true, but the vaping concerns aren't the only problems Aurora stock is facing.Aside from its vaping bets, investors purchasing ACB stock are taking on some risky financials as well.The firm is in need of cash to continue funding its growth plans and likely has nowhere to turn aside from capital markets. Next March, ACB will have 230 million CAD worth of convertible debt to pay off. If the firm's share price is still in the gutter, it's doubtful the lenders will be willing to take the stock-conversion option. That means Aurora will likely take on even more debt, a worrying prospect for shareholders. The Silver Lining for Aurora StockOverall, Aurora Cannabis stock looks like a pretty shaky investment. It's uncertain financials and decision to focus on vaping makes it a risky bet. However, the firm does have some things going for itself.Aurora's sales make it the largest player in Canada and margins have been improving as costs fall. Plus, the firm has finally outlined plans to enter the CBD market, which is poised to explode in the coming years.ACB has aligned itself with Ultimate Fighting Championship in order to test whether CBD is effective in treating pain. The results of the study will eventually help Aurora develop a line of topical CBD products aimed at athletes. Potential PartnershipAnother potential positive for ACB stock is the fact that the firm is making its way as a leader in the cannabis industry without the help (or control) of a larger partner from another industry. The firm's rivals Canopy Growth (NYSE:CGC) and Cronos Group (NASDAQ:CRON) have inked deals with Constellation Brands (NYSE:STZ) and Altria (NYSE:MO), respectively.Aurora, on the other hand, is still flying solo. If everything pans out, that would be an advantage for long-term ACB stockholders as both Cronos and Canopy are likely to be bought out by their partners before they realize their full potential.Not everyone believes going it alone is the best option. Larger partners mean deeper pockets and better funding, which is something Aurora Cannabis stock could use right now. Also, the cross-industry tie is likely to help as marijuana products bleed into other consumer product lines in the future.There's also some question as to why big names aren't aggressively pursuing Aurora. The firm brought on infamous strategic advisor Nelson Peltz in what many believed was an effort to secure a cross-industry partnership. The Bottom LineACB stock doesn't look like it's heading to zero, but it might get close. Moreover, 20 years from now the stock might be a winner, but for now I'd remain on the sidelines.If you've got time and you're a sucker for a large risk/reward payoff, Aurora stock could be a winner. However, for now I think your capital is better deployed until there's a clearer picture of the firm's future on the table.As of this writing, Laura Hoy did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Best Penny Stocks to Buy * 7 Bank Stocks to Avoid Now at All Costs * The 10 Best Mutual Funds for Your 401k The post This Isnat the Time to Buy Aurora Cannabis Stock appeared first on InvestorPlace.
The Florida Aquarium is diving head first into a new partnership agreement with the parent company of Corona. This will be the first time Corona will partner with an aquarium and its first partnership with a nonprofit in Tampa Bay. The Florida Aquarium’s outdoor cantina will be rebranded as Corona Cove and have a Corona-themed sculpture.
On CNBC's "Mad Money Lightning Round," Jim Cramer said Canopy Growth Corp (NYSE: CGC ) needs new CEO for the stock to trade higher. Constellation Brands (NYSE: STZ ) needs to buy more stock or ...
Modelo, the beer brewed with The Fighting Spirit™, proudly announces it has teamed up with Anderson .Paak for the Modelo Fighting Chance Concert Series, an iHeartRadio production. Together, along with music fans, they are raising money for the International Rescue Committee (IRC) to help refugees, immigrants and Americans in need achieve their full potential. Modelo and iHeartMedia will give four lucky fans an opportunity to win VIP trips to New York to see Anderson .Paak in concert at Brooklyn Steel on November 17.
A new study by Syracuse University and the University of Georgia suggests cannabis legalization has a significant negative impact on online searches for alcohol and online alcohol advertising effectiveness. Surprisingly, the study found that tobacco interest is not negatively impacted by marijuana legalization. “The alcohol industry, by contrast, has valid reasons to be concerned about legal cannabis and may need creative strategies to avoid market decline if recreational cannabis legalization passes,” the researchers concluded.
Last year, Wall Street investors could not get enough of cannabis stocks and Canopy Growth (NYSE:CGC) was the cream of the crop. This is because it received a large $4.5 billion investment from Constellation Brands (NYSE:STZ). But we have since seen since other mistakes in valuations like the one in WeWork that cast doubt over business acumen.Source: Shutterstock At this moment, CGC is also looking like it won't pan out as planned for STZ. CGC stock has fallen over 60% from its October 2018 highs. So the question now is it a broken company or merely a broken stock that has lost its momentum?This is a complicated answer because no one really knows the future of the cannabis industry. So CGC is not alone -- all of its peers are also in free fall. Tilray (NASDQ:TLRY) an Cronos (NASDAQ:CRON) are down 70% and 30% year-to-date. After all, cannabis is still illegal in the United States at the federal level. This means that these companies are at a disadvantage on Wall Street. Something will need to change so that the market unshackles these stocks. It will take a miracle for CGC stock to live up to expectations.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Beverage Stocks to Buy Now The bullish story burst onto the scene with great excitement. The applications for cannabis into the mainstream were endless. Now that the frenzy has ended, realism set in. The pudding has to hit the plate in a manner of speaking. CGC Stock Is BrokenTechnically, CGC stock is in free fall with a potential target of $16.50 per share. This is a zone more so than a hard line in the sand. Nevertheless this is a far cry from its high of almost $60 a share. So this is a wake-up call for Constellation Brands' assessment of its original Canopy Growth valuation. The bulls most recently presented their best effort at $19.78. That's the line to beat for now. Ledges like this become heavy resistance until the bulls recover them.Fundamentally the drop in CGC and its competitors makes their valuations now slightly less insane. This is not to say that cannabis stocks are cheap by any means. But now they have shed a lot of their froth. But in reality, no one really can assess how cheap they are because they are trying to establish something that has not yet existed in the legal Wall Street realm. This is a bet that I personally am not willing to take. But some investors, who are more familiar with the ins and outs of the industry, can make more educated guesses on the likelihood of a CGC recovery. The Bottom Line on Canopy GrowthSome of the stock drop is self-inflicted from management headlines. So if the company can get its act together, perhaps it can again retrace its steps in the stock market. Short term, there is significant resistance for CGC at $23 per share. The onus is on the bulls to recover that level so they can start building positive momentum over time once again.The alternative would be for the bulls of CGC stock to get a miracle headline that would bring them back to levels from say six months ago. This is truly a hopium trade where if I buy the stock today I am hoping that things will work out for this struggling industry. Nothing currently in the charts or in the headlines is looking promising. So whatever drives CGC stock higher will have to come from somewhere else.Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. Join his live chat room for free here. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Beverage Stocks to Buy Now * 10 Groundbreaking Technologies Created by Universities * 5 Semiconductor Stocks Worth Your Time The post Canopy Growth Stock Has Gone Up in Smoke appeared first on InvestorPlace.
PepsiCo (NASDAQ:PEP) announced its third-quarter results on Oct. 4. They were healthy enough that I've put the beverage and snack food company on my list of seven beverage stocks to buy now. But before I get into the seven names on my list, I thought I'd explain why I'm so high on beverage stocks. The truth is, a lot of interesting stuff is happening in the beverage world at the moment, not the least of which is a fight by traditional beverage makers, non-alcoholic and alcoholic alike, to get into cannabis-infused drinks. The payoff could be enormous for those brands that resonate with the public. InvestorPlace - Stock Market News, Stock Advice & Trading TipsFurthermore, long-time partnerships seem to be fracturing as larger beverage businesses look to find growth wherever they can. The gloves have come off.Big or small, you've got to have a vision for sustainable growth or you're going to be left in the dust. * 10 Lithium Stocks to Buy Despite the Market's Irrationality Here are the seven beverage stocks I believe will do just that. Beverage Stocks to Buy: PepsiCo (PEP)Source: suriyachan / Shutterstock.com PepsiCo released its Q3 2019 results Oct. 3 and they were very healthy. On the top line, Pepsi had organic growth of 4.3%. In terms of profits, Pepsi generated $2.86 billion in operating profits in the quarter, $11 million higher than the same quarter a year earlier. This is despite PEP spending $2 billion on its business through the first nine months of the year and an estimated $4.5 billion for the entire fiscal year. "While adverse foreign exchange translation negatively impacted reported net revenue performance, organic revenue growth was 4.3% in the quarter," stated CEO Ramon Laguarta. "We are making good progress against our strategic priorities and our businesses are performing well … Given our performance year-to-date, we now expect to meet or exceed our full-year organic revenue growth target of 4%."One of the big reasons for its success so far in 2019 are the sales from Bubly, the sparkling water brand it launched in 2018. According to Bloomberg Intelligence, it is taking market share from LaCroix, which saw its sales fall by 14% in the four weeks ended July 14, compared to a 96% increase for Bubly in the same period. Pepsi is investing in the brand and LaCroix is feeling the heat.Over the past year, Bubly has generated more than $170 million in revenue and grabbed 7.7% of the sparkling water market in short order. With free cash flow expected to be $5 billion or more in 2019, look for the company to buy back more than $3 billion of PEP stock. Canopy Growth (CGC), Constellation Brands (STZ)Source: Shutterstock If you blinked, you probably missed the news Oct. 2, that Canopy Growth (NYSE:CGC) was buying 72% of BioSteel Sports Nutrition, a company that specializes in sports nutrition and hydration products for high-performance athletes like Dallas Cowboy running back Ezekiel Elliott. With an option to buy the remaining 28% of BioSteel in the future, I see this acquisition as a no-brainer for the Canadian cannabis company backed by Constellation Brands (NYSE:STZ). When the news first broke, I was all over the story because, unlike the $600 million Canopy spent on Hiku, BioSteel has "big" written all over it.Not only does Canopy get a beverage and nutrition company that it could grow on its own, separate from its cannabis business, but BioSteel is also a great vehicle to roll out CBD-based products to athletes and non-athletes across North America. The CBD industry is projected to grow to $17.3 billion over the next seven years. Add these drinks to the CBD-infused chewables and chocolates and you've got a recipe for significant revenue generation. * 10 Winning Stocks to Buy and Stick With for the Long Haul Take Constellation's distribution reach, Canopy's understanding of cannabis and hemp and BioSteel's market leadership, and this investment seems like a slam dunk. Boston Beer (SAM)Source: LunaseeStudios / Shutterstock.com The good news for owners of Boston Beer (NYSE:SAM) stock is that it's up 54% year-to-date through Oct. 8. The bad news is that it was as high as $445 in early September. Not to worry. Just when you think CEO and founder Jim Koch is down and out, he figures out how to keep Boston Beer growing. Are you familiar with White Claw? It's the leading hard seltzer in the U.S., brought to consumers by the same people who sell Mike's Hard Lemonade, and outselling Budweiser and every craft beer in the process. A fad, you say. Don't tell that to Koch. He's got Truly, the second-place brand in terms of market share at 30%, half White Claw's, but still pretty darn impressive. On Oct. 4, thanks to the company finding the internal capacity to produce Truly in-house instead of using third-party co-packers, UBS Group analyst Sean King upgraded his rating on the stock from $305 to $390. "Truly's stellar growth in fiscal 2019 failed to translate into meaningful earnings growth year-to-date as the company's heavy reliance on co-packers weighed on margins," King wrote. "We now believe that this headwind will ease into fiscal 2020 with greater internal capacity coming. The extent of vertical integration and outlook for Truly growth will be key determinants of earnings growth for Boston Beer in fiscal 2020." Here's what I know. I live on Canada's east coast. You can't find either product on store shelves. Down in the U.S., it's estimated that only 20% of restaurants and bars carry White Claw indicating just how much business is still on the table.I see $400 again soon. Starbucks (SBUX)Source: monticello / Shutterstock.com What would a list of beverage stocks be if it didn't contain the world's biggest coffee company.Starbucks (NASDAQ:SBUX), like Boston Beer, always seems to find a way to reignite growth at precisely the right time, and in doing so, keep the SBUX share price moving higher. In 2019, it's up 34% YTD, including dividends. As if you needed another reason to own SBUX stock, I've come across a real doozie. According to Schaeffer's Investment Research, Starbucks is one of only two S&P 500 stocks that have moved higher in the fourth quarter for 10 consecutive years, averaging a Q4 return of 10.6%.While there are other S&P 500 stocks that have better average returns in the fourth quarter -- Delta (NYSE:DAL) has an average return of 16.6%, delivering positive returns in nine out of the last 10 years -- its consistency is important as we approach the 11th anniversary of the latest bull market. Sure, the company's admission that its 10% growth rate forecast probably won't carry into 2020 due to some one-time, tax-related issues but unless people stop drinking coffee, it will continue to do just fine. Down from its 52-week high of $99.72 reached in July, any future weakness should be met with increased buying. * 7 'A'-Rated Stocks to Buy for the Rest of 2019 As beverage stocks go, Starbucks is a must-own. LVMH (LVMUY)Source: lentamart / Shutterstock.com Most people wouldn't consider luxury goods conglomerate LVMH (OTCMKTS:LVMUY) a beverage company. However, given the "MH" in its name stands for Moet-Hennessy, which merged with Louis Vuitton in 1987 to form LVMH, I would beg to differ. If there were a consumer goods company that is too big too fail, I would go with LVMH every day of the week and twice on Sunday. That's why I recommended LVMUY stock in September as part of my article about one-stock portfolios to own. As I said then, LVMH generates almost $53 billion in annual revenue from more than 70 different brands including makers of wine, champagne, cognac, and whiskey. In the first half of 2019, its Wines & Spirits group generated 6% organic growth, with its cognac and spirits business accounting for 61% of sales and champagne and wine the remaining 39%. Although LVMH believes its Wines & Spirits group is facing a difficult business environment, Hennessey managed to grow volumes by 8% in the first six months of the year thanks to strong sales of its VS and VSOP cognac. It pays to own quality. Molson Coors (TAP)Source: Drew Stephens via FlickrMolson Coors' (NYSE:TAP) Canadian division opened a new brewery in Chilliwack, British Columbia, in September. It was built to replace its Vancouver brewery that was sold in 2015. Three years in the making, it's a $300-million facility located on 36 acres, and employing 100 people. More importantly, it is the company's most modern brewery, that will reduce energy and water use by 20% and 40%, respectively. In terms of capacity, it will be able to brew more beer in a year than all of the craft beer sold in B.C. in its most recent fiscal year. While the recent resignation of Hexo (NYSE:HEXO) CFO Michael Monahan has some worried about the cannabis company's future, MKM Partners analyst Bill Kirk remains bullish about its stock. Kirk rates it a buy with a target price of $9.02. I mention Hexo because it is the company that Molson Coors Canada has partnered with to produce cannabis-infused drinks for the Canadian market. Named Truss Beverages, Molson Coors owns 57.5% with Hexo owning the rest. Molson Coors believes that the Canadian cannabis beverages market could be worth between $1.5 billion and $3.0 billion. With legalization of cannabis-infused drinks to take place on Oct. 17 and allowing for another 60 days to get the appropriate licensing, Truss should have products in stores as early as mid-December. * 7 Funds to Buy If the Market Turns Sour Molson Coors might be a beverage underdog, but if you can afford to risk a few dollars, its gamble on cannabis that might well pay off handsomely. Coca-Cola (KO)Source: MAHATHIR MOHD YASIN / Shutterstock.com I didn't want to pick Coca-Cola (NYSE:KO) when Pepsi's already on the list but the fact that it's launching its own energy drink in the U.S. makes it noteworthy.Investors already knew about Coca-Cola Energy because the line of drinks has already launched in Spain, Hungary and 25 other markets in Europe and Australia. In addition to Coca-Cola Energy, the lineup includes a zero sugar version, a cherry flavor and a zero sugar cherry offering. Coca-Cola already had a partnership with Monster Beverage (NASDAQ:MNST) that was signed in 2015 that gave Coke a minority position in the energy drink maker and made Coca-Cola its preferred distribution partner. In addition, Coca-Cola transferred its energy drink assets to Monster and Monster gave Coke its non-energy business. It was a marriage made in heaven until Coke decided it wanted back in the energy drink game. The two parties went to arbitration in October 2018. The arbitration tribunal ruled in July that Coke could continue to sell Coca-Cola Energy because it fell under the Coca-Cola brand name and didn't violate the non-compete clause. Coca-Cola has brought a number of interesting products in the past year and Coca-Cola Energy is certainly one of them. Add to this its entry into the coffee market through Costa Coffee and its growth engine might rev up its share price. 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 * 10 Super Boring Stocks to Buy With Super Safe Returns * 10 Winning Stocks to Buy and Stick With for the Long Haul * Don't Give Up on These 4 Cannabis Stocks The post 7 Beverage Stocks to Buy Now appeared first on InvestorPlace.
On Thursday, Canopy Growth announced that Constellation’s CFO David Klein will be the new chairman of its board effective immediately.
Canopy Growth named Constellation Brands CFO as its chairman. Hexo pulled sales guidance. Canopy Growth and Hexo hit record lows. Marijuana stocks fell.
Hedge funds and large money managers usually invest with a focus on the long-term horizon and, therefore, short-lived dips or bumps on the charts, usually don't make them change their opinion towards a company. This time it may be different. During the fourth quarter of 2018 we observed increased volatility and small-cap stocks underperformed the […]
Cannabis producer Canopy Growth Corp said on Thursday it appointed top shareholder Constellation Brands Inc's chief financial officer, David Klein, as chairman of its board. Klein will take over, effective immediately, from interim chairman John Bell, who will continue as a director on the board. In July, Canopy fired its co-founder, co-Chief Executive Officer and Chairman Bruce Linton after Constellation expressed disappointment over the company's financial performance.
Klein will take over, effective immediately, from interim chairman John Bell, who will continue as a director on the board. In July, Canopy fired its co-founder, co-Chief Executive Officer and Chairman Bruce Linton after Constellation expressed disappointment over the company's financial performance. Bell was appointed as the interim chairman after Linton's ouster.
Canopy Growth Corp. said Thursday it named David Klein as its chairman of the board, effective immediately, succeeding Interim Chairman John Bell. Klein is currently chief financial officer of Constellation Brands Inc. , which is the Canada-based cannabis company's largest shareholder with about 36% of the shares outstanding, according to FactSet. Klein's specialty is corporate strategy, finance and accounting, mergers and acquisitions, technology and investor relations. "David's leadership has been extremely valuable to our board at this pivotal moment in Canopy Growth's history, and I am confident that he will continue to add value in his new capacity as board chair in the years ahead," said Chief Executive Mark Zekulin. Canopy's U.S.-listed shares, which slumped 1.5% in premarket trading, have shed 15% year to date through Wednesday, while the ETFMG Alternative Harvest ETF has dropped 20% and the S&P 500 has gained 16%.
Molson Coors (TAP) gains from the solid brand portfolio and premiumization efforts as well as cost-saving initiatives and innovations. But soft beer demand and higher input costs remain deterrents.
Despite the losses, Constellation Brands still has an optimistic outlook for Canopy Growth. The company is happy with Canopy Growth’s progress.
Canopy Growth stock has been praised by many analysts. Here’s what chart analysis shows about buying this marijuana stock right now.
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 ...
Constellation Brands Inc. stock fell 7% Thursday to lead S&P 500 decliners, after the distributor of Corona beer swung to a big loss in its fiscal second quarter as it booked charges related to an investment in a Canadian cannabis company.