Canopy Growth: Another Ugly Cannabis Report


  • Canopy Growth Corporation’s weak financial results have caused its stock to trade lower, leading to a loss of investor interest.
  • The company reported another disastrous quarter with a weak adjusted gross margin, a large net loss, and negative adjusted EBITDA.
  • The stock has an EV topping $1 billion, which is mismatched with the weak financial results.

Dying Cannabis Plant Close Up

Taizhan Sakimbayev/iStock via Getty Images

After the big rally, Canopy Growth Corporation (NASDAQ:CGC) is starting to trade back lower, in line with weak financial results. The Canadian cannabis LP still can’t even get close to producing positive adjusted EBITDA

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock, you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

If you’d like to learn more about how to best position yourself in under valued stocks mispriced by the market to start June, consider joining Out Fox The Street

The service offers a model portfolio, daily updates, trade alerts and real-time chat. Sign up now for a risk-free 2-week trial. 

Leave a Reply

Your email address will not be published. Required fields are marked *