08:09:51 EDT Fri 29 Mar 2024
Enter Symbol
or Name
USA
CA



Canopy Growth Corp
Symbol WEED
Shares Issued 480,260,882
Close 2022-11-03 C$ 4.71
Market Cap C$ 2,262,028,754
Recent Sedar Documents

Globe says Canopy Growth not a good contrary bet

2022-11-04 07:38 ET - In the News

The Globe and Mail reports in its Friday, Nov. 4, edition that the marijuana boom has turned to bust. The Globe's guest columnist Philip MacKellar writes that many pot-linked companies and ETFs have seen their share price smoked by more than 90 per cent from their record highs. Mr. MacKellar says the sector is not a good contrary bet. Corporations in the pot sector today fail on nearly every investing measure. Industry leader Canopy Growth, for example, is a case in point. The company's revenues have been stagnant for two years, and in the latest quarterly, sales were down 19.2 per cent versus the comparable period last year. More importantly, Canopy is losing a stunning amount of money. In the past two years, Canopy has only generated profit in one quarter. Unfortunately, cash-flow metrics look similar and the enterprise is burning money quickly. Not only has Canopy taken on a lot of debt, but the outstanding shares have increased from 29.9 million in 2014 to 398.5 million in the latest quarter. Though there may still be mega-bull believers out there who argue the stock is cheap, or say that the smart money is stepping in, Mr. MacKellar says there is little evidence for this. The stock remains expensive.

© 2024 Canjex Publishing Ltd. All rights reserved.