06:57:31 EDT Thu 28 Mar 2024
Enter Symbol
or Name
USA
CA



Aurora Cannabis Inc (2)
Symbol ACB
Shares Issued 101,440,156
Close 2020-05-25 C$ 22.96
Market Cap C$ 2,329,065,982
Recent Sedar Documents

Globe says Aurora Cannabis lowered to "underperform"

2020-05-25 07:26 ET - In the News

The Globe and Mail reports in its Saturday edition that Jefferies analyst Owen Bennett cut Aurora Cannabis to "underperform" from "hold." The Globe's David Leeder writes that Mr. Bennett, however, boosted his share target by $2 to $14. Analysts on average target the shares at $13.79. Mr. Bennett issued his downgrade after Aurora posted third quarter results. Though the results were somewhat positive, Mr. Bennett sees more downside than upside going forward. Mr. Bennett says in a note: "We think near-term sales and GM [gross margin] headwinds are not fully appreciated, while celebrating a hiatus on further dilution is short-sighted, it [is] inevitably returning again when the balance sheet is addressed. Still set-up well longer-term but we see give back in the price over the next few quarters as likely. Aurora's ex-COO once described U.S. entry as non-negotiable. We agree, though we do view this particular deal/timing as strange. There is still no permanent CEO to lead this CBD push, the CBD space is experiencing significant headwinds currently, there is further dilution at a questionable multiple which has been a criticism of the past, and the [balance sheet] does not afford investment behind the purchase."

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