Canopy Growth Corporation CGC reported mixed fourth-quarter earnings results Thursday. The company reported a year-over-year decrease in earnings per share and an increase in net revenue.
The Experts
Eric Choe, founder of StockDweebs, says Canopy Growth is well-positioned to rally from the production, distribution and sale of its cannabis products despite the recent downfall.
“It relies primarily on retail traffic and the sale of medicinal and recreational cannabis products - this could boost overall sales and top-line figures once stores start opening post-COVID,” Choe said.
Canopy Growth is slated to speak at Benzinga's Virtual Cannabis Capital Conference on June 1.
Cantor Fitzgerald’s Pablo Zuanic says Canopy Growth has much downside risk following a poor fourth-quarter report.
The analyst named four downside risks for Canopy Growth:
- Worsening industry capacity glut in Canada
- Poor start to Cannabis 2.0, with the potential growth worsened by further regulation and slow opening of stores
- No positive new news on international med/CBD
- Misuse of the remaining cash holdings
The Price Targets
Zuanic has a Neutral rating on Canopy Growth with a CA$27 price target.
Choe set his price target at $39.95 based on a technical analysis, with a fair intrinsic value of $25.54.
Canopy Growth shares were down 19.37% at $17.52 on Friday at the time of publication. The stock has a 52-week high of $44.17 and a 52-week low of $9.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Date | ticker | name | Actual EPS | EPS Surprise | Actual Rev | Rev Surprise |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
The Benzinga Cannabis Capital Conference is coming to Florida
The Benzinga Cannabis Capital Conference is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world.
Get your tickets now on bzcannabis.com – Prices will increase very soon!