Cannabis Countdown: Top 10 Marijuana Stock News Stories Of The Week – Earnings SZN Edition
Without further ado, let’s get started.
Shares of CannTrust (NYSE:CTST) tumbled nearly 28% today after the company released news this morning informing investors that Health Canada has rated the company’s Vaughan, Ontario facility as non-compliant.
CannTrust’s latest woes may pale in comparison to a possible SEC investigation.
The company says that the syndicate behind the facility has agreed to expand it to roughly CDN $360 million from the previous level of CDN $200 million.
The Green Organic Dutchman released its Q2 earnings recently, and its stock dropped more than 15%. What went wrong?
Despite TGOD stock enjoying a slight surge last week after the company announced it has applied to list on the NASDAQ, yesterday’s Q2 earnings results did little to reinforce speculators’ optimistic sentiment.
Acreage Holdings (CSE:ACRG) (OTCQX:ACRGF) reported its second-quarter earnings results on August 13. The company reported stellar revenue growth of $17.7 million, a rise of almost 501% from the same quarter a year ago.
While the company reported stellar top line growth, it wasn’t profitable during the quarter.
Trulieve Cannabis (CSE:TRUL) (OTCQX:TCNNF), a Florida-based multistate operator, reported record revenue of $57.9 million for the second quarter, up 149% compared with $23.3 million during the same period a year ago.
Revenue for the six-month period ended June 30 totaled $102.4 million, nearly triple the $38.5 million the company posted during the second quarter last year.
“We are experiencing increased momentum with large retailers as consumer awareness and interest in CBD grows.” – said Deanie Elsner.
Last month Charlotte’s Web announced a colossal 1,350 store CBD distribution deal with Kroger.
Aleafia Health (TSX:ALEF) (OTCQX:ALEF), a leading Canadian cannabis stock with a network of 40 cannabis clinics across Canada, reported Q2/19 financials results before markets opened on August 14, 2019.
The financials were highlighted by revenue of $3.8M, an increase of 152% quarter over quarter. Importantly, we note that this quarter did include significant revenues from Emblem.
Medipharm Labs (TSX:LABS) (OTCQX:MEDIF) filed its second quarter earnings after the bell this evening, reporting revenues of $31.47 million for the three month period ended June 30, 2019, and a net income of $1.96 million after tax, making it one of few cannabis focused firms to post a profitable quarter.
Medipharm also has a fairly strong balance sheet, posting a cash reserve of $72.72 million, and trade receivables of $25.36 million. Total current assets filled out to $142.92 million, and overall assets of $174.31 million.
Similar to other marijuana stocks that have unveiled their results lately, the company showed significant revenue growth but a deeper loss on the bottom line.
The majority of noteworthy marijuana stocks dropped anywhere from 5% – 15% as the market fully digested the dismal financials.
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