Canopy Growth: Not Going Well

Canopy Growth continues to prep for markets that aren't ready for its cannabis products.
The company forecasts current quarter harvests of 34,000 kg will nearly quadruple the December quarter levels while demand has soured.
Canopy Growth reported a massive C$97 million adjusted EBITDA loss that shocked the market.
Money-losing stocks aren't likely to maintain a rich EV/S multiple of 11x FY21 revenue estimates (numbers analysts are likely to cut).
On the path to inevitable success, Canopy Growth (CGC) continues to hit bumps in the road. The stock fell 8% following the release of outdated March quarterly results, in another sign that the leading cannabis company and the sector just aren't ready for prime time yet. My bearish investment case remains intact.
Read the full article on Seeking Alpha. 
July 3 Update
CEO Bruce Linton was fired and the stock is no trading solidly below $40. 
Check out WhoTrades for timely updates on the subject. 

Disclosure: No position mentioned. Please review the disclaimer page for more details. 


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