|Bid||20.96 x 0|
|Ask||20.97 x 0|
|Day's Range||20.15 - 22.06|
|52 Week Range||20.15 - 70.98|
|Beta (3Y Monthly)||4.11|
|PE Ratio (TTM)||N/A|
|Earnings Date||Feb. 12, 2020 - Feb. 17, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||40.57|
The S&P 500 edged up to a record closing high at the end of a choppy day of trading. The Dow was off just slightly as declines in shares of Cisco weighed on the 30-stock index.
TORONTO — Some of the most active companies traded Thursday on the Toronto Stock Exchange:Toronto Stock Exchange (16,972.18, up 14.19 points.)Aurora Cannabis Inc. (TSX:ACB). Health care. Down 31 cents, or 6.61 per cent, to $4.38 on 8.2 million shares.Manulife Financial Corp. (TSX:MFC). Financials. Unchanged at $26.26 on 7 million shares.Canopy Growth Corp. (TSX:WEED). Health care. Down $3.49 or 14.27 per cent, to $20.96 on 5.5 million shares.The Green Organic Dutchman Holdings. (TSX:TGOD). Health care. Down nine cents, or 9.78 per cent, to 83 cents on 5.5 million shares.Encana Corp. (TSX:ECA). Energy. Down 11 cents, or 1.88 per cent, to $5.75 on 4.7 million shares.Enbridge Inc. (TSX:ENB). Energy. Down $1.37 or 2.67 per cent, to $50.00 on 4 million shares. Companies in the news:Cineplex Inc. (TSX:CGX). Up $1.22 or 5.3 per cent to $24.32. Cineplex Inc. shares rose after the company reported record high revenue for its third quarter and outperformed analyst expectations, helped by a strong film slate including "The Lion King" and "Spider-Man: Far From Home." Cineplex reported Thursday that its third-quarter profit rose to $13.4 million from $10.2 million a year earlier. Revenue grew 8.3 per cent to a record $418.4 million as theatre attendance increased 1.8 per cent due to what Cineplex called a stronger film slate compared with last year. In addition to The Lion King and Spider-Man, Cineplex attributed the strength to films such as "Fast & Furious Presents: Hobbs & Shaw," "It Chapter Two" and "Once Upon a Time in Hollywood."Freshii Inc. (TSX:FRII). Down one cent to $2.70. Freshii Inc. continued to see traffic to its health-food eateries fall during its most recent quarter, but the company believes upcoming initiatives including a loyalty program can win over consumers. Same-store sales, a key retail metric, fell 3.7 per cent for the quarter ended Sept. 29. CEO Matthew Corrin said the company's current program, which focuses on offering limited-time menu items, isn't driving new traffic. Freshii's digital marketing campaigns and other initiatives expected to roll out next year will look to lure new customers into its stores, he said.Canopy Growth Corp. — Canopy Growth Corp.'s share price hit a 2019 low Thursday after the Canadian cannabis producer posted a $374.6-million quarterly loss, missed analyst revenue estimates and warned that a key revenue target may not be achieved. The company announced that second-quarter net revenue totalled $76.6 million, which was down 15 per cent from the prior quarter and below an average estimate of $107 million compiled by financial markets data firm Refinitiv. Interim chief executive Mark Zekulin also told analysts during a conference call that his previous projection of $250 million in revenue for the company's fourth quarter, ending in March, "is increasingly unlikely."Chorus Aviation Inc. (TSX:CHR). Up five cents to $8.20. Chorus Aviation Inc. reported a profit of $24.2 million in its latest quarter as revenue increased 2.8 per cent compared with a year ago. The regional aircraft company says the profit amounted to 15 cents per share for the quarter ended Sept. 30, weighed down by a $7.1-million loss on foreign exchange. The result compared with a profit of $43.6 million or 31 cents per share a year ago when it benefited from an $11.3-million gain on foreign exchange. Operating revenue totalled nearly $351.5 million, up from $342 million.This report by The Canadian Press was first published Nov. 14, 2019. The Canadian Press
SMITHS FALLS, Ont. — The Ontario government’s inability to develop sufficient retail capacity for cannabis products is forcing Canopy Growth Corp. to revise its fourth-quarter guidance as Canada’s market "is simply not living up to expectations," says the company’s CEO."At the risk of oversimplifying, the inability of the Ontario government to license retail stores, right off the bat, has resulted in half of the expected market in Canada simply not existing," Mark Zekulin said Thursday on a call with analysts.Zekulin, who announced in August that he intends to leave Canopy after a permanent replacement is found for him and former co-chief executive Bruce Linton, said the company sees enormous global growth potential but faces difficult conditions in its home market because of a lack of retail outlets in its most populous province. He added that the company, based in Smiths Falls, Ont., is pleased to see Ontario's recently announced commitment to move towards an open allocation of retail licences where the number of stores will only be limited by market demand."This is a big deal but it cannot come soon enough," Zekulin said.He also said it's "increasingly unlikely" Canopy will achieve its target of $250 million in revenue in its fiscal fourth quarter ending in March, about 18 months after Canada allowed non-medical use of some cannabis products, but the company didn't provide a new Q4 estimate."While Canopy is geared up with product inventories, production capability and sales efforts to deliver on the $250 million objective, we do not believe at this time there will be sufficient points of retail sales in the near term to unlock the necessary Q4 demand."Retail coverage has been problematic in many parts of Canada since cannabis was legalized in October of 2018. Alberta, which has the most successful retail system in the country, has more than 300 licensed private cannabis providers for just 4.37 million people. Ontario, with 14.57 million people or 40 per cent of the nation's population, has just 24 stores — although the government is in the process of increasing that number to 75.Canopy shares plunged to $20.15 Thursday — the lowest intraday level since December 2017 — before closing at $20.96, down 14.27 per cent from the day prior.Net revenue for the second quarter totalled $76.6 million, which was down 15 per cent from the prior quarter and below an average estimate of $107 million compiled by financial markets data firm Refinitiv.Net loss was $374.6-million or $1.08 per share for the quarter ended Sept. 30 compared with a loss of $330.6 million or $1.52 per share a year ago when Canopy had fewer shares outstanding.That compared with $23.3 million in the same quarter last year before the legalization of recreational cannabis in Canada, but down from $90.5 million in its first quarter.Chief financial officer Mike Lee said that gross revenue during the quarter was $118.3 million, before provisions related to its lineup of oils and softgels, which are relatively new to Canada's legal market.He said the restructuring expense included $32.7 million in revenue provisions related to adjusted pricing and packaging to focus on a smaller portfolio of products at more competitive prices.Canopy also took a $15.9-million inventory charge related to the change in strategy which includes new retail pricing, a rationalized package assortment and a focused marketing and educational plan.In addition, Lee estimated that Ontario needs to open 40 stores every month starting in January for Canopy's supply of dried cannabis products to match consumer demand by the middle of 2020.But neither the CFO or CEO would say that Ontario store-openings will actually happen at that pace but they've assessed various scenarios to determine when demand and supply would be balanced."(Ontario's government) indicated they're going to open more stores. Everybody is pressuring them to open stores. Hopefully they're listening to calls like this and considering the impact it's having on our sector," Zekulin said. This report by The Canadian Press was first published Nov. 14, 2019.With files from Armina LigayaCompanies in this story: (TSX:WEED) The Canadian Press
Canopy Growth (TSX:WEED)(NYSE:CGC) stock price tanked 16% after earnings on Thursday, but all hope isn't lost yet.
(Bloomberg) -- Canopy Growth Corp. shares fell to the lowest in nearly two years after the pot company reported revenue that missed the lowest analyst estimate and a loss that one analyst called “astounding.”The world’s largest cannabis company by market value also said it’s unlikely to meet its previous guidance of C$250 million ($189 million) in revenue by the fiscal fourth quarter, which ends March 31.Shares fell as much as 18% Thursday to C$20.15, the lowest since December 2017. The stock has lost more than 70% since its recent highs in April amid broad-based pressure on the cannabis sector. Investors are growing increasingly impatient with companies that don’t show a clear path to profitability, and other factors ranging from a vaping-related health crisis to regulatory concerns are also weighing on shares.Chief Executive Officer Mark Zekulin said the company is still on track to achieve its other targets, including positive adjusted earnings before interest, taxes, depreciation and amortization in Canada by fiscal 2021, and full profitability in three to five years.Its expectation for gross margins above 40% by the end of the current fiscal year is “under pressure” but still “achievable,” Zekulin said in a phone interview Thursday.“There are several known factors causing the market problems,” he said. “As quickly as we see those get resolved, then the quicker we can get back on track for that C$250 million, whether it’s a month late or a quarter late, and see all the other things follow suit.”Canopy took a restructuring charge of C$32.7 million for returns, return provisions and pricing allowances in the quarter. These are primarily related to its portfolio of softgel and oil products, which haven’t been selling as well as expected. It also took an inventory charge of C$15.9 million to align its portfolio with a new retailing strategy.“We do not consider this type of adjustment to be one-time, as it reflects returns and new pricing architecture and package assortment going forward,” Bill Kirk, analyst at MKM Partners, said in a note. He called the magnitude of the Ebitda loss “astounding,” and said Canopy’s “excessive equity comp policy” was responsible for much of it.However, Zekulin said he’s confident the charges are one-time items.Overall, Canopy reported fiscal second-quarter net revenue of C$76.6 million, well below the consensus estimate of C$102.3 million, and an Ebitda loss of C$155.7 million. Analysts had expected an Ebitda loss of C$96.1 million.The company is searching for a new leader after co-CEO Bruce Linton was fired in July, and Zekulin said he’d step down once a replacement is found. The company has narrowed down its shortlist of candidates to a number “you can count on one hand,” Zekulin said, and hopes to make an announcement before the end of 2019.(Updates to add CEO comments in paragraphs 4-6, 9, 11)To contact the reporter on this story: Kristine Owram in New York at email@example.comTo contact the editors responsible for this story: Brad Olesen at firstname.lastname@example.org, Courtney Dentch, Divya BaljiFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Canopy Growth Corp (TSX:WEED)(NYSE:CGC) recently announced that it would own 40% of a joint venture with Drake. Could it bring the stock back to life?
Canopy Growth Corp (TSX:WEED)(NYSE:CGC), after plunging more than 60%, has become attractive among top marijuana stocks. Here is why.
Guard against a further Canopy Growth (TSX:WEED)(NYSE:CGC) stock crash by employing this simple strategy to protect your money.
TORONTO — Drake rapped about starting from the bottom, but his new venture in the cannabis industry is certainly a higher business.The Toronto-raised performer has signed an investment partnership to launch More Life Growth Co., a licensed cannabis producer that'll be based in his hometown.The deal, struck with Canopy Growth Corp., gives Drake a 60-per-cent stake in the More Life Growth company, while Canopy Growth will hold the remaining 40 per cent.It's the latest in a string of investment partnerships launched by Canopy Growth with some of the biggest names in entertainment, including Martha Stewart, Snoop Dogg and Seth Rogen. Gene Simmons holds a deal with B.C.-based cannabis company Invictus.But a lawyer for the deal says Drake's controlling stake makes it an exceptional transaction."This is the only time you've seen a deal be done with a celebrity like this, where Drake, through a bunch of his corporations, owns the majority stake in a company that holds a licence issued by Health Canada," said Jonathan Sherman, a securities lawyer at corporate law firm Cassels, which handled the business deal.Canopy Growth will provide all of the day-to-day operations and maintenance of the More Life cannabis production facility, which operates on a licence held by a numbered company in Toronto. The Smiths Falls, Ont.-based firm will retain all of the rights to distribute the product that is grown at the location.Under the agreement, Drake has granted More Life the exclusive rights to use certain intellectual property and brands his company owns in the sale of cannabis and cannabis-related products and accessories, in both Canada and international markets.But that doesn't mean Drake's or his popular OVO clothing brand will be splashed across cannabis packaging, pipes or hookahs. Celebrity endorsements are prohibited under Canada's cannabis regulations, which means any references to their business connection can't be explicit.In the case of More Life Growth, the deal covers the use of "More Life," a phrase Drake popularized when he gave that name to his 2017 mixtape."It's not an OVO band play, it's not a Drake brand play, the purpose of this company is to develop, promote and sell 'More Life Growth'-branded products," said Len Glickman, an intellectual property and entertainment lawyer at Cassels."What you're not going to see is Drake's face or name promoting any of those goods or services."Drake's persona could turn up in less direct ways on More Life Growth products, if past examples of celebrity partnerships are any sign.When members of the Tragically Hip invested in fellow brand Up Cannabis, allusions to the band's song titles became part of the marketing of stains. "Grace, Too" was launched as Grace, while "At The Hundredth Meridian" became simply Meridian.For Drake, his chart-topper "God's Plan" could hypothetically turn into God's Strain.The rapper is a relative latecomer to the investment boom surrounding Canadian cannabis businesses.A period of growth sparked around legalization last year has given way to widespread consolidation as cannabis growers face pressure from investors to deliver better financial results. Other setbacks, such as Ontario's stringent laws around storefront locations, have slowed expansion but left many in the industry hopeful for the future.Drake's agreement with Canopy Growth Corp. has a number of stipulations, including certain performance targets that must be met within 18 months to maintain the non-Canadian licencing rights to More Life.Canopy Growth has the right to nominate two directors to the More Life board as well as a pre-emptive right to maintain its ownership interest in the company.This report by The Canadian Press was first published Nov. 7, 2019.Companies in this story: (TSX:WEED)David Friend, The Canadian Press
Canopy Growth (TSX:WEED)(NYSE:CGC) fired former CEO Bruce Linton in July, creating volatility in the stock as shareholders loyal to Linton decried the decision.
MINNEAPOLIS — Canopy Growth Corp. founder Bruce Linton has been named executive chairman of U.S. cannabis company Vireo Health International Inc.The company says he will serve on the board of directors and work closely with Vireo chief executive and founder Kyle Kingsley.Vireo produces and sells cannabis and pharmaceutical-grade cannabis extracts.The company is licensed in 11 markets.Linton is the founder and former CEO of Canadian cannabis company Canopy Growth Corp.He was ousted from the co-CEO job — as well as chairman — at Canopy in July after Constellation said it was disappointed in the company's results.This report by The Canadian Press was first published Nov. 7, 2019.Companies in this story: (TSX:WEED)The Canadian Press