Canopy Growth (TSX: WEED, NYSE: CGC) will release its financial results for the third fiscal quarter of 2019 after the markets close on Tuesday, February 14, 2019. Shares of the Ontario, Canada-based cannabis company bounced back in today’s morning session after it slumped 6% on Monday. Analysts expect Canopy to post a loss of CAD0.18 per share on revenue of CAD84.98 million.
For the second quarter of 2019, Canopy posted a loss of CAD1.52 per share on revenue of CAD23.3 million. The company’s loss widened in Q2 and revenue missed Street’s views. Canopy had missed the estimates for two quarters in a row so far in fiscal 2019.
During Q2, Canopy sold 2,197 kilograms and kilogram equivalents at an average sale price of CAD9.87, up from 2,020 kilograms and kilogram equivalents at an average price of CAD7.99 in the prior-year period, representing a growth of 9% and 24%, respectively.
Canopy Growth has been making strategic moves to expand its presence in the US market through acquisitions and partnerships. In December 2018, Canopy acquired Storz & Bickel for a purchase price of up to approximately EUR145 million. Last month, the company received a license from New York State to process and produce hemp. It’s also expected that more states in the US will legalize marijuana in 2019.
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All the pot stocks ended in the negative territory on Monday. Among the weed firms, Aurora Cannabis (ACB) was the first company to report its quarterly results. After reporting a revenue surge and swinging to a loss in the recently ended quarter, Aurora stock further traded down in the extended trading hours on Monday. Cronos Group (CRON), Tilray (TLRY) and Aphria (APHA) were the other worst performers in the peer group yesterday.
Year-to-date, Canopy shares had rebounded from the low levels in December 2018 and were up about 3% at 11:30 AM ET today. The stock had surged 60% so far this year and 10% in the past three months period.