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TSE:WEED
This summary was created by AI, based on 1 opinions in the last 12 months.
Canopy Growth Corp., represented by the ticker WEED-T, has faced scrutiny from industry experts regarding its investment potential. According to reviews, one expert highlighted the company's struggles with capital returns, suggesting that the significant investments made have not yielded fruitful results, leading to concerns about wasted capital. Furthermore, this expert advocated for a need for major consolidation within the cannabis sector and improved regulatory frameworks before considering investments in such companies. Overall, the sentiment around Canopy Growth appears cautious, with experts calling for greater stability and efficiency in the cannabis industry. The challenges faced by Canopy Growth reflect broader issues in the cannabis market, emphasizing the importance of prudent investment strategies in this sector.
These stocks had run up a tremendous amount. The valuation is insane. A lot of speculation in this space. The corporate governance in this space is not strong. For any investors that have made money in this space, should be taking profits now. It’s likely natural that they will pull back now that is legalized. He does not own companies in this space.
Canopy Growth (WEED-T) vs Aurora Cannabis (ACB-T) The battle of the titans. Both companies do good things. He favors Canopy as it has a lower risk diversified growth strategy in 12 different facilities. He also likes the deal with Constellation for further diversification. Aurora is expected to grow with the expansion of the new facility near Edmonton, but he wonders if the growth will be staged and may be slower than people expect. Canopy also has an advantage given its size of existing product inventory.
He's avoided the weed space, because cannabis producers--being commodity producers--have very low profit margins. This is a gold rush now. Some companies will survive, but some won't. There are legalization challenges, especially about edibles. Canopy will survive, because Constellatioon Brands is its major backer, but doubts it can maintain its stock levels. Right now, cannabis is a total crap shoot, though Canopy is one of the strongest of the pack.