Investor Intelligence: Rapid Reactions

Time-sensitive analysis of major developments as they unfold.

TRST warned on noncompliance, Charlotte’s Web’s CPG hiring, Harvest Health EBITDA & more

TRST gets non-compliant letter from Canadian regulator Yet more bad news for CannTrust – the latest in a monthlong string. On Monday, the company received a report from Health Canada that their Vaughan, Ontario, facility is not fully compliant with regulations. The negative events included discovery of unlicensed grow operations in other facilities, the CEO resigning, […]

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Aurora Cannabis unfazed by revenue miss, Columbia Care anticipates over 50% gross margin potential & more

Earnings reports started to ramp this past week. Here are some key takeaways that especially caught our attention at Investor Intelligence this week: Cronos’ EBITDA guidance As detailed in in our Rapid Reaction, Cronos Group shares traded down 4% on Thursday as the Toronto-based company guided larger adjusted EBITDA losses that are larger in the second half […]

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Rapid Reaction: Cronos guides larger EBITDA losses to grow US CBD market

Guidance for larger EBITDA losses – and it makes sense Cronos Group on Thursday reported strong Q2 results through the end of June with revenue of CA$10.8 million, well ahead of consensus estimates of CA$7.3 million, and inline gross margin of 53.5%. The Toronto company’s adjusted EBITDA loss of CA$17.8 million was larger than the […]

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Rapid Reaction: After strong earnings, Aphria guides to stronger EBITDA margins for 2020

What a difference a quarter makes! Aphria went from governance issues resulting in senior management changes earlier in 2019 to posting a strong quarter and an even stronger 2020 profit forecast than investors expected. Revenue for the fiscal fourth quarter ended May 31, 2019, was CA$128 million ($97 million) versus expectations of CA$104 million. The […]

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Weekly Wrapup: Beyond the headlines for the week ended July 26, 2019

It was another incredibly busy week in the cannabis industry – where the only constant is change – including several events that reinforced the importance of rigorous investor due diligence. On Friday, GW Pharmaceuticals announced that the Committee for Medicinal Products for Human Use (CHMP) recommended approval of the British company’s cannabis-based medicine, Epidiolex. Epidiolex received U.S. Food […]

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Weekly Wrapup: Beyond the headlines for the week ended July 19, 2019

After a slight break, we’ve returned to megadeals in cannabis. The big news this week was Curaleaf’s acquisition of Grassroots Cannabis to create one of the largest cannabis companies in the world, sending the company’s stock up about 20% since the announcement Wednesday. As we noted in our deeper review, the cash and fixed-equity value […]

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Weekly Wrapup: Beyond the headlines for the week ended June 28, 2019

While federal changes are still slow to come, state-level legislation is creating significant new opportunities for cannabis investors. Here’s a recap of the top newsmakers and deals that caught our eyes here at Investor Intelligence this week. High times in Colorado If you missed this week’s executive webcast with Viridian Capital Advisors, well, you missed […]

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