With the massive guide-down miss by Hexo and The Green Organic Dutchman’s backing away from 2020 guidance, we are witnessing a resetting of especially aggressive revenue-growth expectations in the cannabis industry.
The key that both companies had in common was extremely gaudy triple-digit, revenue-growth rates that ultimately prove untenable.
But they’re probably not the only establishments in the industry aiming for the moon.
The list below ranks the growth rate of consensus revenue targets for 2020 compared with the latest reported quarter’s annualized sales.
A downloadable and sortable spreadsheet is linked here.
All data is presented in millions of U.S. dollars.
| Ticker | Company | Last Qtr Sales Annualized | Next FY CE Sales | % Change |
| NCNNF | 48North Cannabis Corp. | 1 | 93 | 6,405% |
| TGODF | The Green Organic Dutchman Holdings | 9 | 151 | 1,639% |
| FFNT-CA | 4Front Ventures Corp. | 17 | 251 | 1,354% |
| FLWPF | Flowr Corp. | 7 | 72 | 996% |
| NEPT-CA | Neptune Wellness Solutions | 13 | 137 | 948% |
| GGBXF | Green Growth Brands Inc. | 22 | 229 | 929% |
| HRVSF | Harvest Health & Recreation | 106 | 854 | 703% |
| CNTMF | Cansortium | 24 | 176 | 622% |
| SLGWF-US | Slang Worldwide | 22 | 153 | 605% |
| HEXO | Hexo Corp. | 39 | 228 | 486% |
| CRLBF-US | Cresco Labs | 120 | 690 | 477% |
| ABCS-CA | Abacus Health Products | 13 | 72 | 461% |
| AYR.A-CA | AYR Strategies | 43 | 234 | 441% |
| CRON | Cronos Group | 31 | 165 | 435% |
| PLUS-CA | Plus Products | 14 | 75 | 421% |
| CURLF | Curaleaf Holdings | 194 | 972 | 401% |
| KHRN-CA | Khiron Life Sciences Corp. | 7 | 32 | 386% |
| VREOF | Vireo Health International | 29 | 139 | 384% |
| DYMEF | DionyMed Brands | 27 | 126 | 366% |
| VGW-CA | Valens GroWorks Corp. | 27 | 122 | 352% |
| WMD-CA | WeedMD | 24 | 107 | 346% |
| CCHWF | Columbia Care | 77 | 305 | 295% |
| MJARF | MJardin Group | 23 | 90 | 290% |
| ITHUF | iAnthus Capital Holdings | 77 | 274 | 256% |
| WEED-CA | Canopy Growth Corp. | 272 | 844 | 211% |
| FIRE-CA | Supreme Cannabis Co. | 57 | 178 | 210% |
| ACRGF | Acreage Holdings | 147 | 452 | 208% |
| CWEB-CA | Charlotte’s Web Holdings | 100 | 302 | 202% |
| SVVTF | Tilt Holdings | 156 | 442 | 183% |
| GTBIF | Green Thumb Industries | 179 | 484 | 170% |
| ACB | Aurora Cannabis | 300 | 765 | 155% |
| MMNFF | MedMen Enterprises | 146 | 310 | 111% |
| IIPR | Innovative Industrial Properties | 34 | 71 | 106% |
| OGI | Organigram Holdings | 76 | 149 | 96% |
| TLRY | Tilray | 184 | 357 | 94% |
| TRST-CA | CannTrust Holdings | 73 | 137 | 88% |
| LABS-CA | MediPharm Labs Corp. | 95 | 179 | 88% |
| TGIF-CA | 1933 Industries | 14 | 25 | 82% |
| APHA | Aphria | 389 | 677 | 74% |
| GRWG | GrowGeneration Corp. | 78 | 135 | 73% |
| CVSI | CV Sciences | 67 | 115 | 70% |
| YCBD | cbdMD | 39 | 67 | 70% |
| TCNNF | Trulieve Cannabis Corp. | 232 | 386 | 67% |
| PLNHF | Planet 13 Holdings Inc. | 66 | 103 | 56% |
| ELLXF | Elixinol Global | 27 | 38 | 40% |
| KSHB | KushCo Holdings | 166 | 230 | 39% |
| VFF | Village Farms International | 214 | 285 | 33% |
| GNLN | Greenlane Holdings | 212 | 262 | 23% |
| CARA | Cara Therapeutics | 21 | 25 | 19% |
| NBEV | New Age Beverages Corp. | 265 | 314 | 18% |
Some very large growth rates are based on pending acquisitions, which may not close, but some are tied to aggressive organic growth (store openings, product line extensions, geographic expansion, etc.).
Organic growth may require financing, which, as we noted, is becoming difficult. But it always requires execution – which we’re seeing some companies start to struggle with.
As a result, overly aggressive revenue-growth targets are probably going to get cut.
