munKNEE.com Your Key to Making Money
The 5 largest licensed producers (LPs), as tracked in our munKNEE Canadian Cannabis LPs Index, are ranked below in descending order as to:
- their stock performances in March and year-to-date (YTD),
- their likelihood of Financial Distress within the next 2 years (according to data from macroaxis.com),
- their average 12-month Price Targets (from SeekingAlpha.com),
- the extent of Short Interest,
- the degree of Insider Ownership and
- their current market capitalizations.
An original article by Lorimer Wilson, Managing Editor of munKNEE.com (Your KEY To Making Money!)
- Cronos (CRON): DOWN 1.5% in March; DOWN 23.0% YTD
- 18 analysts:
- have an average 12-month price target representing a 46.9% increase from its March 31st price and
- have a consensus BUY rating.
- In addition, CRON has:
- a 2% chance of Financial Distress within 2 years,
- a Short Interest (the number of shorted shares divided by the number of shares outstanding) of only 3.7%,
- an Insider Ownership (directors and senior officers or other beneficial holders with 10% or more of the common shares) of only 5.1% and
- a current market capitalization of $717M.
- Altria Group (MO) has a 45% stake in CRON
- 18 analysts:
- Tilray (TLRY): DOWN 10.6% in March; DOWN 5.2% YTD
- 22 analysts:
- have an average 12-month price target representing a 68.0% increase from its March 31st price and
- have a consensus BUY rating.
- In addition, TLRY has:
- a 68% chance of Financial Distress within 2 years,
- a Short Interest of only 7%,
- an Insider Ownership of only 1.3% and
- a current market capitalization of $1,560.0B.
- Anheuser-Busch (BUD) has a $100 million joint venture with TLRY.
- 22 analysts:
- Aurora (ACB): DOWN 16.7% in March; DOWN 21.3% YTD
- 14 analysts:
- have an average 12-month price target representing a 132.9% increase from its March 31st price and
- have a consensus HOLD rating.
- In addition, ACB has:
- a 78% chance of Financial Distress within 2 years,
- a Short Interest of only 8.7%,
- an Insider Ownership of only 0.12% and
- a current market capitalization of $225.1M
- received a Nasdaq notice on March 27th that the company is no longer in compliance with the minimum bid price requirement as the price has been below $1.00 for a period of 30 consecutive business days and has been granted a period of 180 calendar days or until September 20, 2023 to regain compliance with the minimum bid price requirement.
- 14 analysts:
- OrganiGram (OGI): DOWN 19.0% in March; DOWN 17.9% YTD
- 15 analysts:
- have an average 12-month price target representing a 104.7% increase from its March 31st price and
- have a consensus BUY rating.
- In addition, OGI has:
- a 49% chance of Financial Distress within 2 years,
- a Short Interest of only 2.1%,
- an Insider Ownership of only 0.09% and
- a current market capitalization of $204.2M
- British American Tobacco (BTI) has invested C$221M in a product development partnership with OGI
- 15 analysts:
- Canopy Growth (CGC): DOWN 24.2% in March; DOWN 2.9% YTD
- 23 analysts:
- have an average 12-month price target representing a 46.9% increase from its March 31st price and
- have a consensus SELL rating.
- In addition, CGC has:
- a 53% chance of Financial Distress within 2 years,
- a Short Interest of 16.1%,
- an Insider Ownership of only 0.09% and
- a current market capitalization of $902.1M.
- Constellation Brands (STZ) has a 39% stake in CGC.
- 23 analysts:
In total, the sum total of the above 5 constituents in the munKNEE Canadian Cannabis LPs Index:
- had an average price change of -13.5% in March and are now -17.2% YTD. That compares with -15.7% in March and -20.1% YTD for the munKNEE American Cannabis MSOs Index and
- have an average 12-month price target representing a 68.1% increase from their average March 31st prices compared to the 7 constituents in the munKNEE American Cannabis MSOs Index which have a forward price target representing only a 230.4% increase.