Core Viewpoint - Aurora Cannabis Inc. (ACB) shares have increased by 50.8% in the past four weeks, closing at $5.61, with a potential upside indicated by Wall Street analysts' price targets suggesting a mean estimate of $7.05, representing a 25.7% upside [1] Price Targets - The average of five short-term price targets ranges from a low of $5.74 to a high of $8.73, with a standard deviation of $1.30, indicating variability among analysts [2] - The lowest estimate suggests a 2.3% increase from the current price, while the highest estimate indicates a 55.6% upside [2] Analyst Consensus and Earnings Estimates - Analysts show strong agreement in revising ACB's earnings estimates higher, which is a positive indicator for potential stock upside [4][9] - The Zacks Consensus Estimate for the current year has increased by 560% due to one estimate moving higher without any negative revisions [10] Zacks Rank - ACB holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate factors, suggesting a strong potential upside [11] Caution on Price Targets - Solely relying on consensus price targets for investment decisions may not be wise, as analysts' ability to set accurate targets has been questioned [3][5] - Analysts often set overly optimistic price targets due to business incentives, which can lead to inflated estimates [6] - A low standard deviation among price targets indicates a high degree of agreement among analysts, which can be a starting point for further research [7]

Group 1: Aurora Cannabis Inc. (ACB) - Aurora Cannabis has a Zacks Rank 1 and its current year earnings estimate increased by 560% over the last 60 days [1] - The company's shares gained 35.0% over the last three months, outperforming the S&P 500's increase of 2.5% [1] - Aurora Cannabis possesses a Momentum Score of A [1] Group 2: Burke & Herbert Financial Services Corp. (BHRB) - Burke & Herbert Financial Services has a Zacks Rank 1 and its current year earnings estimate increased by 6.6% over the last 60 days [2] - The company's shares gained 4.8% over the last month, compared to the S&P 500's increase of 0.7% [2] - Burke & Herbert Financial Services possesses a Momentum Score of B [2] Group 3: BJ's Wholesale Club Holdings, Inc. (BJ) - BJ's Wholesale Club has a Zacks Rank 1 and its current year earnings estimate increased by 0.3% over the last 60 days [3] - The company's shares gained 7.1% over the last three months, outperforming the S&P 500's increase of 2.5% [3] - BJ's Wholesale Club possesses a Momentum Score of B [3]

Group 1: Aurora Cannabis Inc. (ACB) - Aurora Cannabis has a Zacks Rank of 1, indicating a strong buy recommendation [1] - The Zacks Consensus Estimate for its current year earnings has increased by 560% over the last 60 days [1] - The company's price-to-earnings ratio (P/E) is 12.59, significantly lower than the S&P's P/E of 22.21 [1] - Aurora Cannabis possesses a Value Score of B, reflecting its strong value characteristics [1] Group 2: Priority Technology Holdings, Inc. (PRTH) - Priority Technology Holdings also has a Zacks Rank of 1, suggesting a strong buy recommendation [2] - The Zacks Consensus Estimate for its next year earnings has increased by 4.1% over the last 60 days [2] - The company's price-to-earnings ratio (P/E) is 15.95, which is lower than the industry average of 24.93 [2] - Priority Technology Holdings has a Value Score of A, indicating strong value characteristics [2]

Core Viewpoint - Aurora Cannabis Inc. has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Impact - The Zacks rating system focuses on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - For the fiscal year ending March 2025, Aurora Cannabis is expected to earn $0.46 per share, reflecting a 243.8% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for Aurora Cannabis has surged by 2400% [8]. Investment Implications - Rising earnings estimates and the Zacks rating upgrade suggest an improvement in Aurora Cannabis's underlying business, likely leading to higher stock prices as investors respond positively [5][10]. - The Zacks Rank system, which categorizes stocks based on earnings estimate revisions, has a strong track record, with Zacks Rank 1 stocks averaging a +25% annual return since 1988 [7].

Industry Overview - The cannabis industry is experiencing uncertainty due to the lack of federal reform in the USA, despite individual states legalizing cannabis, leading to a complex legal landscape [1][2] - The public perception of cannabis is shifting towards acceptance, contributing to the industry's growth and potential for future success [2] Investment Opportunities - Current market conditions may present opportunities for investors to acquire marijuana stocks at lower prices, with the strategy of buying low and selling high being emphasized [3] - Several marijuana stocks are highlighted as potential investments, including Aurora Cannabis Inc., Tilray Brands, Inc., and Cronos Group Inc. [8] Company Highlights - **Aurora Cannabis Inc.**: Recently announced a three-year supply agreement with SNDL valued at $27 million, enhancing its product offerings [6] - **Tilray Brands, Inc.**: Partnered with Jet Blue to serve its Montauk Surf Beer Golden Ale on flights, expanding its market presence [9][10] - **Cronos Group Inc.**: Reported Q3 2024 earnings with net revenue of $34.3 million, an increase of $9.5 million from Q3 2023, while adjusted EBITDA improved by $9.2 million [12]

Financial Data and Key Metrics Changes - The company reported a record third quarter with net revenue of $88.2 million, representing a 37% year-over-year growth [23] - Adjusted EBITDA grew 316% to a record $23.1 million, marking the ninth consecutive quarter of positive adjusted EBITDA [24] - Net income reached $31.2 million, compared to a net loss of $17.1 million in the same period last year [24] - Cash and cash equivalents stood at $180.2 million, with no cannabis business debt [33] Business Line Data and Key Metrics Changes - Medical cannabis revenue increased by 51% to $68.1 million, with international revenue growing by 112% [25] - Medical cannabis accounted for 77% of total net revenue and 90% of adjusted gross profit, up from 70% and 84% respectively in the prior year [26] - Bevo's plant propagation segment saw a revenue increase of 22% year-over-year, reaching $8.9 million, with adjusted gross margins improving to 40% [29] Market Data and Key Metrics Changes - International revenue now comprises 60% of global medical cannabis net revenue, surpassing Canadian medical cannabis for the second consecutive quarter [10] - The company maintains a strong position in Germany, which has seen rapid growth since cannabis descheduling [15] - In Australia, the company holds the number two market share and is optimistic about expanded distribution [14] Company Strategy and Development Direction - The company focuses on a three-pronged strategy: leveraging manufacturing capabilities, sustaining medical cannabis margins, and achieving steady revenue and EBITDA growth [6][7] - The company aims to capitalize on global medical cannabis opportunities while maintaining a strong balance sheet [8] - The strategic pivot towards medical cannabis aligns with the regulatory environments in Europe and Australia, which are seen as more favorable than North America [40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting supply demands despite regulatory complexities in international markets [46] - The company anticipates continued revenue growth driven by international markets and operational efficiencies [36] - Management believes the global medical cannabis market could exceed $5 billion in the coming years, positioning the company as a key beneficiary [40] Other Important Information - The company has made significant investments in production facilities to align with EU GMP standards [104] - The balance sheet is considered one of the strongest in the global cannabis industry, with a focus on maintaining no debt [33][60] Q&A Session Summary Question: Are there any supply constraints affecting sales growth? - Management feels confident about supply capabilities despite regulatory challenges in international markets [46] Question: Were there any unique items that positively impacted Q3 results? - Management indicated there were no unusual or one-time items affecting the quarter's performance [49] Question: How does competition in international markets affect pricing and margins? - Management noted that international markets are more consolidated, which benefits companies like Aurora with significant investments [56] Question: What are the capital allocation options now that the company is free cash flow positive? - Management emphasized a cautious and opportunistic approach to capital allocation, focusing on profitable growth opportunities [60] Question: Can you provide insights on the sustainability of the 74% gross margin in medical cannabis? - Management expects margins to remain favorable due to operational efficiencies and a shift towards higher-margin international markets [71] Question: What is the growth outlook in Germany post-descheduling? - Management reported continued patient growth in Germany, although precise sales growth figures are difficult to ascertain [74] Question: What is the breakdown of product types in international markets? - The majority of sales in international markets consist of flower and oil, with a growing presence of finished goods products [84] Question: How does the company view the consumer cannabis segment going forward? - Management remains active in the consumer segment but prioritizes higher-margin medical cannabis opportunities [98]

INVESTOR PRESENTATION Disclaimer CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Certain information contained in this presentation constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this presentation that are not statements of historical fact may be deemed to be forward-looking statements. Forward looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "potential", "believe", "intend" or the negative ...

Earnings Performance - Aurora Cannabis reported quarterly earnings of $0 06 per share, beating the Zacks Consensus Estimate of $0 04 per share, representing a 50% earnings surprise [1] - The company posted revenues of $63 04 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 9 50% and showing an increase from year-ago revenues of $53 34 million [2] - Over the last four quarters, the company has surpassed consensus EPS estimates four times and topped consensus revenue estimates three times [2] Stock Performance and Market Comparison - Aurora Cannabis shares have lost about 13 4% since the beginning of the year, underperforming the S&P 500's gain of 2 7% [3] - The stock's immediate price movement will depend on management's commentary on the earnings call [3] Earnings Outlook and Estimate Revisions - The current consensus EPS estimate is $0 15 on $59 38 million in revenues for the coming quarter and -$0 10 on $220 99 million in revenues for the current fiscal year [7] - The estimate revisions trend for Aurora Cannabis is mixed, translating into a Zacks Rank 3 (Hold), indicating the shares are expected to perform in line with the market in the near future [6] Industry Context - Aurora Cannabis belongs to the Zacks Medical - Products industry, which is currently in the bottom 46% of the 250 plus Zacks industries [8] - The top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8] Peer Comparison - Curaleaf Holdings, Inc (CURLF), another stock in the same industry, is expected to post a quarterly loss of $0 07 per share, representing a year-over-year change of -600% [9] - Curaleaf Holdings, Inc's revenues are expected to be $331 87 million, down 3 9% from the year-ago quarter [10]

Core Viewpoint - Aurora Cannabis Inc. has launched its first domestically produced medical cannabis product in Germany, under the brand IndiMed, marking a significant step in the company's expansion in the German market following the country's cannabis decriminalization earlier this year [1][2]. Group 1: Product Launch - The new product, Island Sweet Skunk, is a dried flower sativa with 20% THC and less than 1% CBD, expected to be available on January 27 [2]. - IndiMed is cultivated under GACP and EU-GMP guidelines to ensure pharmaceutical-grade quality, with flowers harvested by hand and tested for purity and active ingredient content [2]. Group 2: Market Positioning - Aurora is one of three facilities licensed to cultivate cannabis in Germany, positioning the company uniquely to offer domestic products from its EU-GMP facility in Leuna [2][4]. - The company emphasizes its expertise in navigating complex European regulatory frameworks and its commitment to innovation, reinforcing its status as a leader in the global medical cannabis industry [3][4]. Group 3: Company Overview - Aurora Cannabis Inc. operates in multiple markets including Canada, Europe, Australia, and South America, with a diverse brand portfolio catering to both medical and consumer markets [5]. - The company is recognized as the world's largest medical cannabis company operating in nationally legal markets, continually setting new global benchmarks [4].

Core Points - Aurora Cannabis Inc. has scheduled a conference call to discuss its third quarter 2025 financial results on February 5, 2025, at 8:00 a.m. Eastern Time [1][2] - The company will report its financial results before the market opens on the same day [1] - Miguel Martin, Executive Chairman and CEO, and Simona King, CFO, will host the conference call [2] Company Overview - Aurora Cannabis is a leading global medical cannabis company based in Edmonton, Alberta, serving medical and consumer markets across Canada, Europe, Australia, and South America [3] - The company offers a diverse portfolio of adult-use brands, including Drift, San Rafael '71, Daily Special, Tasty's, Being, and Greybeard, as well as medical cannabis brands like MedReleaf, CanniMed, Aurora, and Whistler Medical Marijuana Co [3] - Aurora holds a controlling interest in Bevo Farms Ltd., a major supplier of propagated agricultural plants in North America [3] - The company emphasizes science and innovation, focusing on high-quality cannabis products to lead in the medical, wellness, and adult recreational markets [3][4]