Key Takeaways TLRY and CGC are gaining attention as regulatory changes and global growth reshape the cannabis industry.TLRY posted strong overseas growth, expanded beverages and delivered major cost savings via Project 420.CGC improved margins, cut expenses and ended the quarter with cash exceeding debt by $70 million.The global cannabis market is rapidly evolving, with President Trump’s decision to federally reschedule marijuana in the United States representing one of the most consequential regulatory shi ...

Core Viewpoint - Canopy Growth has faced significant challenges in the market, with its share price dropping 58% in 2025 and 46% the previous year, leading to a bleak outlook for the company as it struggles to grow and hopes for U.S. marijuana legalization remain unfulfilled [1][2]. Financial Performance - Canopy Growth reported cannabis net revenue of CA$51 million, a 12% increase compared to the previous year, and significantly reduced its net loss from CA$128.3 million to CA$1.6 million due to lower impairment and restructuring expenses, along with increased other income [5]. Market Sentiment - Despite the negative sentiment surrounding Canopy Growth, the current low share price may attract contrarian investors, especially with the upcoming earnings report on February 6, 2026, which could potentially provide a short-term boost if results exceed expectations [2][3]. Historical Context - Historically, Canopy Growth has not been a favorable investment, with past earnings often leading to temporary stock price increases followed by declines, indicating a lack of sustainable growth and profitability [6][7]. Operational Challenges - The company has incurred over CA$88 million in operational losses over the past year, highlighting its poor position for future growth and reinforcing its reputation as a risky investment [7].

Core Insights - The Canadian cannabis sector is evolving with companies adapting to changing consumer demands and global regulations, presenting long-term investment opportunities despite volatility [1][2] - U.S. federal reform is influencing sentiment among Canadian operators, with many maintaining indirect exposure to the U.S. market [1][3] Industry Overview - Companies are diversifying to stabilize revenue during downturns and focusing on cost control and operational efficiency to navigate tighter capital markets [2] - Strong balance sheets provide an advantage to resilient operators as weaker competitors retrench [2] - The sector is prioritizing profitability, cash preservation, and scalable growth over rapid expansion, making financial performance increasingly relevant [4] Company Strategies - **Tilray Brands, Inc. (TLRY)**: Diversified across cannabis, wellness, beverage alcohol, and consumer packaged goods, helping stabilize revenue during slowdowns. It has a strong international presence and indirect access to the U.S. market through hemp-derived products [5][6][10] - **Canopy Growth Corporation (CGC)**: Focused on adult-use and medical cannabis with a disciplined strategy. It has structured interests in U.S. THC and wellness businesses, positioning itself for regulatory changes while maintaining a strong retail presence in Canada [12][15][16] - **Village Farms International, Inc. (VFF)**: Combines cannabis and traditional agriculture, focusing on cultivation efficiency and wholesale distribution rather than dispensary ownership. It has shown significant revenue growth and strong cannabis margins [18][21][22] Financial Performance - Tilray has shown improving stability with record quarterly revenue, supported by beverage alcohol acquisitions and steady cannabis sales. It has moved into a net cash position, emphasizing cost controls and operational discipline [10][11] - Canopy Growth has made measurable progress with improving revenue trends and declining operating expenses, although profitability remains a challenge [16][17] - Village Farms has reported strong revenue growth and record cannabis margins, with positive cash flow supporting its balance sheet strength [21][22]

Get alerts: Tilray Brands, Canopy Growth, Aurora Cannabis, Silver Spike Investment, and Cronos Group are the five Cannabis stocks to watch today, according to MarketBeat’s stock screener tool. Cannabis stocks are shares of publicly traded companies whose primary businesses involve the cannabis industry, including cultivation, processing, distribution, retail, biotech research on cannabinoids, and ancillary products or services. For investors, these stocks typically carry higher regulatory and legal risk a ...

Group 1 - Canopy Growth Corporation (CGC) closed at $1.17, with a daily increase of +2.8%, outperforming the S&P 500's gain of 0.55% [1] - The stock has decreased by 12.98% over the past month, underperforming the Medical sector's gain of 0.19% and the S&P 500's gain of 0.71% [1] Group 2 - The upcoming earnings disclosure for Canopy Growth Corporation is anticipated, with projected earnings per share (EPS) of -$0.03, reflecting a 96.05% increase from the same quarter last year [2] - Revenue is forecasted to be $50.59 million, indicating a 5.34% decline compared to the same quarter of the previous year [2] Group 3 - For the entire fiscal year, Zacks Consensus Estimates predict an EPS of -$0.21 and revenue of $199.68 million, showing changes of +92.95% and +3.3% respectively from the previous year [3] Group 4 - Recent changes to analyst estimates for Canopy Growth Corporation indicate short-term business trends, with positive revisions suggesting optimism about the business outlook [4] - Estimate changes are correlated with near-term stock prices, and the Zacks Rank system has been developed to capitalize on this correlation [5] Group 5 - The Zacks Rank system ranges from 1 (Strong Buy) to 5 (Strong Sell), with 1 stocks delivering an average annual return of +25% since 1988 [6] - Canopy Growth Corporation currently holds a Zacks Rank of 3 (Hold), with no changes in the Zacks Consensus EPS estimate over the past month [6] Group 6 - The Medical - Products industry, part of the Medical sector, holds a Zacks Industry Rank of 156, placing it in the bottom 37% of over 250 industries [7] - The Zacks Industry Rank assesses the strength of industry groups, with top-rated industries outperforming the bottom half by a factor of 2 to 1 [7]

President Donald Trump's recent executive order urging the Department of Justice to reschedule cannabis to Schedule 3 is being hailed as the "most consequential federal cannabis policy shift" in over 50 years.Dan Ahrens, portfolio manager of the AdvisorShares Pure US Cannabis ETF (NYSE:MSOS) , says the move could finally dismantle the crippling tax regime that has stifled American cannabis operators for decades.The End Of ‘Narcotics Trafficker’ StatusAhrens told Yahoo Finance that the immediate financial ca ...

Company Performance - Canopy Growth Corporation (CGC) closed at $1.19, reflecting a -2.87% change from the previous day, underperforming the S&P 500's daily loss of 0.06% [1] - Over the past month, shares of Canopy Growth have decreased by 27.81%, while the Medical sector has lost 0.79% and the S&P 500 has gained 1.99% [1] Earnings Estimates - The upcoming earnings release for Canopy Growth is projected to show an earnings per share (EPS) of -$0.03, which represents a 96.05% increase from the same quarter last year [2] - Revenue is estimated to be $50.59 million, indicating a 5.34% decline compared to the corresponding quarter of the previous year [2] Full Year Projections - For the full year, the Zacks Consensus Estimates project an EPS of -$0.21 and revenue of $199.68 million, reflecting changes of +92.95% and +3.3% respectively from the prior year [3] - Recent changes to analyst estimates suggest evolving short-term business trends, with positive revisions indicating analyst optimism regarding the company's profitability [3] Zacks Rank and Industry Performance - Canopy Growth currently holds a Zacks Rank of 3 (Hold), with the Zacks Consensus EPS estimate remaining unchanged over the last 30 days [5] - The Medical - Products industry, which includes Canopy Growth, has a Zacks Industry Rank of 162, placing it in the bottom 34% of over 250 industries [6]

Industry Overview - The cannabis industry is projected to reach new heights by 2026, driven by increased partnerships and consumer demand, alongside a favorable political climate in the US [1][3] - Positive speculation surrounds the cannabis sector for 2026, suggesting potential growth in marijuana stocks [1] Company Performance - Tilray Brands, Inc. reported a record Q2 fiscal 2026 net revenue of $218 million, indicating a strong financial position and reaffirming full-year adjusted EBITDA guidance [6][7] - Canopy Growth Corporation has taken steps to recapitalize its balance sheet, extending the maturity dates of all outstanding debts to January 2031, which positions the company for future growth [11][12] - Village Farms International, Inc. has entered the Dutch cannabis market by launching 10 new product offerings through its subsidiary Leli Holland [14] Investment Opportunities - Key marijuana stocks to watch for potential investment returns include Tilray Brands, Inc. (NASDAQ: TLRY), Canopy Growth Corporation (NASDAQ: CGC), and Village Farms International, Inc. (NASDAQ: VFF) [8]

Core Insights - Canopy Growth's stock is trading at less than $2, raising questions about its attractiveness as an investment given the current market conditions [1] Group 1: Market Performance - Canopy Growth is one of the largest cannabis producers in Canada, with a diverse product portfolio including dried cannabis, vapes, and cannabis-infused drinks [3] - The Canadian cannabis market has been disappointing, with limited growth opportunities, significant competition, and ongoing legal and regulatory challenges affecting all Canadian cannabis companies [4] - The overall cannabis industry in Canada has experienced slow revenue growth and consistent net losses, indicating systemic issues rather than company-specific problems [5] Group 2: U.S. Market Dynamics - Recent developments in the U.S. cannabis market, such as the reclassification of cannabis by President Trump, may improve conditions for U.S. cannabis companies but are unlikely to benefit Canopy Growth significantly [5][6] - Cannabis remains illegal at the federal level in the U.S., creating challenges for companies, including high operational costs and difficulties in profitability [7] - Canopy Growth's U.S. subsidiary will face intense competition, similar to what it experiences in Canada, limiting its potential for recovery [7]

Core Viewpoint - Canopy Growth has experienced a significant decline in value, losing over 99% in the past five years, and is now considered one of the worst-performing stocks in that period [1] Company Overview - Canopy Growth, once a leading Canadian marijuana company, is currently facing challenges and has shifted focus towards cost-cutting and limiting cash burn [6] - The company has a market capitalization of $500 million, which has garnered attention due to recent news regarding the U.S. rescheduling of marijuana [2] Industry Developments - The U.S. government has rescheduled marijuana from a Schedule I to a Schedule III substance, which will facilitate research and reduce tax burdens for multi-state operators [3][4] - This rescheduling is seen as a potential first step towards broader marijuana legalization, although it does not directly benefit Canopy Growth as a Canadian producer [7] Financial Performance - In the most recent quarter ending September 30, Canopy Growth reported an operating loss of CA$16.9 million (approximately $12.2 million), an improvement from CA$45.9 million in the same quarter the previous year [8] - The company's cash burn rate has decreased significantly, with CA$28.3 million used in the last six months compared to CA$105.6 million in the same period a year ago [8]