About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

Core Insights - Canadian cannabis stocks are gaining attention as sector sentiment improves, with significant exposure to the U.S. market through brands and partnerships [1] - The U.S. cannabis industry is expanding, with total sales exceeding $32 billion annually and projections to surpass $50 billion by 2030, keeping Canadian operators relevant [1] - Renewed discussions on federal cannabis reform and regulatory changes are creating momentum for Canadian cannabis stocks, which often react sharply to U.S. policy developments [1] Company Summaries Tilray Brands (TLRY) - Tilray is a diversified cannabis and consumer products company with operations in cultivation, processing, and branded product distribution, expanding into beverages and wellness products for revenue stability [3][6] - The company has exposure to the U.S. market through hemp-derived products and THC offerings, with strategic partnerships enhancing national distribution [6] - Financially, Tilray is navigating a challenging environment with modest year-over-year revenue growth, unprofitability, and improved adjusted margins across segments [7] Canopy Growth (CGC) - Canopy Growth is a prominent Canadian cannabis producer with a broad portfolio of adult-use and medical brands, including flower, vapes, edibles, and infused beverages [8][10] - The company maintains indirect exposure to the U.S. market through affiliated entities, allowing participation in the U.S. THC market without direct federal conflict [10] - Recent financial results show operational improvement with increased quarterly revenue and reduced operating expenses, although profitability has not yet been achieved [11] Aurora Cannabis (ACB) - Aurora Cannabis focuses primarily on medical cannabis, operating cultivation and distribution facilities across multiple countries, including Europe and Australia [12][14] - The company has limited direct U.S. cannabis exposure but trades on NASDAQ, providing access for U.S. investors [14] - Recent financial results indicate progress toward stabilization, with increased medical cannabis revenue and improved gross margins, while maintaining solid cash reserves [15]

Market Overview - U.S. stock futures are lower, with Dow futures down approximately 0.2% [1] Company-Specific Movements - Lightwave Logic Inc (NASDAQ:LWLG) shares fell 14.5% to $3.22 in pre-market trading following the announcement of a $35 million public offering of common stock [1] - Ascent Solar Technologies, Inc. (NASDAQ:ASTI) shares decreased by 15.1% to $3.54 after a previous increase of 34% on Monday [2] - Fractyl Health Inc (NASDAQ:GUTS) shares dropped 10.4% to $2.00 in pre-market trading [2] - Ready Capital Corp (NYSE:RC) shares fell 9% to $2.12, despite declaring a quarterly cash dividend of $0.01 per share for the quarter ended December 31, 2025 [2] - Cellectis SA (NASDAQ:CLLS) shares declined 8.4% to $4.39 following arbitration results with Servier [2] - Destiny Tech100 Inc (NYSE:DXYZ) shares decreased by 7.4% to $31.59 [2] - Kyverna Therapeutics Inc (NASDAQ:KYTX) shares fell 7.2% to $10.04 after announcing a $100 million offering [2] - Maase Inc (NASDAQ:MAAS) shares dropped 6.3% to $4.16 [2] - Argo Blockchain PLC – ADR (NASDAQ:ARBK) shares fell 6% to $5.32 after an 18% decline on Monday [2] - Canopy Growth Corp (NASDAQ:CGC) shares decreased by 5.4% to $1.57 [2] - Neogen Corp (NASDAQ:NEOG) shares fell 4.5% to $6.54 [2]

Market Overview - U.S. stock futures are lower, with Dow futures down approximately 0.2% [1] Company-Specific Movements - Lightwave Logic Inc (NASDAQ:LWLG) shares fell 14.5% to $3.22 in pre-market trading following the announcement of a $35 million public offering of common stock [1] - Ascent Solar Technologies, Inc. (NASDAQ:ASTI) shares decreased 15.1% to $3.54 after a previous jump of 34% on Monday [2] - Fractyl Health Inc (NASDAQ:GUTS) shares fell 10.4% to $2.00 in pre-market trading [2] - Ready Capital Corp (NYSE:RC) shares dipped 9% to $2.12, despite declaring a quarterly cash dividend of $0.01 per share for the quarter ended December 31, 2025 [2] - Cellectis SA (NASDAQ:CLLS) shares declined 8.4% to $4.39 following arbitration results with Servier [2] - Destiny Tech100 Inc (NYSE:DXYZ) shares decreased 7.4% to $31.59 [2] - Kyverna Therapeutics Inc (NASDAQ:KYTX) shares fell 7.2% to $10.04 after announcing a $100 million offering [2] - Maase Inc (NASDAQ:MAAS) shares dropped 6.3% to $4.16 [2] - Argo Blockchain PLC – ADR (NASDAQ:ARBK) shares fell 6% to $5.32 after an 18% decline on Monday [2] - Canopy Growth Corp (NASDAQ:CGC) shares decreased 5.4% to $1.57 [2] - Neogen Corp (NASDAQ:NEOG) shares fell 4.5% to $6.54 [2]

Core Viewpoint - Canopy Growth Corporation is making strategic moves to strengthen its position in the cannabis industry, particularly through the acquisition of MTL Cannabis Corp, while facing current stock price challenges [1][2][3]. Company Overview - Canopy Growth Corporation, listed on Nasdaq as CGC, is a significant player in the cannabis sector, involved in the production and sale of cannabis products for both medical and recreational markets [1]. - The company's current stock price is $1.66, reflecting a decrease of approximately 4.89% [3]. Recent Developments - Alliance Global Partners has adjusted its rating for Canopy Growth to Neutral and raised the price target from C$2 to C$2.50 following the announcement of the acquisition of MTL Cannabis Corp [2]. - The acquisition involves obtaining all issued and outstanding common shares of MTL Cannabis and settling associated debts, positioning Canopy Growth as a leading medical cannabis business in Canada [2]. Market Performance - Canopy Growth's stock has experienced significant volatility over the past year, with a high of $3.14 and a low of $0.77, and currently has a market capitalization of approximately $396.8 million [4]. - Today's trading volume for CGC is notably high, with 101,136,052 shares exchanged on the NASDAQ exchange [4].

Key Takeaways Weed stocks dropped Monday afternoon, reversing early gains on hopes President Trump could soon issue an executive order reclassifying marijuana. An expected reclassification from a Schedule I to a Schedule III drug would help companies in the sector reduce their taxes and relax banking restrictions. Weed stocks aren't flying so high anymore. Shares of Tilray Brands (TLRY) dropped nearly 5%, Canopy Growth (CGC) slipped 3%, and other cannabis stocks also lost ground in recent trading, reve ...

Canopy Growth Corporation ( CGC ) is the Canadian cannabis umbrella operation that grows and sells a range of cannabis, hemp, and cannabinoid-based products, largely by way of brands such as Tweed, DOJA, and 7 Acres. In addition, it ownsI focus on producing objective, data-driven research, mostly about small- to mid-cap companies, as these tend to be overlooked by many investors. From time to time, though, I also look at large-cap names, just to give a fuller sense of the broader equity markets.Analyst’s Di ...

Group 1: Canadian Tech Sector - Celestica Inc. shares fell 12.92% due to "AI skepticism," impacting the overall index negatively [1] Group 2: Canadian Cannabis Companies - Tilray Brands Inc. shares increased by 44.35%, Canopy Growth Corp. shares rose by 52.87%, Aurora Cannabis Inc. shares were up 19.04%, and Organigram Global Inc. shares increased by 16.81% following reports of potential easing of federal restrictions on cannabis by U.S. President Donald Trump [2] - The aggressive legalization in the U.S. could revitalize Canadian cannabis stocks, which had previously seen significant declines [2] Group 3: Canadian Economic Indicators - Investors are anticipating November inflation data, with a consensus forecast of 2.3% headline inflation, which will provide insights into the Canadian economy's health [3] - The Bank of Canada policy rate is currently at 2.25% [3] Group 4: U.S. Market Performance - Broadcom's shares dropped 11.4% despite reporting stronger-than-expected profits, contributing to market concerns about the AI sector [4] - Oracle's shares fell nearly 11% after reporting better-than-expected profits, raising fears about high valuations in the AI market [5] - The S&P 500 index was notably affected by declines in Broadcom and Nvidia, with Oracle's results causing disappointment among investors [5] Group 5: Market Indices and Commodities - The Dow Jones industrial average decreased by 245.96 points, the S&P 500 index fell by 73.59 points, and the Nasdaq composite dropped by 398.69 points [6] - The Canadian dollar traded at 72.63 cents US, and crude oil prices fell by 16 cents to US$57.44 per barrel, while gold prices increased by US$15.30 to US$4,328.30 per ounce [6]

Core Insights - The U.S. marijuana industry has faced stagnation due to federal inaction on reclassification or decriminalization, with cannabis classified as a Schedule I drug, limiting research and access to banking services [1][2] - President Trump's potential executive order to reclassify marijuana as a Schedule III substance could significantly impact the industry, attracting institutional investors and improving banking access [3][5][8] Industry Overview - The U.S. marijuana market is valued at approximately $32 billion, with state-level sales exceeding $30 billion annually, yet investors remain cautious due to the Schedule I classification [3][8] - Reclassification could double industry growth rates to 20% annually, although full effects may take 12 to 18 months due to rulemaking delays [8] Company Impacts Tilray Brands (TLRY) - Tilray could benefit from eased U.S. entry and the ability to import medical products interstate, with fiscal 2025 revenue reaching $821 million, up 4% [9] - The end of the 280E tax penalty could boost after-tax profits by 40% to 70%, allowing for expansion [10] Canopy Growth (CGC) - Canopy Growth, already profitable in Canadian medical sales, could see significant savings of $50 million to $70 million annually from eased tax burdens, funding U.S. market entry [12][13] - The company aims for a 30% increase in EBITDA by 2027, leveraging its global presence [13] Aurora Cannabis (ACB) - Aurora Cannabis stands to gain from reclassification, which would ease research and distribution of its pharmaceutical-grade products [14] - The company reported a fiscal Q2 2026 net income of $81 million Canadian, with potential for 15% revenue growth [15] Legislative Context - Trump's executive order aims to bypass administrative hearings and expedite marijuana's shift to Schedule III, which recognizes moderate abuse potential and accepted medical value [5][10] - While reclassification does not fully legalize marijuana, it could unlock significant changes in the industry landscape [7][10] Market Sentiment - Following news of the potential executive order, cannabis stocks like Tilray, Canopy Growth, and Aurora Cannabis saw double-digit percentage gains, indicating renewed investor interest [4][6]

Core Insights - Cannabis stocks experienced significant gains following reports that President Trump may soon reclassify marijuana to a less dangerous substance, with Tilray Brands (TLRY) rising nearly 30% and Canopy Growth (CGC) increasing by almost 40% [1][6] Industry Impact - The potential reclassification of marijuana from a Schedule I drug to a Schedule III drug would alleviate financial and regulatory burdens on cannabis producers, potentially enhancing financial access for these companies [3][5] - Currently, marijuana remains illegal under federal law, despite its legalization in many states for medicinal or recreational use, which limits research and imposes stricter penalties [4] - A lower classification would benefit the cannabis industry by reducing taxes and easing banking regulations, allowing for greater use of credit cards and other financial services [5]