Why Did Tilray Stock Pop Today?

Group 1 - Alliance Global Partners has cut its price target for Tilray Brands (TLRY) stock by 25%, from $1 to $0.75 per share, citing softness in international cannabis and alcohol sales [1][3] - Despite the price target cut, Tilray's stock price increased by 15.8% as of 2:05 p.m. ET on Tuesday, indicating an unexpected investor reaction [1][3] - Tilray generates 25% of its revenue and 40% of its gross profit from alcoholic beverages, which is significant for its overall financial performance [3] Group 2 - Tilray has not reported a profit since 2018 and has never generated positive free cash flow (FCF) [4][5] - Analysts do not expect Tilray to become profitable before 2029, although there are forecasts for positive FCF in 2026 [5] - Given the company's historical performance, there is skepticism regarding its ability to achieve positive FCF in the near future, leading to a recommendation to sell the stock [5]