This Stock-Split Stock Is Up 90% in the Past 6 Months: Is There More Upside Ahead?

Core Viewpoint - Tilray Brands is a leading company in the cannabis industry but has faced significant challenges over the past five years, leading to poor investment performance. Despite a recent stock price increase of 90% over six months, the initiation of a reverse stock split raises concerns about its future prospects [1][3]. Company Performance - Tilray's stock price rose due to catalysts such as potential cannabis legalization in the U.S. and an unexpected profit reported in the first quarter of fiscal year 2026 [5][6]. - The company implemented a 1-for-10 reverse stock split to avoid delisting from the Nasdaq, indicating underlying performance issues [3]. Market Conditions - The cannabis market has been plagued by regulatory challenges, and the recent momentum towards legalization remains speculative. Actual legal changes have included restrictions that negatively impact Tilray [7][8]. - Organic revenue growth for Tilray has been inconsistent, with net losses being common, reflecting ongoing doubts about the cannabis industry's viability in North America and beyond [8]. Future Outlook - The outlook for Tilray suggests it may continue to be a poor investment choice over the next five years, with recommendations to avoid the stock [9].