Canopy Growth (NASDAQ: CGC ) is a premier Canadian cannabis company. Granted, Canopy Growth isn’t in perfect financial condition. That’s likely true for every canna-business.
Canopy Growth stock can rise as the company improves. I’m not suggesting that 2024 will be bubble-icious like 2018 was. Canopy Growth’s shareholders should be cautious and avoid price chasing and over-investing.
Canopy Growth’s recent results show progress in closing the profitability gap. Canopy Growth: Don’t Expect Too Much When I said, “closing the profitability gap,” I hinted that Canopy Growth isn’t currently a profitable company. However, Canopy Growth is narrowing its losses.
Again, this isn’t 2018 and Canopy Growth won’t hit $500 soon. On the other hand, $15 is possible and realistic. It’s all about improvement, not perfection.
In the third quarter of fiscal 2024 (which ended on Dec. 31, 2023), Canopy Growth reported a net loss of 216.797 million CAD , versus a net loss of 264.
376 million CAD in the year-earlier quarter. Then, in fiscal 2024’s fourth quarter (which ended March 31, 2024), Canopy Growth’s net loss narrowed even further to 92.337 million CAD .
I’m not concluding that Canopy Growth will be income-positive tomorrow or next week, but there’s certainly a positive trend going on here. Canopy Growth’s Growing Cash Pile How did Canopy Growth manage to narrow its profitability gap? The company increased its net revenue by 7% year over year in Q4 of FY2024, .
