I Think Canopy Growth Is Already Priced For Rescheduling

Grassroots Trading2.49K FollowersFollow5ShareSavePlay(13min)CommentsSummaryCanopy Growth Corporation is rated Hold due to execution risks and uncertainty around U.S. marijuana reclassification timing.Reclassification could boost after-tax profit by 40–70% and enable U.S. expansion, but operational gaps and supply chain issues persist.CGC's Canadian business shows improving margins and cost controls, but international revenue fell 39%, and vaporizer sales declined 10%.Valuation looks discounted, but cash burn, dilution risk, and delayed regulatory benefits temper near-term upside despite the recent CGC stock surge. Jordan Siemens/DigitalVision via Getty Images Thesis 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 owns This article was written byGrassroots Trading2.49K FollowersFollowI 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 Disclosure:I/we have a beneficial long position in the shares of CURLF either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.