Breaking the losing streak
Cannabis stocks have recently experienced weakness amid concerns surrounding a global slowdown and companies missing their earnings expectations. Nonetheless, the market saw some optimism after Canopy Growth (WEED) was added to the S&P/TSX 60 Index.
KSHB gains on earnings
KushCo Holdings (KSHB) also rose in the first half of the day, with its stock up ~3.6%. KushCo reported its fiscal 2019 second-quarter earnings results on April 11 and announced impressive top line growth of 240% year-over-year, but this growth failed to trickle down to the company’s bottom line. The company reported EPS of -$0.10 during the quarter compared to -$0.12 in the corresponding quarter a year ago.
HEXO (HEXO) was another stock that gained this morning with a rise of 1.3%, while Tilray (TLRY) rose ~0.32%. The Horizons Marijuana Life Sciences ETF (HMMJ) rose ~0.53%, while the ETFMG Alternative Harvest ETF (MJ) rose ~0.83% this morning.
While most cannabis stocks gained this morning, there were some underperformers. Slang Worldwide (SLNG) emerged as the worst performer, with its stock falling ~7.3%, followed by Innovative Industrial Properties (IIPR), which fell ~0.55%, and Aurora Cannabis (ACB), which fell 0.3%.