Curaleaf Holdings (OTCMKTS:CURLF) acquired a “Select” brand in February 2020. Due to the brand’s high quality and best product experience, it received positive feedback in medical and adult-use markets. Currently, Curaleaf has introduced the brand in nine states including Oregon, California, Nevada, Arizona, Colorado, Michigan, Maryland, Oklahoma, and Connecticut. On Tuesday, the company announced its plans to expand the brand to other states including Maine, Massachusetts, Ohio, and Florida by August.
Earlier this month, Curaleaf introduced its Select brand in Connecticut. The company plans to launch Select Elite and Select Nano Gummies across dispensaries in Massachusetts on July 3. Also, Curaleaf plans to launch a portfolio of Select Elite oil cartridges and Select Nano Gummies in Maine in late July. The company targets mid-August for Ohio and Florida’s medical markets.
Speaking about the expansion plans, Curaleaf’s president, Joe Bayern, said, “As a mission-driven company, Curaleaf is committed to improving the lives of our patients and customers across the US, providing them with high-quality cannabis products they can trust. Select has performed tremendously well in our current markets, and we are eager to share the Select experience with thousands of new medical and adult-use customers this summer as we continue to grow.”
Analysts’ ratings for Curaleaf
Last month, Curaleaf reported a mixed first-quarter performance. For the quarter, the company reported revenue of $96.5 million, which fell short of analysts’ expectations of $98.4 million. However, the adjusted EBITDA and EPS were above the expectations. Since the company reported its first-quarter earnings, Cowen and MKM Partners have raised their target prices.
On May 19, Cowen raised its target price from 7 Canadian dollars to 8 Canadian dollars. On June 4, MKM Partners raised its target price from 6.50 Canadian dollars to 8 Canadian dollars. As of June 29, analysts’ consensus target price was 14.72 Canadian dollars. The target price represents a 12-month return potential of 81.3%. Overall, analysts are bullish on the stock. Among the ten analysts, 90% recommend a “buy,” while 10% recommend a “hold.” None of the analysts recommend a “sell.”
So far this year, Curaleaf has lost 0.7% of its stock price. The weakness in the cannabis sector led to a fall in the company’s stock price. However, the better-than-expected first-quarter EBITDA and impressive fourth-quarter performance have offset some of the declines. During the same period, the ETFMG Alternative Harvest ETF (NYSE:MJ) has declined by 24.1%. Green Thumb Industries (OTCMKTS:GTBIF), Cresco Labs (OTCMKTS:CRLBF), and Charlotte’s Web Holdings (NYSEARCA:CWEB) have returned 3.6%, -38.6%, and -45.3% YTD, respectively.