Latest news with #TLRY
Business Insider
a day ago
- Business
- Business Insider
What's Driving the Wild Swings in Tilray Stock (TLRY)?
Shares of Tilray Brands (TLRY) kicked off last week on a positive note after President Donald Trump said he is considering a proposal to reclassify marijuana as a less dangerous drug. Nonetheless, the stock ended the week with a 10.5% drop on Friday. Overall, TLRY stock has gained nearly 35% over the past five trading days, though it remains down more than 30% year-to-date. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. For context, Tilray Brands produces and distributes cannabis, hemp-based foods, and alcoholic beverages across multiple markets. What's Behind TLRY's Moves? Speaking to reporters in the White House briefing room, Trump said the review of marijuana's classification is in progress, and a decision could come within the next few weeks. He added that he hopes the decision 'will be the right one.' The proposed change would move marijuana to Schedule III, which is a category for drugs with accepted medical uses and lower abuse potential. Right now, U.S. law classifies cannabis as a Schedule I drug under the Controlled Substances Act, putting it in the same category as highly dangerous drugs like heroin. Nonetheless, the proposal is currently under review by the U.S. Drug Enforcement Administration (DEA). Separately, Tilray confirmed it is seeking an extension from Nasdaq to regain listing compliance. This disclosure has likely fueled volatility and contributed to the price reversal on Friday. What Does It Mean for TLRY? If marijuana is reclassified as less dangerous, it could lift TLRY stock by easing rules for cannabis companies in the U.S. Such a change would ease restrictions, expand medical and commercial opportunities, and attract more investors. Overall, TLRY stock has remained volatile in the past year. However, a move of this size is rare even for Tilray, suggesting the news had a major impact on how the market views the company. Is TLRY a Good Buy? TLRY stock based on two Buys and four Holds assigned in the past three months. Furthermore, the average Tilray stock price target of $0.94 per share implies a downside of over 10% from the current level.
Yahoo
3 days ago
- Business
- Yahoo
Dear Tilray Stock Fans, Mark Your Calendars for September 21
Tilray (TLRY) shares are down more than 7% in morning trading today after the cannabis company confirmed it has requested an extension to regain compliance with the minimum listing requirements of the Nasdaq Exchange. In March, the company initially reported that the Nasdaq had given it 180 days to meet listing requirements, putting its deadline at Sept. 21. 'With this extension request, we are giving the market additional time to demonstrate confidence in our long-term strategy,' said CEO Irwin Simon in a press release this week. If the Nasdaq grants this extension request, Tilray will likely receive an additional 180 days to satisfy the requirements. More News from Barchart UnitedHealth Stock Soars as Warren Buffett's Berkshire Hathaway Discloses $1.57B Stake Palantir CEO Alex Karp Sees More Gains Ahead With America-Focused Growth Strategy, Calls U.S. The 'Leader of the Free World' Lucid Motors Is Caught in a Tariff Trap. Is LCID Stock More Likely to Hit $1 or $7 in 2025? Stop Missing Market Moves: Get the FREE Barchart Brief – your midday dose of stock movers, trending sectors, and actionable trade ideas, delivered right to your inbox. Sign Up Now! Tilray stock has been on an absolute tear in recent weeks. At the time of writing, it's up well over 80% in the past month. Why Has Tilray Stock Ripped Higher in Recent Weeks TLRY shares have been in favor with retail investors this month because President Donald Trump's administration is actively considering reclassifying cannabis as a Schedule III drug. This would ease federal restrictions, reduce tax burdens, and unlock broader institutional interest, all of which could translate to an increase in the Tilray stock price over time. Additionally, the company's recently secured partnership to distribute medical cannabis in Italy has bolstered its international growth narrative, adding credibility to its long-term strategy as well. Put it together with the management's confidence that Tilray has 'multiple options to meet Nasdaq requirements' and TLRY stock starts to look increasingly attractive, despite its recent rally. Why TLRY Shares May Not Be Worth Owning Despite the aforementioned positives and the management's upbeat commentary, Tilray shares remain high-risk investment given the company lacks the financial strength to warrant any further upside. In its latest reported quarter, the cannabis specialist saw $224.5 million in revenue and lost $1.30 per share – both worse than expectations. More importantly, TLRY's operating margin cratered rather sharply, resulting in negative free cash flow of $13.15 million in the second quarter. How Wall Street Recommends Playing Tilray Brands Investors should also note that Wall Street doesn't currently forecast particularly exciting upside in Tilray stock from here. While the consensus rating on TLRY shares remains at 'Moderate Buy,' the mean target of $1.27 implies just 16% upside potential. On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Why This Cannabis Penny Stock Could Be Wall Street's Next Meme Trade Breakout
The cannabis industry has been through one of the longest bear markets in recent history. But in the past few weeks, Tilray Brands (TLRY) has shown signs that it might be the next stock to capture meme stock status — and the Market on Close team spotted it early. From a low of just $0.70, TLRY has spiked past $1.00, fueled by sector-wide rallies, speculation around U.S. marijuana reclassification, and an active options market that has meme traders paying attention. More News from Barchart Why Archer Aviation's (ACHR) Post-Earnings Tailspin Looks Like a Favorably Mispriced Opportunity ACHR, OKLO, PLUG: Here's the Best Low-Risk, High-Reward Trade After Earnings Rigetti Computing Earnings Might Be Make or Break for RGTI Stock, Unless You Use This Options Trade Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Why John Rowland Thinks TLRY Has Meme Stock Potential On the July 25 episode, John Rowland, CMT, explained why TLRY checks the boxes for a potential meme move: Down But Not Out: TLRY has fallen from $70 to around $0.70, leaving it deeply beaten down and attractive to contrarian retail traders. Turnaround Story: Despite the drop, TLRY has a market cap of $700M and annual sales nearing $800M. Healthy Options Market: Meme stock runs often rely on gamma squeezes. TLRY averages +50,000 contracts traded daily with over 800,000 in open interest. Rising Implied Volatility (IV): IV has jumped from the mid-50s to +100% in days. If IV approaches 99–100%, it can indicate a euphoric phase, while rising IV is often a sign of building momentum. Sector Tailwinds Cannabis stocks are surging on speculation that the U.S. will reclassify marijuana from Schedule I to Schedule III, with reports on this seemingly confirmed by President Trump in a press conference earlier this week. This would allow cannabis companies to claim standard business tax deductions, gain better access to banking, and attract institutional investment. ETF performance in the space has been staggering — Roundhill Cannabis ETF (WEED) surged +29%, Amplify Seymour Cannabis ETF (CNBS) spiked +27%, and AdvisorShares Pure US Cannabis ETF (MSOS) rocketed +25% in Monday's session on reclassification chatter. What's Next for TLRY? While meme stocks are notoriously volatile, the setup is there: A deeply oversold name with potential catalysts A highly active options market Sector momentum Growing retail buzz If marijuana reclassification becomes official or a squeeze starts to take place, TLRY could see a spike similar to other meme stock rallies of the past. Watch the Market on Close clip now for John Rowland's full breakdown: And while you're at it, track cannabis stocks with Barchart's Cannabis Stock and ETF Watchlist for prices, charts, and options data. On the date of publication, Barchart Insights did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
5 days ago
- Business
- Business Insider
Why Is Tilray Stock Price (TLRY) Exploding?
Shares of Tilray Brands (TLRY) surged on Monday after President Donald Trump said he is considering a proposal to reclassify marijuana as a less dangerous drug. TLRY stock jumped nearly 42% on Monday and added another 13% in pre-market trading on Tuesday. Year-to-date, TLRY stock is still down more than 30%. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. For context, Tilray Brands produces and distributes cannabis, hemp-based foods, and alcoholic beverages across multiple markets. What's Behind the Rally? Speaking to reporters in the White House briefing room, Trump said the review of marijuana's classification is in progress, and a decision could come within the next few weeks. He added that he hopes the decision 'will be the right one.' The proposed change would move marijuana to Schedule III, which is a category for drugs with accepted medical uses and lower abuse potential. Right now, U.S. law classifies cannabis as a Schedule I drug under the Controlled Substances Act, putting it in the same category as highly dangerous drugs like heroin. Nonetheless, the proposal is currently under review by the U.S. Drug Enforcement Administration (DEA). What Does It Mean for TLRY? If marijuana is reclassified as less dangerous, it could lift TLRY stock by easing rules for cannabis companies in the U.S. Such a change would ease restrictions, expand medical and commercial opportunities, and attract more investors. Overall, TLRY stock has remained volatile in the past year. However, a move of this size is rare even for Tilray, suggesting the news had a major impact on how the market views the company. Is TLRY a Good Buy? TLRY stock based on two Buys and four Holds assigned in the past three months. Furthermore, the average Tilray stock price target of $0.86 per share implies a downside of over 6% from the current level.
Forbes
6 days ago
- Business
- Forbes
Tilray Brands: Is TLRY Stock The Next Big Thing?
Tilray Brands (NASDAQ:TLRY), a pharmaceutical company that focuses on the production and distribution of medical and adult-use cannabis, craft beer, spirits, beverages, and hemp foods, offers an intriguing value opportunity after the stock surged by 42%, driven by regulatory optimism. The administration of President Trump is contemplating the reclassification of marijuana as a less harmful drug, which would be the most significant regulatory catalyst for the cannabis sector in many years. [1]Regulatory Catalyst The possible reclassification would reassign cannabis from Schedule I to Schedule III, placing it alongside substances such as ketamine, anabolic steroids, and Tylenol with codeine. This alteration would offer transformative advantages to cannabis firms: Tilray's Financial Performance Assessment Tilray shows strong top-line growth despite headwinds faced by the industry. The company's 10.8% average revenue growth over three years notably exceeds the S&P 500's 5.7%, while its recent 12-month revenue growth of 11.2% (from $743M to $827M) is double that of the broader market's 5.0% growth. However, the latest quarter revealed a troubling 1.4% revenue drop to $186M, reflecting ongoing pressures within the industry. The company's profitability metrics highlight considerable operational inefficiencies that pose both risks and opportunities. With an operating margin of -12.8% compared to the S&P 500's 18.6%, and a very poor net income margin of -114.4%, Tilray faces clear challenges with cost management and profitability. The -6.2% operating cash flow margin indicates fundamental operational issues that exceed accounting adjustments. Despite profitability concerns, Tilray enjoys financial stability. The debt-to-equity ratio stands at 36.1%, which, while higher than the S&P 500's 21.8%, is still manageable given the company's growth phase. Cash reserves of $248M ensure sufficient liquidity, although the 7.3% cash-to-assets ratio indicates limited financial flexibility for significant strategic ventures. Valuation Attractive TLRY trades at attractive valuations that reflect considerable pessimism. The price-to-sales ratio of 1.2x compared to the S&P 500's 3.2x indicates that the market has substantially undervalued the stock. The present valuation multiple is well below the stock's average price-to-sales ratio of 4.3x over the past five years. Nonetheless, there are numerous risks associated with this penny stock. Risk Assessment TLRY shows extreme sensitivity to market upheaval, significantly underperforming during economic downturns: This trend of volatility indicates that TLRY is likely to face disproportionate fluctuations in both directions, magnifying both gains and losses compared to the broader markets. Investment Verdict Tilray Brands is a speculative investment with a potential for high rewards driven by prospective regulatory changes. The chance of the U.S. government reclassifying cannabis to Schedule III, alongside the company's attractive valuation, presents an enticing opportunity for investors with a substantial risk appetite. Bull Case: A successful regulatory reform, especially a Schedule III reclassification, would relieve major tax burdens and draw in institutional investments. This could dramatically enhance Tilray's valuation. The firm's revenue growth and solid balance sheet would enable it to seize this market expansion. Bear Case: The absence of significant policy shifts, combined with ongoing operational hurdles and market volatility, presents considerable downside risks. Without these reforms, Tilray may struggle to achieve profitability while the stock could reach much lower price levels. Overall, Tilray's investment potential is predominantly influenced by the current regulatory momentum. Although operational challenges persist, the existing regulatory landscape positions Tilray as an appealing investment opportunity in the cannabis sector. However, investors should thoroughly evaluate the risks associated with the stock's extreme volatility. Now, regulatory risk is only a minor component of the risk assessment framework we utilize while constructing the 30-stock Trefis High Quality (HQ) Portfolio, which has a history of comfortably outperforming the S&P 500 over the past 4 years. Why is that? As a collective, HQ Portfolio stocks have generated superior returns with reduced risk compared to the benchmark index; providing a smoother investment experience, as shown in HQ Portfolio performance metrics.
