Best Canadian Cannabis Stocks To Buy? 2 For Your June Watchlist dailyherald.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from dailyherald.com Daily Mail and Mail on Sunday newspapers.
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Canadian pot producers have underperformed the broader markets in the last two years. The majority of domestic marijuana companies have been impacted by massive losses and cash burn, which has led them to raise capital and boost liquidity while diluting shareholder wealth.
HEXO(TSX:HEXO)(NYSE:HEXO) is one such stock on the TSX; it is down 80% from record highs.
Let’s see if this Canadian pot heavyweight is a good contrarian bet or a stock to avoid right now.
HEXO stock was up 10% on Friday
Shares of HEXO gained 10% on May 28 after the company announced the acquisition of Redecan for $925 million. Redecan is Canada’s largest privately owned LP (licensed producer), and HEXO disclosed it will pay $400 million in cash and $525 million in stock to complete the acquisition.
Author Bio
Howard grew up in Philadelphia watching the Philly sports teams struggle for championships. He has been investing since 1989 and been a Fool since 2001. Prior to joining The Fool as a contract writer in 2019, Howard worked in the steel business as an engineer for 28 years. When he isn’t writing, he is usually out for a run, or relaxing to the music of the Grateful Dead.
What happened
Shares of Canadian cannabis company
HEXO (NYSE:HEXO) slid Tuesday, as the company announced the closing of one acquisition on the heels of another recent large purchase. As of 2:45 p.m. EDT, shares of HEXO were down about 6%.
Canopy Growth CEO really bullish on U S pot legalization after recent reforms infotel.ca - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from infotel.ca Daily Mail and Mail on Sunday newspapers.