Akcionáři Canopy Growth schválili zmocnění představenstva ke konsolidaci akcií v poměru 1:5 až 1:15, o níž může představenstvo rozhodnout do 23. října 2027.
The 2026 Cannabis Wildcard: How Tax Reform Could Reset Stock ValuationsCanopy Growth NASDAQ: CGC shareholders approved all matters presented at the company’s reconvened 2026 Annual General and Special Meeting, including a share-consolidation authorization, the election of five directors and the appointment of MNP LLP as auditor for fiscal 2027.
The virtual meeting, which had been adjourned on Sept. 25, 2026, was reconvened on Oct. 23. Chief Executive Officer and Director Luc Mongeau chaired the session and said proxies representing enough common shares had been received to establish quorum.
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Board Election and Auditor Appointment Constellation Brands: A Fallen Star or a Hidden Value Play?Shareholders elected all five board nominees: Mongeau, David Lazzarato, Theresa Yanofsky, Shan Atkins and Joseph Bayern. The directors will serve until the next annual general meeting or until their successors are elected or appointed.
Investors also approved the appointment of MNP LLP as Canopy Growth’s independent registered public accounting firm for fiscal 2027. The board, or an appropriate committee, was authorized to set the firm’s remuneration.
Profit from the Green Wave: Top Cannabis Stocks to WatchThe company presented its audited consolidated financial statements for the fiscal year ended March 31, 2026. No shareholder vote was required for the presentation of those financial statements.
Share Consolidation Authorized Among the approved proposals was a special resolution authorizing an amendment to Canopy Growth’s articles to consolidate its issued and outstanding common shares and exchangeable shares.
The board may determine the precise consolidation ratio, within a range of one post-consolidation share for every five to 15 pre-consolidation shares, at any time before Oct. 23, 2027. The same ratio would apply to common and exchangeable shares. Fractional shares resulting from the consolidation would be deemed tendered to the company for cancellation without consideration, as described in the company’s proxy statement.
Governance and Compensation Proposals Shareholders also approved an advance-notice bylaw establishing notice and other requirements for shareholders seeking to nominate directors at company shareholder meetings.
In addition, shareholders approved the renewal of unallocated awards under Canopy Growth’s omnibus incentive plan, including options, restricted share units, deferred share units, share-based awards and other entitlements.
The company’s advisory, non-binding say-on-pay proposal concerning named executive officer compensation also passed. Shareholders voted in favor of holding future advisory votes on executive compensation annually under the say-on-frequency proposal.
All director nominees were elected. MNP LLP was appointed as auditor for fiscal 2027. The board received authority to implement a share consolidation within the approved range. Shareholders approved the advance-notice bylaw and omnibus incentive-plan renewal. Investors supported executive compensation and selected an annual say-on-pay vote. Christelle Gedeon, Canopy Growth’s Chief Business Development and Corporate Affairs Officer and Corporate Secretary, said all items submitted to a ballot received the required shareholder approval. The company said final voting results, including votes cast for and withheld on each matter, would be reported through SEDAR+, a press release and a Form 8-K filing.
No questions were submitted by shareholders during either the formal-business portion of the meeting or the subsequent question-and-answer session.
About Canopy Growth (NASDAQ:CGC)Canopy Growth Corporation is a cannabis company headquartered in Smiths Falls, Ontario, Canada. Founded in 2013, the company operates in the production, distribution and sale of cannabis and cannabis-related products for adult-use and medical markets.
Its product portfolio includes dried cannabis flower, pre-rolls, cannabis oils, softgels, vapes, beverages and edibles. Canopy Growth markets products under several brands, including Tweed, 7ACRES, Doja and Deep Space, with offerings designed for different consumer preferences and product segments.
Canopy Growth primarily serves the Canadian recreational and medical cannabis markets and has pursued international opportunities in selected medical-cannabis markets.
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Canopy Growth ve čtvrtletí končícím 30. června vykázala záporný peněžní tok z provozní činnosti ve výši 25 mil. CA$, oproti 10 mil. CA$ před rokem; hotovost činila 336,6 mil. CA$.
The hope for many Canopy Growth (CGC -0.92%) investors is that in the long run, there will be a big payoff from the stock. Once the U.S. legalizes marijuana, the Canadian-based company will generate significant growth, become the behemoth they expect it to be, its valuation will rise, and their losses will turn into gains.
The problem is that it's full of assumptions. Legalization is by no means a guarantee, and it's definitely not on the horizon. Canopy Growth, meanwhile, would still face plenty of competition in the U.S. market, even if it were able to access it. The company's problems wouldn't be fixed simply because a new market opened up.
The long-term picture may be exciting in the best-case scenario, but the bigger question investors should be asking today is whether Canopy Growth will still be around in five years, and whether the cannabis company will be around long enough to profit from future opportunities.
Image source: Getty Images.
Canopy Growth has continued to incur steep losses and burn through cashI've written about Canopy Growth for several years, and it's always been the same old story: lots of long-term hope, but little in the way of proof that it's actually doing well and that it has a path to profitability.
The key number for investors to look at is cash flow. This is a better reflection of how the business is doing than what the income statement shows, which can be skewed by non-cash items, including impairment and revaluation items.
In its most recent quarter, which ended on June 30, Canopy Growth once again burned through cash, with its operating cash flow totaling a negative 25 million Canadian dollars. A year ago, it used up CA$10 million.
The sobering sign is that with cash and cash equivalents totaling CA$336.6 million as of the end of the period, the burn rate is sustainable enough that the business isn't in any imminent danger of running out of cash.
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The company should survive another five years, but it may not live on as it does todayCanopy Growth has been able to continually raise cash, and with a solid amount on its books and a manageable burn rate, I don't believe it's in a perilous position. However, that doesn't mean that it might not end up getting acquired in the future and end up part of another business.
The stock has already lost 99% of its value in five years. Its shrinking valuation could make it inevitable for an acquisition to take place, for a company to acquire it for its assets. But as an investment, this is still a stock that investors are better off steering clear of, due to the significant risk that it carries.
Canopy Growth se blíží kladné upravené EBITDA, když ztráta klesla na 2,3 milionu USD z 5,7 milionu USD před rokem. Čisté tržby ve 1. čtvrtletí fiskálního roku 2027 vzrostly o 13 % na zhruba 57,4 milionu USD.
Canopy Growth (CGC -2.59%) is getting closer to something marijuana investors have been waiting years to see: positive adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization). The Canada-based cannabis company recently reported Q1 fiscal 2027 net revenue of about $57.4 million, up 13% year over year, with growth across every major business. Cannabis revenue increased 14%, and growth wasn't limited to one market.
Canadian medical cannabis revenue jumped 22% to about $18.5 million, Canadian adult-use revenue increased 10% to $21.3 million, and international cannabis revenue rose 10% to about $6.9 million. That's a much healthier revenue picture than Canopy has produced in recent years.
Image source: Getty Images.
Getting closer to positive EBITDA Canopy's adjusted EBITDA loss narrowed to just $2.3 million, down from about $5.7 million a year earlier. That's a 59% improvement. Adjusted gross margin also increased from 25% to 31%. Indeed, positive adjusted EBITDA is now within striking distance. Management expects further improvement, particularly during the second half of fiscal 2027, as it completes the integration of MTL Cannabis, which Canopy acquired in March.
MTL was already a profitable, cash-generating cannabis business before the acquisition, producing about $60.2 million in trailing revenue and $7.9 million in operating cash flow. Canopy expects the combination to eventually produce roughly $7.2 million in annual cost savings, largely through operating efficiencies and the elimination of overlapping corporate expenses.
MTL also gives Canopy more of its own high-quality cannabis flower, which can be sold through its Canadian medical and recreational businesses and exported into international medical markets such as Europe. We're already seeing some of that benefit as Canopy said the MTL acquisition helped drive the 22% increase in Canadian medical cannabis revenue and 10% increase in adult-use revenue during the first quarter.
Those benefits should become more visible as integration expenses fade and additional cost savings kick in. Canopy has already generated more than $20.8 million in annualized savings from broader cost reductions since March 2025. Add the potential cost savings from the MTL acquisition, improving margins, and continued revenue growth, and management believes it can finally push adjusted EBITDA into positive territory in fiscal 2027.
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But one number still concerns me: free cash flow. Free cash outflow actually worsened, climbing from about $8.3 million last year to $18.5 million. Management attributed much of that increase to working-capital timing, but Canopy still needs to prove it can consistently generate cash rather than burn it. Fortunately, the balance sheet provides some breathing room. Canopy ended June with approximately $241.4 million in cash and cash equivalents, while the company has extended its debt maturities to January 2031.
To be sure, I wouldn't buy Canopy stock simply because its adjusted EBITDA could soon turn positive. The company has spent years restructuring, cutting costs, and trying to repair its balance sheet. One strong quarter doesn't erase that history. But the latest numbers are encouraging. Revenue is growing again. Margins are improving. Losses are shrinking. And Canopy's cannabis businesses are growing across Canadian and international markets.
If you're willing to accept the risks associated with cannabis stocks, Canopy is becoming more attractive. But you might want to wait to see positive adjusted EBITDA followed by a meaningful improvement in free cash flow before getting aggressive.
Canopy Growth zvažuje další reverzní štěpení akcií, protože akcie jsou zpět pod 1 USD; hlasování akcionářů proběhne 25. září. Společnost zároveň uvedla růst tržeb ve všech divizích a celkový nárůst o 13 %.
Canopy Growth (CGC -0.80%) did a reverse stock split on Dec. 15, 2023. After that split, the stock fell by nearly 50% before there was a brief marijuana stock rally. Today, the shares are down by roughly 80% from their pre-reverse-split levels. And, notably, they are back below $1 per share. The company has to do something about this situation.
Why $1 is such an important share price Major exchanges have rules that must be followed for a company to remain listed on the exchange. Often, maintaining a share price of at least $1 is a key requirement. Being on a major exchange not only makes it easier for investors to buy and sell stock but also allows a company to raise capital more easily by selling new shares. On top of that, being listed on a major exchange is a sign that a company operates a material business, which can help when working with banks or selling bonds. Being delisted is a major black eye, and it can have material financial implications for a business.
Image source: Getty Images.
That's why Canopy Growth did a reverse split in 2023. And with the shares back below $1, the company is proactively looking to hold another reverse split. The shareholder vote will take place on Sept. 25. In truth, a reverse split isn't a positive development. It is something that a company usually does because it has no better option.
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Don't expect a magical transformation Canopy Growth rallied shortly after its last reverse split. However, that was likely greatly aided by improved investor sentiment toward marijuana stocks at the time. Investors probably shouldn't expect a repeat performance. That said, Canopy Growth reported sales growth across all its divisions in the first quarter of fiscal 2027, with an overall top-line gain of 13%. While it lost money, the loss was 68% lower than the loss in the same quarter of the previous year. That's not exactly a good quarter, but it is a much better quarter.
If Canopy Growth continues to see performance improve, the reverse split it is asking shareholders to approve could help set the foundation for a brighter future. Of course, voting against the reverse split would likely make it much harder for Canopy Growth to run its business. So, in reality, shareholders probably have little choice but to approve the company's request for a reverse stock split.
Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Canopy Growth v 1. čtvrtletí fiskálního roku 2027 zvýšila čisté tržby na 81,2 mil. CAD a snížila čistou ztrátu o 68 %. Akcie ale dál brzdí slabý postup v legalizaci v USA a výrazné ředění akcií.
As seen in Canopy Growth's (CGC +1.06%) latest quarterly earnings release, a turnaround remains in motion. In its fiscal 2027's first quarter, ended June 30, 2026, the Canada-based cannabis company reported net revenue of $81.2 million CAD ($58.6 million), a 13% increase compared to the prior year's quarter. More importantly, the company reported higher gross margins, a 68% decrease in net losses, and 59% drop in adjusted EBITDA losses.
While not yet a perfect situation, things are clearly improving. So then, why is this marijuana stock still languishing under $1 per share? Chalk it up to two lingering issues, headwinds that have also contributed to the stock's 33% drop over the past 12 months.
Image source: Getty Images.
Still waiting on U.S. legalization progress Earlier in 2026, it seemed as though this would be the year that legalization progress finally took shape on the federal level. Back in April, the U.S. Department of Justice and Drug Enforcement Administration rescheduled medical marijuana from Schedule I to Schedule III.
However, this wasn't the "game changer" speculators treated it as, as suggested by the short-lived rally among marijuana stocks during this time. So far, there's been little movement in getting recreational marijuana rescheduled. Although it would take further reforms to enable Canopy to start exporting its marijuana to the U.S., progress with rescheduling state-licensed recreational marijuana would at least bode well for Canopy's U.S. affiliate, Canopy USA.
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Don't forget the dilution problem Canopy Growth's second big issue is its continued reliance on newly raised outside equity capital. Over the past year, Canopy's share count has increased from 239.9 million to 423 million.
Most of this came from at-the-market (ATM) equity program sales of newly issued stock in mid-2025. A separate ATM program, authorized in August 2025, gives it the right to raise another $200 million. Given the stock's current market cap of $394 million, the company could severely dilute shareholders yet again.
As these two issues persist, keep skipping on Canopy Growth. Stick with stronger cannabis stocks, such as shares in profitable cannabis companies with minimal dilution risk, instead.
Canopy Growth zvýšila tržby meziročně o 13 % na 58,9 milionu USD, ale akcie reagovaly jen minimálně. Firma stále není zisková a za čtvrtletí prodělala 10,6 milionu USD.
Canopy Growth (CGC -0.02%) grew its revenue by 13% year over year to $58.9 million in its fiscal 2027 first quarter, but the stock barely reacted because investors have seen plenty of nascent Canopy turnarounds that never quite materialized.
To be sure, the company's improvements weren't limited to the top line. Its adjusted gross margin increased from 25% in the prior-year period to 31%, while its adjusted EBITDA loss narrowed by 59% to $2.3 million. Canadian medical cannabis revenue increased 22%, adult-use cannabis sales grew 10%, and international cannabis sales rose 10%. But Canopy Growth still isn't profitable.
The muted response The company lost $10.6 million during the quarter (which ended June 30), while its free cash outflow increased to $18.6 million, up from $8.4 million a year earlier. That's a problem for a company that has spent years burning cash, restructuring operations, and issuing more shares of stock to raise funds.
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There's another wrinkle, too. Some of Canopy's growth this year came from its acquisition of MTL Cannabis. The company specifically attributed portions of its Canadian medical and adult-use growth to the acquisition. So that 13% top-line increase doesn't mean Canopy's existing businesses suddenly returned to double-digit organic growth. That may help explain the market's muted response to the quarterly report.
Image source: Getty Images.
The market clearly wasn't looking for another quarter where Canopy simply lost less money. It was hoping for evidence that the business will eventually be able to support itself without continually consuming cash. The latest results suggest that Canopy is moving in that direction. But after years of disappointment, investors aren't giving management much credit for promises. If revenue continues growing, margins improve, and cash burn starts falling, the stock could become more interesting. Until then, 13% revenue growth is encouraging, but it's not enough to prove Canopy's turnaround has finally arrived.
Jeff Siegel has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Canopy Growth po akvizici MTL Cannabis a úsporách přes C$30 milionů zrychluje expanzi v Evropě, hlavně v Německu, Polsku a Británii. V Evropě chce zvýšit roční tempo zhruba C$10 milionů za čtvrtletí, tedy asi C$40 milionů ročně, na více než C$100 milionů.
The 2026 Cannabis Wildcard: How Tax Reform Could Reset Stock ValuationsCanopy Growth NASDAQ: CGC is positioning itself for further expansion in medical cannabis, European markets and Canadian recreational cannabis after restructuring operations, reducing costs and acquiring MTL Cannabis, President and CEO Luc Mongeau said during a Canaccord Genuity presentation.
Mongeau, who has served as CEO for 18 months, said the company has shifted its focus toward operating as a consumer cannabis business rather than prioritizing cash management and pursuing opportunities across too many markets. He said Canopy reduced costs by more than C$30 million, refinanced the organization, strengthened its management team and acquired MTL Cannabis.
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Constellation Brands: A Fallen Star or a Hidden Value Play?“We are really taking the next few critical step to position Canopy Growth to really win in the global cannabis market,” Mongeau said.
Growth Across Canadian and European Operations Mongeau said Canopy holds the No. 1 position in Canadian medical cannabis and has improved its standing in the Canadian adult-use market. The company was ranked No. 10 in Canadian recreational cannabis when he joined, moved to No. 8 after streamlining operations and now ranks No. 6 following the MTL Cannabis acquisition, according to Mongeau. Its goal is to become a top-three player in the market.
Profit from the Green Wave: Top Cannabis Stocks to WatchWhile acknowledging that Canadian recreational cannabis is a relatively mature market, Mongeau described it as a roughly C$5 billion market growing at 3% to 5%. He expects the industry to consolidate, noting that more than 1,000 licensed producers currently operate in Canadian recreational cannabis. He said the market could ultimately be led by approximately seven major participants.
For fiscal 2026, Canopy reported 20% growth in Canadian adult-use cannabis and 18% growth in its medical business, Mongeau said. For the first quarter of fiscal 2027, he said consolidated revenue rose 13%, including:
10% growth in Europe; 10% growth in Canadian recreational cannabis; 22% growth in Canadian medical cannabis; and 6% growth at Storz & Bickel, its medical vaporizer business. Mongeau also said the company’s gross margin reached 31% in its latest quarterly results, representing a 600-basis-point improvement from the prior year. During the discussion, the operator characterized the most recent margin level as “36-ish percent,” but Mongeau specifically cited 31% during his presentation.
MTL Cannabis Acquisition Targets Flower Supply and Quality A central component of Canopy’s strategy is improving cultivation output and flower quality. Mongeau said Canopy had not historically treated cultivation as a core operational priority, which contributed to supply constraints and inconsistent availability in international markets.
MTL Cannabis brought cultivation expertise and “passion for the plant” into the company, Mongeau said. Canopy is investing in systems, processes and capital expenditures intended to increase yields and production by as much as 30%, creating additional supply for markets including Europe.
“You need great flower consistently to win,” Mongeau said, adding that the company’s operating reviews and systems are now centered on producing higher-quality flower.
Chief Financial Officer Tom Stewart said less than 20% of Canopy’s flower production is currently exported. He said the company is integrating MTL’s operations with Canopy’s facilities and production footprint to eliminate overlap, reduce costs and improve the quality of products supplied to consumers and patients.
Canopy has three cultivation facilities and is converting a hybrid facility to fully indoor cultivation, Mongeau said. The company is cultivating in Canada at facilities certified under European Union Good Manufacturing Practice, or EU GMP, standards.
Europe Seen as Major Opportunity Mongeau identified Europe as Canopy’s largest near-term opportunity, particularly Germany, Poland and the United Kingdom. He said Canopy has invested in sales teams, distribution relationships, brands and connections with pharmacists and doctors, but its progress in Europe had been hampered by inventory shortages.
In Poland, Canopy recently returned to inventory availability and rose to the No. 3 market position, Mongeau said. The company is also making its first shipment to the United Kingdom during the current quarter, with related sales expected to appear in the third quarter.
Canopy’s European business is currently operating at approximately C$10 million per quarter, or about C$40 million annually, according to Mongeau. He said the company is targeting a run rate of more than C$100 million, and eventually C$100 million to C$150 million annually, supported primarily by Germany.
The company’s supply chain is EU GMP-compliant from cultivation through importation into Germany, repackaging and distribution, Mongeau said. He said Canopy is also working to qualify its Smiths Falls facility to produce EU GMP-compliant cannabis 2.0 products, including softgels, oils, concentrate distillates, vapes and eventually pre-rolls.
Stewart said Europe offers more attractive pricing than Canada and could support premium offerings based on MTL Cannabis flower quality. Rather than compete primarily in value-priced products, Canopy plans to focus on premium categories, he said.
Brands and Vaporizer Expansion Mongeau said Canopy plans to use its Tweed and Spectrum brands to compete in premium European medical cannabis segments. He said Germany continues to have a sizable price band of roughly €5 to €7 that has remained resilient despite broader pricing discussion in the market. Recent German research showed positive attitudes toward Tweed, Spectrum and MTL brands, he said.
Canopy also sees expansion potential for Storz & Bickel, which Mongeau described as the leading herbal medical vaporizer company. The company is pursuing innovation in concentrate vaporizers, a category Mongeau said is substantially larger than herbal vaporizers.
Overall, management said it is prioritizing cultivation, operating efficiency and a controlled expansion of its EU GMP supply chain rather than rapidly entering every emerging European market. Stewart said those foundational investments should benefit additional markets as they open.
About Canopy Growth (NASDAQ:CGC)Canopy Growth Corporation is a leading Canadian cannabis company engaged in the production, distribution and sale of both medical and recreational cannabis products. Headquartered in Smiths Falls, Ontario, the company cultivates a diversified portfolio of offerings that includes dried flower, pre-rolled joints, oils, softgel capsules and edibles. Canopy Growth also markets derivative products such as beverages and wellness formulations under a range of brands, aiming to serve both patient and adult-use markets.
The company operates through multiple subsidiaries, including Tweed Inc, Spectrum Therapeutics and Tokyo Smoke, each targeting distinct consumer segments.
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Přeřazení marihuany v USA pro Canopy Growth nemusí znamenat velký impuls, protože hlavní byznys má v Kanadě a Evropě. V USA drží investici v Canopy USA, ale bez přímé kontroly.
Canopy Growth (CGC +4.07%) is one of a handful of marijuana stocks that were all the rage early on as investors thought pot would be a huge growth market. Pot demand has grown dramatically, but marijuana stocks didn't live up to the early hype. But will that change if the classification of marijuana changes at the Federal level in the United States? Not for Canopy Growth, here's why.
A slow progression for pot? Marijuana has been legal to use in an increasing number of states. Some have focused on medical use, while others have gone all the way to legalizing recreational use. That opened the way for companies to grow and sell marijuana.
Image source: Getty Images.
There was just one problem. Marijuana is also regulated at the Federal level. For a long time, marijuana was considered to be in the same category as heroin. Now, however, the drug has been rescheduled, putting it in the same classification as acetaminophen, an over-the-counter pain medication. While pot is still regulated, the marijuana industry's path forward is much clearer. That could open up more opportunities for growth for marijuana companies in the U.S. market.
Canopy Growth isn't likely to benefit from rescheduling Canopy Growth is a pot stock, so in the big picture, rescheduling is good news. However, Canopy Growth's core operations are in Canada and Europe. With regard to the U.S. market, the company's annual report explains:
We are not considered a U.S. Marijuana Issuer (as defined in the Canadian Securities Administrators Staff Notice 51-352 – Issuers with U.S. Marijuana-Related Activities (the "Staff Notice")) nor do we have material ancillary involvement in the U.S. cannabis industry in accordance with the Staff Notice. While we have an investment in Canopy USA, which is a platform that is intended to enable such U.S.-based companies that may themselves participate in the U.S. cannabis market to operate, the transaction structure was intended to ensure that we do not violate the federal laws of the United States respecting cannabis and do not allow us to participate in cannabis activities in the United States or direct the activities of Canopy USA. Where a noncontrolled affiliate has expressed an intent to enter the U.S. cannabis market, we have taken steps to insulate ourselves from all economic and voting interests.
That's a lot! The summary is that Canopy Growth is an investor in Canopy USA, but it doesn't directly control Canopy USA. That's issue number one. The second issue is that Canopy USA is more focused on recreational use than medical use, which Canopy Growth explained limits the benefit that Canopy USA will see from the rescheduling. Indeed, the rescheduling was meant to increase access to the drug for medical purposes and to make it easier for companies to do research around marijuana. Making it legal for recreational purposes is a goal that is further down the road.
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Canopy Growth isn't in the right place at the right time What's notable is that Canopy Growth is heavily involved in the medical marijuana market in Canada. In fact, the company recently strengthened its market position there by acquiring MTL Cannabis. But the uncertain legal environment in the United States led the company to take a different approach, limiting its exposure to and business control in the U.S. market.
That wasn't a bad business decision, given the circumstances and the opportunities available elsewhere. But it has left the company in a situation where U.S. rescheduling just isn't as big a deal as investors may hope. And it doesn't have as much control as investors may like to capitalize on such changes, anyway.
Canopy Growth vykázala za čtvrtletí ztrátu 0,02 USD na akcii a výnosy 58,63 milionu USD, čímž překonala odhady. Ztráta byla nižší než 0,14 USD na akcii před rokem.
Canopy Growth Corporation (CGC - Free Report) came out with a quarterly loss of $0.02 per share versus the Zacks Consensus Estimate of a loss of $0.04. This compares to a loss of $0.14 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +50.00%. A quarter ago, it was expected that this company would post a loss of $0.06 per share when it actually produced a loss of $0.17, delivering a surprise of -183.33%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Canopy Growth, which belongs to the Zacks Medical - Products industry, posted revenues of $58.63 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.20%. This compares to year-ago revenues of $52.13 million. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Canopy Growth shares have lost about 18.2% since the beginning of the year versus the S&P 500's gain of 12.6%.
What's Next for Canopy Growth?While Canopy Growth has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Canopy Growth was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is -$0.03 on $58.66 million in revenues for the coming quarter and -$0.11 on $243.57 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Products is currently in the bottom 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, FitLife Brands Inc. (FTLF - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on August 13.
This company is expected to post quarterly earnings of $0.18 per share in its upcoming report, which represents no change from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
FitLife Brands Inc.'s revenues are expected to be $26.5 million, up 64.3% from the year-ago quarter.
Canopy Growth v 1. čtvrtletí fiskálního roku 2027 zvýšila čisté tržby o 13 % na C$81,2 milionu a zúžila ztrátu z upraveného EBITDA na C$3,2 milionu. Hrubá marže vzrostla na 31 % z 25 %.
Canopy Growth Corporation (TSX:WEED, NYSE:CGC) reported continued revenue growth across its businesses in the first quarter of fiscal 2027, while the cannabis company narrowed its adjusted EBITDA loss from a year earlier, sending its shares 5% higher on Friday morning.
Net revenue for the three months ended June 30, 2026, increased 13% year-over-year to C$81.2 million, exceeding the analyst consensus estimate of C$58.89 million.
Adjusted loss per share was C$0.03, compared with the consensus estimate of a C$0.06 loss.
The Smiths Falls, Ontario-based company said revenue increased across all of its businesses during the quarter.
Cannabis net revenue rose 14% year-over-year to C$65.1 million. Canada medical cannabis revenue increased 22% to C$25.8 million, driven by growth in insured customers and the acquisition of MTL Cannabis, partially offset by a reduction in the Veterans Affairs Canada reimbursement rate for medical cannabis.
Canada adult-use cannabis revenue increased 10% to C$29.7 million, primarily reflecting higher flower sales following the MTL Cannabis acquisition, partially offset by declines in opportunistic bulk sales.
International cannabis revenue rose 10% to C$9.6 million, with Canopy Growth pointing to strength in Europe, particularly Poland.
Revenue from Storz & Bickel increased 6% to C$16.1 million, which Canopy Growth attributed to prior-year product portfolio expansion and increased sales across non-core markets.
Adjusted gross margin improved to 31% from 25% a year earlier, while consolidated gross margin increased to 27% from 25%.
Net loss was 68% lower year-over-year, while adjusted EBITDA loss narrowed 59% to C$3.2 million. Canopy Growth attributed the improvement primarily to revenue growth across both segments and continued cost savings, partially offset by the reduction in the Veterans Affairs Canada reimbursement rate.
“The renewed focus and strong momentum we established over the past year have continued into fiscal 2027,” Canopy Growth CEO Luc Mongeau said.
“In the first quarter, we achieved net revenue growth in every business through solid execution across the organization. We have clear strategies to deliver further growth in each of our end markets.”
Canopy Growth ve fiskálním roce 2026 zvýšila výnosy o 6 % na 200,4 milionu USD a zlepšila hotovostní pozici na 256,5 milionu USD. Firma ale zůstává nerentabilní a volný peněžní tok je stále záporný.
Few stocks have destroyed as much shareholder value as Canopy Growth (CGC +0.81%). Since its 2018 peak, shares of the cannabis producer have lost more than 99% of its value as the industry struggled with oversupply, regulatory delays, and years of unprofitable growth. That kind of collapse naturally raises a question: Is this finally a buying opportunity?
Moving in the right direction To be fair, Canopy Growth is a much healthier company now than it was a few years ago. Fiscal 2026 revenue increased 6% to $200.4 million, while cannabis revenue climbed 15%. Canadian medical cannabis revenue reached a record level, international cannabis sales rebounded sharply in the fourth quarter, and management continues targeting positive adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) during fiscal 2027. The balance sheet has also improved.
Image source: Getty Images.
Canopy ended fiscal 2026 with approximately $256.5 million in cash and a net cash position of $92 million, a dramatic improvement from the prior year. The company has also spent the past year reducing costs, integrating its MTL Cannabis acquisition, and narrowing operating losses. Still, despite those improvements, Canopy remains unprofitable.
Better company, better stock? Revenue growth has been relatively unimpressive, free cash flow remains negative, and the investment thesis still depends heavily on broader cannabis reform and continued execution in Canada and international medical markets. None of those outcomes is guaranteed.
There's also the issue of dilution. Over the years, Canopy has repeatedly issued new shares to strengthen its balance sheet and fund operations. Existing shareholders have paid a steep price for that financing, and future capital raises can't be ruled out if profitability takes longer than expected.
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To be sure, Canopy is certainly a stronger business than the one investors abandoned several years ago. Management deserves credit for improving the balance sheet and stabilizing operations. But a better marijuana company doesn't automatically make a better marijuana stock.
Until the company demonstrates consistent profitability and positive free cash flow, I'd view the recent progress as encouraging rather than conclusive. For now, there are simply too many execution risks to call the stock a confident buy.
Canopy Growth zvýšila tržby z lékařské marihuany o 27 % ve 4. čtvrtletí a o 17 % za celý fiskální rok. Ostatní divize ale zůstaly slabší a hrubá marže klesla.
Companies try to highlight the best news when they report earnings. That's to be expected, but you need to go into earnings season knowing you have read beyond the headlines. Canopy Growth (CGC +2.31%) reported huge growth in its medical marijuana business, which saw revenues increase 27% in the fourth quarter of fiscal 2026 and 17% for the full fiscal year. The rest of the business was a bit more mixed.
The good news and the less-than-good news There's no question that Canopy Growth's medical marijuana business is doing well right now. It is also worth noting that the company recently bought MTL Cannabis, a move that should solidify its already strong position in the Canadian medical marijuana market. The strong growth in medical marijuana revenues highlights why the company is leaning into this division.
Image source: Getty Images.
The problem is that this isn't the company's only business. Its recreational marijuana business increased revenue by 20% in fiscal 2026, but the fourth quarter saw only a 1% increase. While the company attributes the full-year growth to "growth in infused PRJ offerings and new All-In-One vaporizers launched early in the fiscal year," the fourth quarter's 1% revenue growth suggests it ended the year on a weak note. That hints this division's outlook may not be as robust as the full-year growth suggests.
Meanwhile, the company's international cannabis sales rose 68% in the quarter, but fell 7% year over year. Supply chain issues were highlighted as a problem earlier in the year. Once again, the outlook is less clear than investors may like. And then there's the Storz & Bickel vaporizer business, which saw sales decline 14% for both the full fiscal year and in the fourth quarter.
Not enough good news to make Canopy Growth a buy It is likely to require more than one strong division for Wall Street to get excited about Canopy Growth again. But there's still some more bad news to consider. Notably, the company's gross margin fell four percentage points in the fourth quarter and six percentage points for the full fiscal year.
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Not surprisingly, Canopy Growth reported negative earnings again in fiscal 2026. In fact, it hasn't reported positive earnings since it went public, more than a decade ago. Now add in the fact that it recapitalized its balance sheet in fiscal 2026, exchanging shares for debt, and most investors should probably watch from the sidelines.
Could Canopy Growth's stock rally from here? Sure. But with only one business clearly performing well, only the most aggressive investors should probably bet on this penny stock having a sustained rally.
Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
