Tilray (NYSE:TLRY) Spikes, CEO Touts Marijuana Growth Prospects
Tilray (NYSE:TLRY) is having its best day since its July IPO, adding as much as 94% to briefly touch 300/share, after CEO Brendan Kennedy touted the company’s growth prospects.
He said he sees potential for his company and others in the cannabis sector to ultimately top $100-B in valuations. The stock’s dramatic move triggered a halt for volatility.
The stock surge came after CEO Brendan Kennedy touted the company’s growth prospects in a national TV interview.
On Tuesday after announcing the US DEA approved plans for it to import medical marijuana to supply a clinical trial in California; the stock has gained 42% this week and more than 1,100% since trading opened in July
The company’s valuation exceeded $25-B, making it larger than some more mainstream stocks including American Airlines, Clorox
Cannabis peers traded higher in US trading Wednesday, with Cronos Group rising 12%, Canopy Growth Corp. +6%, Aurora Cannabis Inc. 9.3% higher and Aprhria climbing 1.9%.
Related stocks also got a boost, including a 18% lift for New Age Beverages, which has said it is testing CBD-infused beverages, while Shopify, which was selected to run online marketplace for marijuana products in Canada, rose 2%.
Citron Research earlier said it remains short on Tilray and called the move “beyond comprehension,” blaming the volatility on its low float of 10.3-M shares Vs the 76.5-M shares outstanding.
CEO Kennedy said the company is exploring consumer products that include marijuana ingredients and would rather build his business than get acquired by a large consumer company.
|HeffX-LTN Analysis for TLRY:||Overall||Short||Intermediate||Long|
|Very Bullish (0.60)||Very Bullish (0.69)||Very Bullish (0.62)||Very Bullish (0.50)|