Back to top

Image: Bigstock

HEXO (HEXO) Dips More Than Broader Markets: What You Should Know

Read MoreHide Full Article

HEXO closed at $0.76 in the latest trading session, marking a -0.91% move from the prior day. This change lagged the S&P 500's 0.22% loss on the day. At the same time, the Dow lost 0.35%, and the tech-heavy Nasdaq lost 0.28%.

Coming into today, shares of the cannabis producer had gained 7.64% in the past month. In that same time, the Medical sector lost 2.05%, while the S&P 500 gained 3.82%.

Wall Street will be looking for positivity from HEXO as it approaches its next earnings report date. The company is expected to report EPS of -$0.03, up 72.73% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $18.90 million, up 60.31% from the year-ago period.

Investors might also notice recent changes to analyst estimates for HEXO. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. HEXO is holding a Zacks Rank of #3 (Hold) right now.

The Medical - Products industry is part of the Medical sector. This group has a Zacks Industry Rank of 164, putting it in the bottom 36% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

Published in