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Canopy Growth Corporation (CGC) Dips More Than Broader Market: What You Should Know

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In the latest close session, Canopy Growth Corporation (CGC - Free Report) was down 6.84% at $1.09. The stock's change was less than the S&P 500's daily loss of 0.4%. Meanwhile, the Dow experienced a drop of 0.98%, and the technology-dominated Nasdaq saw an increase of 0.18%.

Heading into today, shares of the company had lost 19.31% over the past month, lagging the Medical sector's loss of 1.56% and the S&P 500's gain of 4.97%.

The investment community will be paying close attention to the earnings performance of Canopy Growth Corporation in its upcoming release. The company's upcoming EPS is projected at -$0.11, signifying a 70.27% increase compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $48.08 million, down 0.64% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of -$0.43 per share and a revenue of $199.33 million, indicating changes of +85.57% and +3.12%, respectively, from the former year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Canopy Growth Corporation. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 5.69% lower. Canopy Growth Corporation is currently sporting a Zacks Rank of #4 (Sell).

The Medical - Products industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 141, finds itself in the bottom 43% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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