2019 was a year to forget for cannabis stock investors, however, 2020 is already shaping up to be much better, with strong momentum in some key picks. Aphria Inc. (NYSE: APHA) is worth a closer look, especially when considering its growth in the year to date. Here’s everything investors need to know about this cannabis company.
Aphria is the third-largest Canadian cannabis producer in terms of production potential. The company had a rough 2019, following allegations of fraud that eroded investor confidence. These allegations turned out to be inaccurate, but the company still released its CEO to take on new leadership.
This seems to be the best move, and the company went on to purchase CC Pharma, a distribution business that is helping to boost revenue. When the company released quarterly sales data this week, revenue came in 455% higher than the same period a year ago. While the company reported a net loss of -$6.07 million, this was somewhat expected considering the challenging nature of its business expansion both in Canada and internationally.
For fiscal 2020, the company expects total revenue to be in a range of $575 million to $625 million. This would compare favorably to the $237.11 million that it made in the 2019 fiscal year.
Although profitability will still take time, strong revenue growth is a good sign. Investors can buy this stock at a bargain today, with a strong potential upside as the cannabis market continues to expand.
- 1 Year Price Growth: -21.20%
- YTD Price Growth: 38%
- 3 Month Price Growth: 82%
All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.