Back to top

Image: Bigstock

Canopy Growth Corporation (CGC) Gains But Lags Market: What You Should Know

Read MoreHide Full Article

In the latest trading session, Canopy Growth Corporation (CGC - Free Report) closed at $6.06, marking a +0.17% move from the previous day. The stock lagged the S&P 500's daily gain of 0.48%. Elsewhere, the Dow gained 0.2%, while the tech-heavy Nasdaq added 0.43%.

Heading into today, shares of the company had lost 22.14% over the past month, lagging the Medical sector's loss of 7% and the S&P 500's loss of 8.48% in that time.

Canopy Growth Corporation will be looking to display strength as it nears its next earnings release. On that day, Canopy Growth Corporation is projected to report earnings of -$0.24 per share, which would represent year-over-year growth of 63.64%. Meanwhile, our latest consensus estimate is calling for revenue of $105.99 million, down 9.58% from the prior-year quarter.

Investors might also notice recent changes to analyst estimates for Canopy Growth Corporation. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.79% higher. Canopy Growth Corporation is currently sporting a Zacks Rank of #3 (Hold).

The Medical - Products industry is part of the Medical sector. This group has a Zacks Industry Rank of 176, putting it in the bottom 31% 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Canopy Growth Corporation (CGC) - free report >>

Published in