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Canopy Growth Corporation (CGC) Stock Sinks As Market Gains: What You Should Know

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Canopy Growth Corporation (CGC - Free Report) closed at $2.54 in the latest trading session, marking a -0.97% move from the prior day. This change lagged the S&P 500's 0.13% gain on the day. Meanwhile, the Dow gained 0.28%, and the Nasdaq, a tech-heavy index, lost 0.04%.

Heading into today, shares of the company had lost 31.96% over the past month, lagging the Medical sector's gain of 3.65% and the S&P 500's gain of 5.55% in that time.

Canopy Growth Corporation will be looking to display strength as it nears its next earnings release, which is expected to be August 5, 2022. The company is expected to report EPS of -$0.19, down 46.15% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $88.17 million, down 30.32% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.69 per share and revenue of $393.77 million. These totals would mark changes of -272.5% and -8.63%, respectively, from last year.

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.

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, 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 5.29% higher. Canopy Growth Corporation is holding a Zacks Rank of #3 (Hold) right now.

The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 91, which puts it in the top 37% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.


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