Better Buy: SNDL vs. Tilray Brands
If you're looking for a cannabis investment, you're doubtlessly familiar with SNDL (NASDAQ: SNDL), formerly known as Sundial Growers, and Tilray Brands (NASDAQ: TLRY) -- two of the industry's top competitors. After spending much of 2021 in the limelight as meme stocks, the pair went on to badly underperform the market this year, with Tilray falling by 33% while SNDL's shares are down by as much as 46%.
Regardless of shareholders' lamentations, there's a good chance that both enterprises will grow by quite a bit over the next few years, which makes now a smart time to invest in one or the other. But, the answer to the question of which stock is a better buy is somewhat in the eye of the beholder.
Tilray and SNDL primarily compete in Canada's cannabis market, and both are among its largest players by revenue. They also both produce alcoholic beverages, with Tilray's Sweetwater Brewing subsidiary selling craft beer in the U.S., and SNDL's Alcanna chain of liquor stores serving Canada. But where Tilray's aspirations include an entry into the U.S. recreational cannabis market after federal legalization takes place (assuming that it eventually does) and plans to dominate in the European Union's medicinal and recreational cannabis markets, SNDL seems to be content with limiting its participation in foreign markets to investments in U.S.-based marijuana businesses via its SunStream Bancorp division.
Source Fool.com
