Can These Beaten-Down Growth Stocks Be Revived?
The S&P 500 has dipped 18% so far this year, but this distressed market creates opportunities to buy excellent stocks in industries with massive potential. Marijuana is one such sector. The global legal marijuana market could grow at a compound rate of 25% by 2030, according to Grand View Research.
However, Canadian cannabis stocks are struggling to grow revenue and earn profits, which is pulling down their stock prices. One-time investor favorites Canopy Growth (NASDAQ: CGC) and Aurora Cannabis (NASDAQ: ACB) have seen their stocks dip more than 90% in the last three years.
Aurora and Canopy have been in pursuit of positive earnings before interest, taxes, depreciation, and amortization (EBITDA) for quite a while now, but have failed to reach their goal. Investors who already hold the stocks might be wondering whether it is time to sell. Let's dig in to determine if these beaten-down growth stocks can come back to life anytime sooner.
Source Fool.com
