Could Targeting This $45 Billion Market Make Tilray Brands a Great Long-Term Buy?
A big challenge for Canadian-based marijuana companies is that they have limited growth opportunities these days. The domestic market is highly competitive, and that results in razor-thin margins for producers. It's no surprise that Canadian pot stocks have been among the worst investments you could have owned during the past five years.
That puts a company such as Tilray Brands (NASDAQ: TLRY) in a tough position. The U.S. market doesn't appear to be opening up anytime soon as regulators don't seem eager to make any serious marijuana reform in the near future. The one opportunity the company has taken in recent years is to expand into adjacent businesses, including alcoholic beverages, as a way to expand its operations and pursue growth.
But there is another opportunity that Tilray sees as being yet another lever to jump-start its growth. At $45 billion, Europe may become a huge market for medical marijuana.
Source Fool.com
