Could Tilray Be a Millionaire-Maker Stock?

In 2018, Tilray (NASDAQ: TLRY) reached the pinnacle of the Canadian marijuana craze. Within a month of its IPO, the stock shot up from $17 to $300. That monstrous rally was fueled by a short squeeze that pitted retail enthusiasts against institutional bears such as Citron Research -- not unlike what's currently happening with GameStop (NYSE: GME).

However, just when shareholders' initial investments were multiplying many times over, investors began noticing the company's lack of fundamentals and exited en masse. Now more than two years since the roller-coaster ride, Tilray's shares are down over 90% from its all-time highs.

As it turns out, when a bubble bursts, the stock price can remain severely depressed for an extended period -- and undervalued -- even when the underlying company's fundamentals begin catching up. Market participants are wary of jumping in due to the fear of another capitulation. That said, I believe that Tilray's fundamentals are improving, and it's a matter of time the market will recognize its potential.

Source Fool.com