Despite Poor Financial Results, This Pot Stock May Be Worth a Second Look
Among the many reasons cannabis companies are currently suffering, poor financial results are near the top of the list. Case in point: Canopy Growth, the largest marijuana company in the world by market cap, not only recorded a sequential decrease in its revenues during its latest reported quarter but also reported widening losses. Another cannabis company whose financial results have been subpar: Neptune Wellness Holdings (NASDAQ: NEPT).
Neptune recorded revenues of about 4.3 million Canadian dollars during its latest reported quarter -- Q1 2020 -- which represented a 23% sequential decline and a 16% drop year over year. Further, the company posted a negative gross profit (as well as a shrinking gross margin) in the quarter and a CA$6.4 million net loss, slightly worse than the CA$4.8 million net loss it recorded in the previous quarter.
Despite these unimpressive results, though, Neptune might be worth considering. Below are two reasons why.
Source Fool.com
