Is Tilray Brands Stock a Buy Now?
As the world's self-proclaimed leading medicinal marijuana business, Tilray Brands (NASDAQ: TLRY) has seen its stock reel during this bear market. Its shares are down 44.5% this year so far, whereas the market is down by a mere 20.4% with concerns about inflation running rampant.
But that dip could be a buying opportunity for investors who are willing to wait out a bit more pain as the company finds its footing in international cannabis markets. Is this a stock that's worth a purchase today, or are there better options?
There are a handful of issues affecting Tilray that should make investors pause, starting with its poor first-quarter earnings (perioded ended Aug. 31). Compared with Q1 of last year, the company's net revenue dropped 9% to $153.2 million in the most recent period. Though management is quick to point out that its revenue "remained strong" when adjusted for currency changes, that isn't exactly correct, as on a constant currency basis it made $166.5 million in the first quarter and just over $168 million in the same period of 2021. Aside from pointing to global macroeconomic disruption and perturbations in the market, leaders offered few explanations for the decline, which doesn't inspire much confidence, to say the least.
Source Fool.com
