The past five years have been terrible for Tilray (NASDAQ: TLRY). The cannabis grower has delivered inconsistent financial results in a market that seems to be going nowhere. Tilray's shares are down by 80% in the last half a decade. However, that alone doesn't mean it's not worth buying Tilray's shares. If the company can find a way to bounce back, investing right now could deliver outsized results in the years ahead. How will things develop for Tilray in the next year? Let's find out.

Tilray does extensive business in Canada, one of the few developed countries where recreational, adult uses of cannabis are legal. However, the Canadian cannabis market has been a mess. It's been difficult for companies to obtain retail licenses, the competition has been fierce, and illegal channels are still eating up sales that would otherwise go to legal, well-established companies. Tilray has made some progress despite these challenges, mainly due to acquisitions. It now stands as the leader in the cannabis space in Canada by market share.

How will things develop in the next 12 months in Canada? It's hard to imagine that things will improve meaningfully for the whole of the market or that Tilray's position in the Canadian cannabis market will change substantially, though it could engage in more mergers and acquisitions (M&A) activity. For the most part, investors should expect more of what we have seen over the past few years: extremely challenging conditions for cannabis players, making it difficult for even the leaders to turn in consistently good financial performances. Thankfully for Tilray, there are positive developments taking place in other countries, and the company is looking to pounce on these opportunities.

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Source Fool.com