Why Aurora Cannabis Stock Slid 5% This Morning
Another day, another decline for Aurora Cannabis (NYSE: ACB) stock.
Earlier this week, we discussed Aurora Cannabis's decision to try to raise another $500 million to keep its business solvent by selling one or more batches of "common shares, preferred shares, warrants, subscription receipts and debt securities" over the next 25 months -- and how investors reacted to this news by selling off the stock.
Yesterday, Aurora made its latest attempt to stop the bleeding, reassuring investors that it remains in "compliance" with its debt covenants and is on course to land toward the high end of its previously announced $60 million to $64 million revenue guidance range for Q1 2021, reports TheFly.com. Furthermore, said management, it's going to land near the high of its 46% to 50% range for "adjusted gross margin before fair value adjustments on cannabis net revenue," and will spend not much more than $40 million on selling, general, and administrative expenses "excluding certain one-time contract and employee termination costs."
Source Fool.com
