Why HEXO Stock Is Collapsing Today
Ahead of the opening bell today, HEXO (NYSE: HEXO) rolled out a preliminary peek at its fiscal fourth-quarter revenue, and investors are none too happy with the pot company's quarterly performance. As a result, HEXO's shares kicked the day's trading session down by a whopping 21% on sky-high volume. As of 9:54 a.m. EDT, HEXO's shares were still down by 19% in the wake of this disappointing financial update.
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There are two big issues weighing on HEXO's shares this morning. First off, this preliminary revenue projection falls well short of where the company guided investors during its last earnings release. During its fiscal third-quarter earnings report, for instance, the company said that it expected fiscal fourth-quarter net revenues to "approximately double those of the current quarter."
Source Fool.com
