Why Hexo Stock Sank Today
Shares of struggling Canadian cannabis grower Hexo (NASDAQ: HEXO) plunged after the company reported its earnings results from the fiscal second quarter of 2022 today. After an initial drop of nearly 10% early Friday morning, the stock staged a bit of a recovery. Shares remained down by 3.6% as of 2:51 p.m. ET, however.
Hexo reported a net loss of the equivalent of about $550 million, compared to a loss of less than $20 million in the comparable year-ago quarter. Most of the recent losses came from impairment charges the company said were "eliminating past issues and enabling a clean slate for future growth." Those included losses on property, plant, and equipment, as well as on goodwill.
Source Fool.com
