Why Tilray Brands Stock Is Sinking Today
Tilray Brands (NASDAQ: TLRY), a leading cannabis and consumer packaged goods company in Canada, is facing another challenging day in the market. As of 12:14 p.m. ET on Friday, the company's stock price had fallen by 9.3% on sky-high volume. This latest decline brings Tilray's stock to a 48% loss over the past year and near its 52-week low.
What's driving this latest dip? U.S. lawmakers are reportedly struggling to come to a consensus on the long-delayed SAFE Banking Act, which would give cannabis businesses access to basic financial services. Right now, cannabis businesses have to operate on a mostly all-cash basis, which has fueled an uptick in robberies in the industry.
Although Tilray wouldn't be directly affected by the passage of this financial services bill due to its Canadian roots, the company does have designs on expanding southward upon the federal legalization of cannabis in the United States. This political drama over the 10-year-old SAFE Banking Act underscores the enormous challenges inherent in passing anything marijuana-related in the country.
Source Fool.com
