Cannabis stocks had a promising start to Tuesday on the return after the long holiday weekend.
The North American Marijuana Index, which tracks the top cannabis stocks in the US and Canada, nudged up 0.6% at 180.2 points. Elsewhere, the Horizons Marijuana Life Sciences Index ETF was up 0.4% at C$14.20, while the OTCQX Cannabis Index gained 2.4% at 668.9 points.
The Green Organic Dutchman Holdings Ltd (TSE:TGOD) (OTCMKTS:TGODF) shares gained ground after it said it had received approval from Health Canada to expand operations into its new hybrid greenhouse in Hamilton, Ontario.
Shares were up 2.1% at C$3.43 in Toronto, up 3.2% at US$2.58 in New York.
The 123,000 sq/ft facility aims to boost TGOD's premium organic cannabis production as it expands its sales in Canada.
"We are thrilled to start using this purpose-built hybrid greenhouse as we ramp up our production of premium organic cannabis, an underserved segment of the market," said CEO Brian Athaide. "Our team pioneered the concept of growing organic cannabis at scale; this hybrid greenhouse has been artfully designed for organic cultivation, allowing us to reliably produce clean, safe and non-irradiated cannabis."
Shares of Tilray Inc (NASDAQ:TLRY) were on the rise Tuesday, up 2.3% at US$26.27, despite reports that Cowen & Co analyst Vivien Azer has cut her price target on the stock to C$60 from C$150. Azer is also understood to have cut her price target on Cronos Group Inc (NASDAQ:CRON) to C$17 from C$21.
Other gainers Tuesday included Curaleaf Holdings Inc (CSE:CURA) (OTCMKTS:CURLF), which unveiled its 2Q results late last week, reporting revenue of US$48.5 million, up 231% year-over-year. The firm also posted widening net losses at US$24.5 million, or US$0.05 per share, up from US$4.9 million, or US$0.01 per share in the same period a year ago.
Shares of Curaleaf were up 9.2% at C$10.28 in Toronto, up 8.9% at US$7.69 in New York. The firm announced the opening of its 26th Florida dispensary in Port Charlotte on Tuesday.
The firm recently completed the acquisition of the remaining 80.2% interest in Holigen Holdings through a share purchase agreement. The move will mean the addition of operations in Portugal and Australia to Flowr's existing Canadian platform.
The company runs the largest cannabis dispensary in the world, hosted in Las Vegas. The firm reported second-quarter revenues of US$16.5 million on Thursday, up 275% year-over-year. The firm reported a net loss of $1.0 million in 2Q, as compared to a net loss of $6.9 million in the year-ago period.
The Victoria, British Columbia-based producer also reported its 2Q results late last week. Second-quarter sales came in at C$5.1 million, up 94% over the prior quarter. The firm reported a net loss of C$0.5 million.
– Harriet Mclelland contributed to this report –
Contact Katie Lewis at [email protected]