Tilray Analyst Cuts Price Target By 72% After Offering At ‘The Worst Of Times’

Cantor Fitzgerald slashed its Tilray (NASDAQ: TLRY) price target Monday in the wake of the Nanaimo, Canada-based cannabis company’s pricing of a $90.4-million equity offering.

The Tilray Analyst

Pablo Zuanic maintained a Neutral rating on Tilray and lowered the price target from $17.50 to $4.90.

The Tilray Thesis

While Zuanic said he understands the need to raise funds, the analyst said he’s surprised Tilray would choose “the worst of times” to price the offering. (See his track record here.)

The analyst weighed whether other cannabis companies will follow suit, and said that in the case of Aurora Cannabis (NYSE: ACB), the company is likely to rely on cost cuts, positive EBITDA and lower capex …

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