Chart: Cannabis Stocks Show Strong Correlation To Recent Quarterly Results

  • This week’s graph displays the results of earnings releases over the last two weeks for a number of tier 2 MSOs. The graph is arranged in increasing order of market-adjusted stock price gains (green line measured on left axis). This was calculated by the percentage change in stock prices from one day prior to the earnings release to one day after the release less the change in the AdvisorShares Pure U.S. ETF over the same period.  

  • The data shows a 0.5 correlation of share price reaction to reported EBITDA vs. analyst estimates.

  • The blue line shows the % EBITDA surprise vs consensus estimates for the quarter. There were two large EBITDA misses for the quarter: Gage (OTC: GAEGF) was 300% below expectations and off the graph, and Goodness Growth (GDNSF: OTCQX), which was 150% …

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More Chart: Cannabis Stocks Show Strong Correlation To Recent Quarterly Results