James Alexander Michie: The actions of the main cannabis companies were affected by losses | CBC News
Last Wednesday, cannabis recreational use was legalized in Canada and before that much of the previous year, many investors anticipated the acquisition of shares of companies related to cannabis.
On the other hand, all Canadian marijuana companies lost more than 10% in Monday’s operations. Among those affected are the most important in the sector, Aurora Cannabis, Canopy Growth, Aphria, and Tilray. They were affected by double-digit percentage declines.
Business percentage declines
· Aurora Cannabis was down 12 percent at $ 11.42 per share.
· Canopy Growth lost more than 11 percent to close at $ 54.46 on the TSX.
· Aphria Inc. lost 13 percent to $ 15.77 per share.
· Tilray was the most affected as it fell more than 15 percent to $ 122.60 per share.
According to an analyst’s criterion, the weakness of the shares on Monday is not only a problem but the natural result of an overvalued sector that returns to the earth.
Similarly, Stuart Rolfe, owned by Veritas Investment Research Corp., Monday’s weakness did not occur for any reason in particular.
Likewise, he said, “There may not be anything to fix the sale”, he added “I learned a while ago that overvaluation is the baddest catalyst” and likewise said, “It never seems like a lot, but sometimes it drags reservations as a crocodile with a deadly grip”.
Source: CBC News