Canopy Growth Corp (WEED)

[TREND1]

You already know this but a repeat is good. IMHO.
F2019 Q4 Review
Canopy Growth reported results for the first quarter of calendar 2019 and investors were rattled by the disappointing profitability at the world's largest cannabis company by market value. Revenue net of excise taxes came in at $94 million, or 13% higher than last quarter. However, the growth was entirely contributed by Canopy's ancillary businesses including its recent acquisition of vaporizer maker Storz & Bickel and other ventures. In fact, without the $24 million ancillary revenue contribution, the quarterly revenue would have been $70 million or a 16% decline from last quarter.

The decline in cannabis revenue was indeed concerning as both medical and recreational sales shrank during the quarter. Since cannabis was legalized in October 2018 in Canada, the country has reported muted sales numbers and it has not shown any signs of rebounding. The Canadian market essentially possesses no growth which is a really bad environment for all cannabis companies including Canopy. It would be extremely tough to achieve growth when the market is not growing at all and new licenses are handed out continuously by the regulators. We don't think Canopy could find much growth in its cannabis-related revenue under a struggling Canadian market.

YES There is a reason 20 sma is below the 200 sma.
Do not buy now !