Replies to post #6613 on Tilray Brands Inc (TLRY)

[FUNMAN]

Why Tilray Stock Is Heading Higher Today

An analyst upgrade is boosting the pot titan's shares.

By: George Budwell
Jun 3, 2021 at 10:30AM

https://www.fool.com/investing/2021/06/03/why-tilray-stock-is-heading-higher-today/?source=eptyholnk0000202&utm_source=yahoo-host&utm_medium=feed&utm_campaign=article

What happened

Shares of the cannabis titan Tilray (NASDAQ:TLRY) jumped by as much as 15% in pre-market trading Thursday morning. The stock is responding positively to an upgrade from the financial services firm Cantor Fitzgerald that came out after the closing bell yesterday.

Specifically, Cantor Fitzgerald upgraded Tilray's stock to overweight from neutral. In an odd twist, however, the firm also lowered its 12-month price target from $30.25 to $22 in the same note to investors.

Despite this lower price target, though, the firm is still calling for Tilray's stock to rise by a healthy 15.7% over the next 12 months relative to Wednesday's closing price of $19. As of 9:40 a.m. EDT today, Tilray's stock was up by 12.26% in the wake of this analyst upgrade.

So what

Cantor Fitzgerald analyst Pablo Zuanic cited Tilray's newfound strength -- both in its domestic market of Canada and internationally -- following its merger with Aphria as the reason for the upgrade. That's definitely a solid rationale for the firm's bullish outlook.

Now what

Is Tilray stock worth owning at this point? With a market cap of roughly $9 billion, this mid-cap pot stock may not have much more room to run in the near term. The shares, after all, are now trading at close to 10 times 2022 projected revenue. That's not an outlandish valuation, but this top pot stock certainly isn't in bargain territory right now.

In short, investors might want to hang tight and wait for a more-compelling entry point.

[FUNMAN]

FORM 4 - WOW, that's a lot of money for Mr Simon.

https://ir.tilray.com/node/9456/html

Explanation of Responses:
1. These shares were retained by Tilray, Inc. via settlement on a net withholding basis in order to meet the tax withholding obligations of the Reporting Person in connection with the vesting of an installment of restricted stock units granted to the Reporting Person on January 22, 2020.
2. Restricted stock units convert into shares of Class 2 Common Stock on a one-for-one basis.
3. On January 22, 2020, the reporting person was granted 218,038 restricted stock units, 33.33% of which vested on June 1, 2020; 33.33% of which vested on June 1, 2021; and the remaining 33.34% of which will vest on June 1, 2022.
4. On January 22, 2020, the reporting person was granted 726,794 restricted stock units, 33.33% of which vested on June 1, 2020; 33.33% of which vested on June 1, 2021; and the remaining 33.34% of which will vest on June 1, 2022.