RE:RE:APHRIA AND TILRAY COMBINED = BEHEMOTH!!! One more time for the newcomers... No one knows what would be required to sell weed in the US so between Manitoba Harvest and Sweetwater we have every bit of infrastructure, branding and CBD products as any other company such as Canopy. There is almost zero possibility a capitalist free market like America would prevent importing legal products. Ever heard of NAFTA or USMCA?
As to your operating comment: The combined operation will be streamlined just like Aphria was turned around the last two years. Lets check in on how Canopy is doing if you like their sights on America
But like Aurora, Cronos, and HEXO, Canopy Growth is failing miserably in the operating department. Even with Klein overseeing the closure of 3 million square feet of indoor growing space in British Columbia, as well as a significant reduction in share-based compensation, the company's operating loss totaled more than CA$284 million in the fiscal second quarter. Through the first six months of fiscal 2021, Canopy's gross margin is only 13.2% and it's lost almost CA$457 million on an operating basis.
What's potentially scarier is how quickly the company is burning through its monstrous cash pile. By the end of calendar year 2018, Canopy Growth had close to CA$5 billion in cash on its balance sheet. But by the end of September 2020, it was down to CA$1.72 billion. Mind you, this includes a CA$245 million add-on investment from Constellation earlier this year.
The only thing ablaze right now is Canopy's balance sheet. That's not a good thing. Avoid marijuana's biggest stock by market cap in 2021.