RE:RE:RE:Pro - Canopy tradersGood point and I'm pulling up that interview again for anyone who missed it.
Shareholders aren't privy to insider machinations/developments until an announcement hits market
so it can be frustrating for the long-timers. There's really no transparency here other than the constant s/h dilution. I just read that their debt-to-equity ratio is 127.28 (if accurate)which tells
me that unless some seismic shift happens in this industry, it's going to take several quarters
if not a couple of years to generate any sales growth given the economic conditions which has
negatively impacted all companies.
Today, the general market will react to the Fed's interest rate decision (expected to hold rates)
The important aspect is that the market has been expecting rate cuts imminently so everyone's awaiting Powell's speech. I'm gonna guess that Powell is not going to offer up any sign of relief to consumers just yet. His messaging is always vague/cautious even though economists contradict him and continue to say we'll see the first rate cut starting June. Historically, US Feds always cut pre-election. If Powell decides to play hard ball, indicating no intention to cut anytime soon, market could see an overall sector sell-off due to the overall inflationary hardship.
Here's the replay of Klein's "strategic direction" from a month ago: 22 minutes:
quinlash wrote: Canopy's CEO was interviewed by The Dales Report last month or so. During the interview he was asked about burn rates and need to raise funds. He explained the expenses nicely IMHO and detailed which expenses were only on paper (eg Depresation write off) as well as what were one time expenses. Don't quote me in this but I'm pretty sure the net cash burn was $34 million per QTR which is a vast improvement over the numbers being tossed around on this forum.
A capital raise can't be ruled out entirely. The Canopy USA setup may incur legal and exchange fees and there is always the unknowns. A strategic merger or acquisition may be in play as well (speculation).
If Kamala Harris comes through on cannabis rescheduling in the near term the rules for cannabis are going to change and likely result in new opportunities in the US for Canopy Growth.