OGI - Cronos drives Canadian pot stocks lower after quarterly miss

• Cronos Group ( NASDAQ: CRON ) led a selloff among marijuana companies, particularly Canadian stocks, on Tuesday after the Toronto-based Licensed Producer fell short of Street forecasts with its revenue estimates for Q2 2022.
• Cronos ( CRON ) shares have recorded the biggest intraday loss since November. Other notable decliners include its Canadian rivals Canopy Growth ( CGC ), Tilray ( TLRY ), Aurora Cannabis ( ACB ), OrganiGram Holdings ( OGI ), and HEXO Corp ( HEXO ). GrowGeneration ( GRWG ) is the lone U.S. MSO to witness a sharp selloff.
• Backed by a ~48% YoY growth in net revenue in Q2 2022, Cronos ( CRON ) reported a gross profit of ~$4.1M and narrowed the net loss by ~89%, partly due to a reduction in non-cash impairment loss on goodwill.
• However, citing the restructuring and other cost-cutting measures as part of the ongoing strategic realignment, the company raised the outlook for expenses to ~$6.4M from the previous estimate of $5.8M.
• Cannabis stocks witnessed an upsurge on Monday as Wall Street reacted to recent remarks made by Sen. Cory Booker regarding a potential compromise on marijuana legislation.

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