Sometime in the last 12 months, shares of cannabis producer Tilray Brands (NASDAQ: TLRY) hit a high of $23.04. On June 9 of last year, to be precise. At yesterday's close, the stock traded at $4.06, which means the share price would have to more than quintuple to trade in the neighborhood of last June's prices. Such a move would, however, require a major catalyst.
The big challenge facing the cannabis industry is that there isn't much happening in the space for investors to get excited. Though there have been moments of hype as new bills were floated in Congress, no laws have been passed that has changed the status quo. Put briefly, federal decriminalization, or legalization, of marijuana doesn't appear imminent.
That leaves Tilray, like other Canadian-based pot companies, standing at the door, waiting for a chance to get into the U.S. market. And as that wait stretches out, its market cap has sunk to just $2 billion, which leads to an obvious question for investors: With such a large slide behind it, has Tilray stock become a good bargain?
For further details see:
Down 80% From Its High, Can Tilray Stock Spark Again?