Why is it that Canadian pot companies are struggling while revenue is soaring for their peers in the U.S., where marijuana is not even federally legal?
Firstly, Canada is a much smaller market than the U.S. With a population of just under 39 million, it's comparable to California. Secondly, regulatory hold-ups delayed the opening of cannabis stores in many provinces. In addition, some Canadian pot companies' errors have left them in distress.
As a result, cannabis players like Aurora Cannabis (NASDAQ: ACB) , and Canopy Growth (NASDAQ: CGC) -- which were popular with investors for many years -- have failed miserably and consistently to report positive adjusted earnings in the last two years. Yet these companies keep making promises on the subject every quarter.
For further details see:
Here's Why Pot Stocks Should Stop Promising Profits