Canopy Growth Sees Unusually Large Options Volume (NASDAQ:CGC)

Canopy Growth Corporation (NASDAQ:CGC) was the target of some unusual options trading on Monday. Investors purchased 11,855 put options on the company. This represents an increase of approximately 131% compared to the typical volume of 5,127 put options.

Institutional Trading of Canopy Growth

Hedge funds have recently modified their holdings of the company. Royal Bank of Canada boosted its position in Canopy Growth by 1,115.6% during the 1st quarter. Royal Bank of Canada now owns 975,967 shares of the company’s stock worth $927,000 after acquiring an additional 895,680 shares during the period. Lazard Asset Management LLC acquired a new position in shares of Canopy Growth during the first quarter valued at $1,716,000. Caitong International Asset Management Co. Ltd increased its holdings in shares of Canopy Growth by 723.5% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 4,595,330 shares of the company’s stock valued at $5,239,000 after purchasing an additional 4,037,281 shares during the period. Foundations Investment Advisors LLC bought a new stake in shares of Canopy Growth during the fourth quarter valued at about $485,000. Finally, SLT Holdings LLC bought a new stake in shares of Canopy Growth during the fourth quarter valued at about $484,000. 3.33% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several brokerages have recently issued reports on CGC. Weiss Ratings downgraded shares of Canopy Growth from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Wednesday. Wall Street Zen downgraded shares of Canopy Growth from a “hold” rating to a “sell” rating in a research report on Saturday, September 5th. Two research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Hold”.

Canopy Growth Stock Performance

Shares of NASDAQ CGC traded down $0.01 during trading on Monday, hitting $0.93. The company had a trading volume of 1,041,264 shares, compared to its average volume of 8,056,292. The stock has a 50 day simple moving average of $0.96 and a 200 day simple moving average of $1.01. The firm has a market capitalization of $415.60 million, a P/E ratio of -2.06 and a beta of 0.83. The company has a debt-to-equity ratio of 0.31, a quick ratio of 2.39 and a current ratio of 3.04. Canopy Growth has a 12 month low of $0.84 and a 12 month high of $2.38.

Canopy Growth (NASDAQ:CGC) last posted its quarterly earnings results on Friday, August 7th. The company reported ($0.02) EPS for the quarter, beating analysts’ consensus estimates of ($0.04) by $0.02. The business had revenue of $142.62 million for the quarter, compared to analysts’ expectations of $58.21 million. Canopy Growth had a negative return on equity of 21.91% and a negative net margin of 65.33%. As a group, analysts anticipate that Canopy Growth will post -0.1 earnings per share for the current year.

About Canopy Growth

Canopy Growth Corporation is a cannabis company headquartered in Smiths Falls, Ontario, Canada. Founded in 2013 as Tweed Marijuana Inc, the company adopted the Canopy Growth name in 2015 and has developed a portfolio of cannabis brands serving both adult-use and medical markets.

Canopy Growth’s products include dried cannabis flower, pre-rolls, cannabis oils, softgels, edibles, beverages and vaporization products. Its brand portfolio has included Tweed, 7ACRES, Doja, Deep Space and other cannabis brands, as well as Storz & Bickel vaporization products.