3 Green Flags for Aurora Cannabis’ Future
For investors in troubled Canadian marijuana cultivator Aurora Cannabis (NYSE: ACB), good news is in short supply. The company is nowhere near profitability, and its stock has been falling since March of last year, culminating in a massive collapse in September.
In its latest earnings report, Aurora disclosed that its sales revenues were down 5% from the previous quarter, capping a long string of losses. If that weren’t enough, shareholders are mounting a lawsuit against the company, alleging that it misled investors in early 2020 about the stock’s potential.
But there have been a few positive developments to give shareholders and potential investors a glimmer of hope. Support for cannabis legalization is increasing, and Aurora’s own leadership team is changing, all of which could mean a turn in the company’s luck. And while those factors won’t be enough to make the stock worth a purchase in the short term, they’ll definitely contribute to the company’s turnaround effort.