Canopy Growth tumbles 12% after reporting sales that missed the lowest forecast (CGC)
- Cannabis company Canopy Growth plunged 14% in early trading Thursday after missing its lowest revenue estimate for its fiscal first-quarter.
- The cannabis company reported a $1.28 billion loss for the quarter, with $1.2 billion of the hit coming from the extinguishing of warrants held by Constellation Brands after amending the two companies’ Investor Rights Agreement. Constellation took a 38% stake in Canopy in October 2018.
- Canopy is expected to bolster its margins in coming quarters as processing and cultivation of its product reaches planned capacity, CEO Mark Zekulin said in the earnings report.
- Watch Canopy Growth trade live here.