Investors Buy High Volume of Canopy Growth Call Options (NASDAQ:CGC)

Canopy Growth Corporation (NASDAQ:CGC) was the target of unusually large options trading on Wednesday. Stock investors acquired 40,207 call options on the stock. This is an increase of 61% compared to the typical daily volume of 24,978 call options.

Canopy Growth Price Performance

Canopy Growth stock traded up $0.20 during mid-day trading on Wednesday, hitting $1.34. The company’s stock had a trading volume of 31,014,746 shares, compared to its average volume of 11,089,964. The company has a quick ratio of 4.26, a current ratio of 5.34 and a debt-to-equity ratio of 0.30. The stock has a market capitalization of $539.50 million, a P/E ratio of -1.03 and a beta of 0.60. Canopy Growth has a twelve month low of $0.84 and a twelve month high of $2.38. The stock’s fifty day moving average price is $1.06 and its two-hundred day moving average price is $1.18.

Canopy Growth (NASDAQ:CGC) last issued its earnings results on Friday, February 6th. The company reported ($0.10) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.03) by ($0.07). Canopy Growth had a negative net margin of 94.39% and a negative return on equity of 46.85%. The company had revenue of $90.39 million for the quarter, compared to analyst estimates of $70.96 million. Research analysts forecast that Canopy Growth will post -0.36 earnings per share for the current year.

Institutional Trading of Canopy Growth

Several large investors have recently added to or reduced their stakes in the company. Midwest Trust Co acquired a new stake in Canopy Growth in the third quarter worth $31,000. Boothbay Fund Management LLC acquired a new stake in Canopy Growth in the second quarter worth $30,000. Bank of Montreal Can raised its holdings in Canopy Growth by 122.7% in the fourth quarter. Bank of Montreal Can now owns 25,174 shares of the company’s stock worth $29,000 after purchasing an additional 135,970 shares during the period. Octavia Wealth Advisors LLC acquired a new stake in Canopy Growth in the fourth quarter worth $30,000. Finally, PCG Wealth Advisors LLC acquired a new stake in Canopy Growth in the fourth quarter worth $32,000. 3.33% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several equities analysts have recently commented on the stock. Wall Street Zen cut shares of Canopy Growth from a “hold” rating to a “sell” rating in a research report on Sunday, March 29th. Canaccord Genuity Group assumed coverage on shares of Canopy Growth in a research report on Friday, March 27th. They set a “buy” rating on the stock. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Canopy Growth in a research report on Monday. Alliance Global Partners reaffirmed a “neutral” rating on shares of Canopy Growth in a research report on Saturday, February 7th. Finally, ATB Cormark Capital Markets raised shares of Canopy Growth from a “strong sell” rating to a “moderate buy” rating in a research report on Tuesday, March 17th. Two analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold”.

Canopy Growth Company Profile

Canopy Growth Corporation is a leading Canadian cannabis company engaged in the production, distribution and sale of both medical and recreational cannabis products. Headquartered in Smiths Falls, Ontario, the company cultivates a diversified portfolio of offerings that includes dried flower, pre-rolled joints, oils, softgel capsules and edibles. Canopy Growth also markets derivative products such as beverages and wellness formulations under a range of brands, aiming to serve both patient and adult-use markets.

The company operates through multiple subsidiaries, including Tweed Inc, Spectrum Therapeutics and Tokyo Smoke, each targeting distinct consumer segments.