If you’re a pot stock investor, you’ll likely be interested in CIBC’s latest equity research that upgrades Aphria but throws cold water on Aurora Cannabis and Hexo.
CIBC reiterated its $7.50 price target for Aphria, but upgraded it to “outperformer.”
Researchers noted that the stock had declined about eight percent since the company reported is fourth-quarter results, which “now creates an attractive 25 percent upside to our target,” the research note said.
CIBC said Aphria continues to gain market share, and now has the No. 1 spot in Ontario and Alberta.
CIBC analysts are bearish on Aurora and Hexo, saying they expect sales to fall eight per cent for both companies in this fiscal year.
They are also predicting a 10-percent decline in sales for Aurora in 2022 and a 14-percent decline for Hexo over the same time frame.
CIBC reduced its price target for Aurora by $4, saying they believe its share price will hit $20. They reduced Hexo’s target by ten cents, saying they expect a $0.90 share price.
Aphria gained nine cents on the day to close at $6.13, an increase of 1.49 percent. Hexo fell four per cent to close at $0.96 while Aurora fell 1.57 per cent to close at $13.18. Aurora’s 52-week high was $102.84.