Marijuana Stocks Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Marijuana Stocks

CGC 1.165

+6.9%

3:19 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

From: kidl	1/13/2020 9:58:18 AM
	of 3484

ACB ... The Financial Post reports in its Saturday edition that the chorus of voices warning of risks to Aurora Cannabis's balance sheet is growing louder. The Post's Kristine Owram writes that a $360-million loan coming due in August, 2021, at least three analysts have cautioned that the pot company may be unable to meet the covenants on that debt. "With balance sheet risks to remain a core investment thesis in 2020 in our view, and lingering uncertainty especially on financial covenants, we struggle to envision a scenario where shares have sustainable support," Bank of America analyst Christopher Carey said in a note published Friday. He downgraded Aurora to underperform from neutral and cut his 12-month price target to $1.50 from $4. Ultimately, Mr. Carey expects Aurora will be able to restructure the covenants. Aurora fell as much as 10.7 per cent Friday, and is down 83 per cent from its high in March. Piper Sandler analyst Michael Lavery also downgraded Aurora to underweight from neutral on Friday and cut his price target to $1 from $3, citing "notable risk" from its balance sheet position. Mr. Lavery cautioned that Aurora is likely to generate negative cash from operations until the fiscal third quarter of 2021. © 2020 Canjex Publishing Ltd.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next