Cannabis stocks tend to move in tandem these days. Good news for one company is taken as good news for all - same goes for bad news.
Wednesday is a bad news day for the sector after Canadian cannabis company Tilray (TLRY) reported a second-quarter loss that was wider than analysts were expecting.
The Nanaimo, British Columbia, company reported an adjusted loss of 32 cents a share against the FactSet-derived analyst consensus of a loss of 25 cents. Revenue more than quadrupled to $45.9 million. Analysts were expecting revenue of $41.1 million.
The wider loss and a decline in adjusted EBITDA were driven by increased operating expenses tied to growth initiatives, Tilray said.
The stock was down 14.1% on Wednesday to $39.53, and other cannabis stocks were feeling the pinch.
Amplify Seymour Cannabis ETF (CNBS) was down 4.66%.