Cannabis is on everyone's mind today—no, not like that.
I mean that cannabis stocks are on everyone's mind. Calm down there, bud.
Tilray Is Smokin'
No, I mean it.
Tilray (TLRY) shot up 60% in afternoon trading!
The stock has exploded 890% since the company's well-received IPO in late July.
C'mon, we can all agree that that's nuts.
TheStreet's Brian Sozzi thinks that he has it all figured out.
He wrote that the good times are likely to continue flowing as the hype on the company's prospects reaches fever-pitch levels. Tilray shares spiked another 50% on Wednesday's session following a bullish interview by CEO Brendan Kennedy on "Mad Money," hosted by TheStreet's founder Jim Cramer.
"This industry [cannabis] is disrupting the pharmaceutical industry, cannabis is a threat to prescription-based painkillers, primarily opiods," explained Kennedy in an interview with TheStreet on the day of its July IPO. "It's definitely a threat to companies in the alcohol industry who see cannabis as a substitute—it's also a threat to some of the functional food and beverage companies who don't look at THC as an ingredient but look at CBS as an ingredient in CBD water or CBD exercise or recovery drink."
Micron's on Fire, But Not in the Same Way as Tilray
"Just in the last week and a half, we have seen Micron hit with either outright downgrades, or at least reduced price targets from the likes of RBC Capital Markets, Goldman Sachs, Deutsche Bank, Macquarie and BMO Capital Markets," Guilfoyle wrote. "The problem—or problems—seem to be deterioration in both DRAM and NAND pricing power. When it comes to memory, weakness in NAND had been expected for some time now across the industry, but DRAM? That's a horse of a different color, and had to be priced in."
Drop It Like It's Hot
TheStreet's Tony Owusu tackles the Morgan Stanley note.
The firm reiterated its "underweight" rating on the chipmaker while also raising its price target to $28 from $11 a share. Morgan Stanley analyst Joseph Moore's bullish outlook still suggests a downside for the stock, which was declining 2.3% to $31.20 on Wednesday, Sept. 19.
Moore said he believes that the delay of Intel Corp.'s (INTC - Get Report) new 10 nm CPU is more disruptive than many in the industry realize, leaving an opening for AMD and rival Taiwan Semiconductor Manufacturing Co. (TSM - Get Report) in the space.
Intel has delayed the mass production of its latest processor until late 2019 after first saying that the chip would debut at the end of this year. Low volume shipments already have been made, but the company said that mass production will not kick into gear for another year.