Tilray Brands (TLRY), a cannabis company, will release its Q1 FY26 results on October 9. The penny stock has surged 189% over the past three months, fueled by optimism around potential regulatory changes in the U.S. cannabis market. Even so, the stock is still down about 2% over the past year, weighed down by ongoing losses, slow revenue growth, and persistent challenges in the cannabis sector.
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Wall Street analysts expect Tilray Brands to report a loss per share of $0.03, versus a loss of $0.04 per share in the year-ago quarter. Meanwhile, revenues are expected to increase modestly by 2% from the year-ago quarter to $204.6 million, according to data from the TipRanks Forecast page. It’s important to note that Tilray Brands has missed EPS estimates in all of the past nine quarters.
Options Traders Anticipate a Large Move
Using TipRanks’ Options tool, we can see what options traders are expecting from the stock immediately after its earnings report. The expected earnings move is determined by calculating the at-the-money straddle of the options closest to expiration after the earnings announcement. If this sounds complicated, don’t worry, the Options tool does this for you.
Indeed, it currently says that options traders are expecting a 21.05% move in either direction.
Is Tilray a Good Stock to Buy Now?
Turning to Wall Street, analysts’ coverage of Tilray is lacking. Fortunately, TipRanks’ AI analyst has it covered. According to TipRanks’ AI Stock Analysis, TLRY stock scores a Neutral rating with a price target of $1.50, which indicates a possible downside of 12.28% from current levels. The AI score of 50 out of 100 highlights ongoing profitability and cash flow challenges, though these are partly balanced by some positive technical trends.
