Tilray (TLRY) AI Stock Analysis

• Market Cap: $922.73M
• Dividend Yield: N/A
• Average Volume (3M): 3.24M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.27
• Revenue Growth: 2.31%
• EPS Growth: -726.28%
• Country: US
• Employees: 2,650
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.41
• Shares Outstanding: 116,506,910
• 10 Day Avg. Volume: 2,370,343
• 30 Day Avg. Volume: 3,236,245
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.18
• Price to Sales (P/S): 0.34
• P/FCF Ratio: -2.17
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 0.77
• Enterprise Value/Gross Profit: 2.73
• Enterprise Value/Ebitda: -0.31
• 1Y Price Target: $9.60
• Price Target Upside: 22.61% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6
• EPS Forecast (FY): -0.48
• Revenue Forecast (FY): $864.39M

• Rating: 49 Neutral
• Price Target: $8.00 ▲(2.17% Upside)
• Action: Reiterated Date: 01/12/26
• Date: Action: Reiterated 01/12/26

The score is held down primarily by weak financial performance (large losses, negative ROE, and persistent negative free cash flow) and bearish technical signals (below key moving averages with negative MACD). These are partly balanced by a more constructive earnings-call outlook (reaffirmed EBITDA guidance, cost savings progress, improved liquidity) while valuation support is limited due to negative earnings and no dividend.

Positive Factors

Rapid revenue scaling

Sustained top-line expansion and a record quarter reflect stronger market penetration and diversified channel mix (cannabis, distribution, beverage). Higher revenue scale improves fixed-cost absorption and provides a firmer base to pursue margin recovery and investments over the next several quarters.

Stronger liquidity & lower leverage

Material cash reserves and a net cash position materially reduce near-term refinancing risk and give management optionality to fund operations, complete turnaround initiatives, or invest in higher-margin international markets while executing cost-savings programs.

Scale in medical & distribution channels

A broad medical product portfolio, large registered patient base and expanding pharmacy/distribution footprint create durable B2B and B2C revenue streams. Distribution scale and clinical positioning support higher-margin international sales and long-term commercial resilience.

Negative Factors

Negative operating & free cash flow

Persistent negative operating and free cash flow means the business is not yet self-funding, creating ongoing reliance on external financing or asset sales. That limits ability to invest, increases dilution/refinancing risk, and makes execution sensitive to revenue or margin setbacks.

Ongoing GAAP losses and value erosion

Very large GAAP losses and severely negative ROE indicate the company is destroying shareholder value and have weakened the capital base. Until operating profits and ROE recover, capital constraints and investor confidence will likely limit strategic flexibility.

Regulatory & segment execution risk

Regulatory uncertainty in key addressable markets and structural problems in beverages create durable downside risk to revenue and margins. Adverse policy outcomes or prolonged beverage turnaround delays could permanently reduce TAM or force costly strategic shifts.

Tilray Business Overview & Revenue Model

Company Description

Tilray Brands, Inc. engages in the research, cultivation, production, marketing, and distribution of medical cannabis products in Canada, the United States, Europe, Australia, New Zealand, Latin America, and internationally. The company operates through four segments: Cannabis Business, Distribution Business, Beverage Alcohol Business, and Wellness Business. It offers medical and adult-use cannabis products, including GMP-certified flowers, oils, vapes, edibles, and topicals; purchases and resells pharmaceutical and wellness products; and produces, markets, sells, and distributes beverage alcohol products, and hemp-based food and other wellness products. The company offers its products under the Tilray, Aphria, Broken Coast, Symbios, B!NGO, The Batch, P'tite Pof, Dubon, Good Supply, Solei, Chowie Wowie, Canaca, RIFF, SweetWater, Breckenridge Distillery, Alpine Beer Company, and Green Flash brands. It sells its products to retailers, wholesalers, patients, physicians, hospitals, pharmacies, researchers, and governments, as well as direct to consumers. The company was formerly known as Tilray, Inc. Tilray Brands, Inc. is headquartered in Leamington, Canada.

How the Company Makes Money

Tilray generates revenue primarily through the sale of cannabis products in both the medical and recreational markets. Key revenue streams include direct-to-consumer sales through its own distribution channels and partnerships with licensed retailers. The company also engages in wholesale distribution to other cannabis companies and dispensaries. Additionally, Tilray has been expanding its presence in the global market by entering into strategic partnerships and joint ventures, such as collaborations with major alcohol brands and pharmaceutical companies, which provide further avenues for revenue generation. The company's investments in research and development of innovative products and its focus on international expansion are also significant contributors to its earnings.

Tilray Financial Statement Overview

Summary

Despite strong recent revenue growth (~76% TTM), profitability and cash generation are very weak: net margin is deeply negative (~-271% TTM), ROE remains sharply negative, and operating/free cash flow are consistently negative, implying ongoing funding and execution risk. Balance sheet leverage is moderate, but the capital base has weakened over time.

Income Statement

Revenue has scaled meaningfully over time, with TTM (Trailing-Twelve-Months) revenue up ~76% versus the prior annual period. However, profitability has deteriorated sharply: TTM net margin is deeply negative (about -271%) versus a much smaller loss in FY2024 (about -31%), indicating substantial costs/charges overwhelming gross profit. Gross margin is relatively steady (~28–29% in FY2024–TTM), but operating performance is extremely weak with very large operating losses, making the income statement the key pressure point.

Balance Sheet

Leverage appears manageable relative to equity in the annual periods (debt-to-equity roughly ~0.11–0.22 from FY2021–FY2025), and total debt has trended down versus FY2021–FY2023 levels. That said, equity and total assets have declined materially since FY2022–FY2024, and returns on equity are consistently negative (TTM ROE roughly -155%), reflecting ongoing value erosion from losses. Overall: not highly levered, but weakening capital base and persistent losses raise balance-sheet risk over time.

Cash Flow

Cash generation is weak: operating cash flow is negative in TTM (Trailing-Twelve-Months) and in most annual periods, and free cash flow is also consistently negative (TTM roughly -$64M; FY2025 roughly -$175M). While the cash burn in TTM is smaller than FY2025, free cash flow growth is sharply negative versus the prior period, pointing to continued funding needs. The business is not yet self-funding based on current operating cash flow trends.

Breakdown	TTM	May 2025	May 2024	May 2023	May 2022	May 2021
Income Statement
Total Revenue	1.17B	1.13B	1.07B	844.72M	792.12M	619.67M
Gross Profit	327.19M	330.11M	304.33M	197.95M	147.26M	148.77M
EBITDA	-2.92B	-2.92B	-99.25M	-1.72B	-310.61M	-297.41M
Net Income	-2.95B	-3.00B	-333.80M	-1.96B	-601.05M	-443.75M
Balance Sheet
Total Assets	2.93B	2.90B	5.91B	5.92B	6.87B	6.03B
Cash, Cash Equivalents and Short-Term Investments	407.29M	351.78M	354.98M	604.16M	524.29M	488.47M
Total Debt	446.52M	451.09M	527.75M	794.89M	786.36M	938.66M
Total Liabilities	771.26M	860.49M	1.22B	1.44B	1.27B	1.56B
Stockholders Equity	2.21B	2.07B	4.69B	4.47B	5.55B	4.46B
Cash Flow
Free Cash Flow	-94.48M	-174.98M	-81.96M	-17.37M	-266.39M	-100.93M
Operating Cash Flow	-38.72M	-129.81M	-42.11M	10.65M	-223.45M	-53.99M
Investing Cash Flow	-28.61M	-64.11M	174.88M	-384.04M	-27.14M	55.67M
Financing Cash Flow	142.03M	183.20M	-102.45M	94.50M	161.60M	150.09M

Tilray Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7.83
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TLRY, the sentiment is Neutral. The current price of 7.83 is above the 20-day moving average (MA) of 7.63, below the 50-day MA of 9.01, and below the 200-day MA of 9.24, indicating a neutral trend. The MACD of -0.28 indicates Negative momentum. The RSI at 46.42 is Neutral, neither overbought nor oversold. The STOCH value of 63.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TLRY.

Tilray Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CRON	67 Neutral	C$1.43B	29.01	3.34%	―	22.20%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
TLRY	49 Neutral	$922.73M	-0.35	-83.42%	―	2.31%	-726.28%
SNDL	49 Neutral	$399.12M	-6.16	-7.82%	―	1.76%	18.31%
HYFM	44 Neutral	$6.07M	-0.10	-30.93%	―	-26.84%	-0.16%
EVGN	43 Neutral	$7.31M	-1.78	―	―	-29.78%	88.96%
IMCC	40 Underperform	$4.20M	-1.00	-93.87%	―	-0.74%	81.49%

Tilray Corporate Events

Tilray Announces Reverse Stock Split Effective December 1

Tilray Brands announced the implementation of a one-for-ten reverse stock split of its common stock, effective December 1, 2025, with trading on a split-adjusted basis starting December 2, 2025. This move aims to align the number of shares with companies of similar size, attract institutional shareholders, and reduce costs associated with its Annual Meeting of Stockholders, potentially saving up to $1 million annually. The reverse stock split will reduce the number of outstanding shares from approximately 1.16 billion to 116 million, with no fractional shares issued, maintaining stockholders’ proportional ownership.

The most recent analyst rating on (TLRY) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on Tilray stock, see the TLRY Stock Forecast page.