Profitability UncertaintyThe timing of profitability is unclear, and the company is not expected to achieve positive adjusted EBITDA before 2026.
Regulatory ChallengesRegulatory challenges, including unclear US federal cannabis reform and changes to the Canadian Cannabis Act, are significant factors that negatively impact the stock's valuation.
Valuation PressureCronos Group's enterprise value is slightly negative, attributed to the lack of US reform and investor restrictions, which pressures the stock compared to its peers.