Cronos Group (TSE:CRON)
TSX:CRON
Want to see TSE:CRON full AI Analyst Report?
Top Page
Cronos Group
(TSX:CRON)
Select Model
Select Model
Rating:60Neutral
Price Target:
C$3.50
▼(-5.41% Downside)
Action:ReiteratedDate:04/24/26
The score is anchored by strong financial resilience (minimal leverage and substantial liquidity) and improving operating trends (better revenue growth and gross margin). It is held back by still-weak and volatile bottom-line profitability with uneven free cash flow conversion, plus only mixed technical positioning (momentum indicators positive but price below key short/intermediate moving averages). Valuation is also constrained by a negative P/E and no dividend support, while the latest earnings call adds a constructive outlook tempered by near-term execution and margin normalization risks.
Positive Factors
Balance Sheet Strength
Extremely low leverage and a large cash/equity cushion provide durable financial flexibility. This reduces solvency risk, enables disciplined M&A, share repurchases and capex while absorbing regulatory or demand shocks, supporting strategic execution over the next several quarters.
Negative Factors
Operating Profitability Weakness
Despite revenue and gross margin improvement, operating losses and volatile net income signal structural profitability gaps. Persistent negative operating margins constrain retained earnings, limit reinvestment or dividend capacity, and mean sustained operational fixes are required to deliver consistent profits.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance Sheet Strength
Extremely low leverage and a large cash/equity cushion provide durable financial flexibility. This reduces solvency risk, enables disciplined M&A, share repurchases and capex while absorbing regulatory or demand shocks, supporting strategic execution over the next several quarters.
Read all positive factors
Cronos Group (CRON) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$1.36B
Dividend YieldN/A
Average Volume (3M)119.33K
Price to Earnings (P/E)―
Beta (1Y)1.36
Revenue Growth27.02%
EPS Growth-121.99%
CountryCA
Employees459
SectorHealthcare
Sector Strength45
IndustryDrug Manufacturers - Specialty & Generic
Share Statistics
EPS (TTM)-0.08
Shares Outstanding379,051,120
10 Day Avg. Volume123,505
30 Day Avg. Volume119,325
Financial Highlights & Ratios
PEG Ratio0.84
Price to Book (P/B)0.92
Price to Sales (P/S)6.74
P/FCF Ratio6.63K
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
C$4.50Price Target Upside21.62% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)0.08
Revenue Forecast (FY)C$186.17M
Cronos Group Business Overview & Revenue Model
Company Description
Cronos Group Inc. operates as a cannabinoid company. It manufactures, markets, and distributes hemp-derived supplements and cosmetic products through e-commerce, retail, and hospitality partner channels under the Lord Jones and Happy Dance brands ...
How the Company Makes Money
Cronos Group makes money primarily by selling cannabis and cannabinoid-based products in jurisdictions where they are legal and regulated. Its core revenue stream is product sales to provincial/territorial wholesalers, distributors, retailers, and...
Cronos Group Earnings Call Summary
Earnings Call Date:Feb 26, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 11, 2026
Earnings Call Sentiment Positive
The call conveyed a largely positive tone driven by record annual and quarterly results, strong organic revenue growth (25% full year; Q4 +47%), product and brand momentum in Canada (Spinach, edibles, vapes) and robust international performance (Israel +52%, other international +68%). The company emphasized a strong balance sheet (no debt, $832M cash), disciplined capital allocation (share repurchases, modest CapEx) and strategic expansion via the accretive CanAdelaar acquisition. Near-term operational challenges tied to GrowCo expansion caused Q4 margin and adjusted EBITDA pressures as well as some shipment timing effects, but management expects these to normalize and views full-year 2025 margins (43%) as a reasonable run rate. Overall, highlights meaningfully outweigh the lowlights, with manageable operational issues and clear levers for margin recovery and growth.Positive Updates
Record Annual and Quarterly Results
Delivered a record year in 2025 with organic net revenue growth of 25% year-over-year; achieved record net revenue in Q4 and for the full year, and record full year gross profit and adjusted EBITDA.
Negative Updates
Q4 Margin and Production Disruption from GrowCo Expansion
Adjusted gross margin in Q4 (36%) declined from the stronger margins seen in the first three quarters of 2025 due to adverse production quality mix and expense timing related to GrowCo expansion ramp-up; company expects these to normalize in 2026.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Annual and Quarterly Results
Delivered a record year in 2025 with organic net revenue growth of 25% year-over-year; achieved record net revenue in Q4 and for the full year, and record full year gross profit and adjusted EBITDA.
Read all positive updates
Company Guidance
The company guided to sustaining 2025 full‑year operating performance, targeting a go‑forward adjusted gross margin around 43% (Q4 gross profit $16.2M, 36% margin; Q4 adj. gross margin improved 670 bps vs. Q4 2024), and reiterated that adjusted EBITDA should strengthen as GrowCo production stabilizes and scale efficiencies materialize (Q4 adj. EBITDA $0.5M, +$7.7M YoY; 2025 organic net revenue growth +25% YoY with consolidated Q4 net revenue $44.5M, +47% YoY). Management expects supply constraints to ease in 2026 with expanded GrowCo capacity, Puffers distribution to broaden in early 2026, continued share repurchases, opportunistic M&A (CanAdelaar agreed for EUR57.5M / ~$67.5M upfront plus contingent consideration at 0.5x normalized EBITDA in ’26 and ’27, expected to close H1 2026), and disciplined capital deployment (cash balance $832M, ~$18M cash from operations before working capital in Q4, CapEx run‑rate < $10M indicated), while noting potential margin upside from the accretive CanAdelaar business and ongoing international growth (Canada +42% YoY, Israel +52% YoY, international ex‑Israel +68% YoY).Cronos Group Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
86
Very Positive
Cash Flow
52
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 149.15M | 117.50M | 87.03M | 87.54M | 64.02M |
| Gross Profit | 61.70M | 30.45M | 11.88M | 15.58M | -17.45M |
| EBITDA | -3.36M | -45.37M | -72.28M | -93.81M | -150.79M |
| Net Income | -9.61M | 41.04M | -73.79M | -170.26M | -392.81M |
Balance Sheet | |||||
| Total Assets | 1.19B | 1.17B | 1.14B | 1.21B | 1.40B |
| Cash, Cash Equivalents and Short-Term Investments | 830.28M | 858.80M | 861.53M | 877.72M | 1.00B |
| Total Debt | 2.68M | 2.02M | 2.55M | 3.88M | 9.81M |
| Total Liabilities | 54.08M | 55.33M | 43.96M | 72.05M | 63.46M |
| Stockholders Equity | 1.09B | 1.06B | 1.10B | 1.14B | 1.34B |
Cash Flow | |||||
| Free Cash Flow | 151.61K | 5.69M | -46.26M | -93.98M | -165.88M |
| Operating Cash Flow | 26.32M | 18.84M | -42.84M | -88.95M | -153.62M |
| Investing Cash Flow | -77.90M | 175.15M | -59.50M | -1.84M | -28.90M |
| Financing Cash Flow | -20.25M | -1.23M | -1.03M | -2.90M | -13.44M |
Cronos Group Technical Analysis
Positive
3.70
Price Trends
3.56
Positive
3.62
Positive
3.48
Positive
Market Momentum
0.04
Negative
58.07
Neutral
83.95
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CRON, the sentiment is Positive. The current price of 3.7 is above the 20-day moving average (MA) of 3.54, above the 50-day MA of 3.56, and above the 200-day MA of 3.48, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 58.07 is Neutral, neither overbought nor oversold. The STOCH value of 83.95 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CRON.
Cronos Group Risk Analysis
Cronos Group disclosed 92 risk factors in its most recent earnings report. Cronos Group reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Cronos Group Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | C$2.64B | 5.53 | 6.29% | ― | 5.40% | 62.80% | |
67 Neutral | C$2.62B | -9.50 | -9.71% | ― | 1.59% | 29.84% | |
60 Neutral | C$1.36B | -135.96 | -0.87% | ― | 27.02% | -121.99% | |
60 Neutral | C$4.01B | 6.09 | -12.61% | ― | -2.25% | 55.22% | |
53 Neutral | C$718.84M | -2.15 | -52.88% | ― | 0.59% | 64.81% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
45 Neutral | C$672.45M | -1.18 | -33.00% | ― | -7.58% | -79.11% |
* Healthcare Sector Average
TSE:CRON
Cronos Group
3.60
0.84
30.43%
TSE:WEED
Canopy Growth
1.59
-0.23
-12.64%
TSE:CURA
Curaleaf Holdings
5.18
4.04
354.39%
TSE:GTII
Green Thumb Industries
11.40
3.69
47.86%
TSE:TRUL
Trulieve Cannabis
13.63
7.57
124.92%
TSE:CL
Cresco Labs
1.51
0.51
51.00%
Cronos Group Corporate Events
Business Operations and StrategyFinancial DisclosuresM&A Transactions
Cronos Group Posts Record 2025 Revenue and Eyes European Cannabis Expansion
Positive
Feb 26, 2026
Cronos Group reported record fourth-quarter and full-year 2025 net revenue, with Q4 sales rising 47% year over year to $44.5 million and full-year revenue up 25% to $146.6 million, driven by strong demand for its leading brands, expanded output fr...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.