Canopy Growth (WEED) AI Stock Analysis

• Market Cap: $315.66M
• Dividend Yield: N/A
• Average Volume (3M): 2.11M
• Price to Earnings (P/E): ―
• Beta (1Y): 3.14
• Revenue Growth: -18.39%
• EPS Growth: 35.21%
• Country: CA
• Employees: 1,029
• Sector: Healthcare
• Sector Strength: 44
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -1.43
• Shares Outstanding: 181,407,530
• 10 Day Avg. Volume: 2,565,945
• 30 Day Avg. Volume: 2,105,664
• PEG Ratio: 0.05
• Price to Book (P/B): 0.48
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.78
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $4.79
• Price Target Upside: 211.32% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 39 Underperform
• Price Target: C$1.50 ▼(-2.60%Downside)

Canopy Growth's overall stock score is low due to significant financial performance issues, poor valuation metrics, and bearish technical indicators. Although restructuring efforts and product innovations provide some optimism, they are not enough to overcome the company's substantial financial and market challenges.

Positive Factors

Cost Reduction Plans

Management has identified new cost-reduction plans that are expected to lead to cost savings of at least C$20mn over the next 12-18 months.

Negative Factors

Execution Problems

Canopy has lingering execution problems, such as reliable product supply, resource allocation, supply chain coordination, and poor alignment between consumer demand and products sold.

Regulatory Challenges

Recent regulatory changes in Poland are putting near-term pressure on Canopy's international operations.

Canopy Growth Business Overview & Revenue Model

Company Description

Canopy Growth Corporation, together with its subsidiaries, engages in the production, distribution, and sale of cannabis and hemp-based products for recreational and medical purposes primarily in Canada, the United States, and Germany. It operates through two segments, Global Cannabis and Other Consumer Products. The company's products include dried cannabis flower, extracts and concentrates, beverages, gummies, and vapes. It offers its products under the Tweed, 7ACRES, 7ACRES Craft Collective, DOJA, Ace Valley, Quatreau, Deep Space, First + Free, Surity Pro, Spectrum Therapeutics, Vert, Tokyo Smoke, Twd, Martha Stewart CBD, DNA Genetics, BioSteel, Storz & Bickel, This Works, HiWay, Simple Stash, Whisl, and Truverra brands. The company was formerly known as Tweed Marijuana Inc. and changed its name to Canopy Growth Corporation in September 2015. Canopy Growth Corporation was incorporated in 2009 and is headquartered in Smiths Falls, Canada.

How the Company Makes Money

Canopy Growth makes money primarily through the cultivation, processing, and sale of cannabis and cannabis-derived products. Its revenue streams include the sale of recreational cannabis products in Canada, medical cannabis products globally, and CBD products in various markets. The company also generates income through its strategic partnerships and investments, such as with Constellation Brands, which provides expertise in brand building and distribution. Additionally, Canopy has pursued acquisitions and developed a portfolio of brands to expand its market reach and product offerings, thus contributing to its earnings.

Canopy Growth Financial Statement Overview

Summary

Canopy Growth is struggling significantly with its financial performance. The company has faced consistent revenue decline and sustained losses, with negative net margins and EBIT margins. The balance sheet shows a weakening financial position with increasing leverage risk. Cash flow management is poor, with negative operating and free cash flows.

Income Statement

Canopy Growth has faced consistent revenue decline and sustained losses over the analyzed period. The company reported a revenue decrease from 2022 to 2025, with negative net margins and EBIT margins, indicating persistent profitability challenges. Despite a temporary gross profit in 2025, overall profitability remains weak due to high operational costs impacting the bottom line.

Balance Sheet

The balance sheet shows a decreasing trend in total assets and stockholders' equity, reflecting a weakening financial position. The debt-to-equity ratio has increased over time, indicating higher leverage risk. However, the company maintains a reasonable equity ratio, suggesting some stability, though financial health is under pressure from rising debts and declining equity.

Cash Flow

Canopy Growth has experienced negative operating and free cash flows, with a deteriorating free cash flow trend. The operating cash flow to net income ratio remains unfavorable, highlighting cash flow challenges. Despite some capital expenditure reductions, overall cash flow management needs improvement to support sustainability.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	269.00M	297.15M	402.90M	520.33M	546.65M
Gross Profit	79.51M	79.90M	-104.14M	-193.05M	66.96M
EBITDA	-479.31M	-312.83M	-2.88B	-121.15M	-1.50B
Net Income	-598.12M	-657.27M	-3.31B	-320.49M	-1.67B
Balance Sheet
Total Assets	917.70M	1.30B	2.44B	5.62B	6.82B
Cash, Cash Equivalents and Short-Term Investments	131.47M	203.46M	782.60M	1.37B	2.30B
Total Debt	348.40M	668.00M	1.31B	1.50B	1.58B
Total Liabilities	430.49M	799.82M	1.68B	1.98B	3.20B
Stockholders Equity	487.21M	500.37M	758.43M	3.59B	3.48B
Cash Flow
Free Cash Flow	-177.03M	-285.95M	-568.10M	-593.92M	-639.87M
Operating Cash Flow	-165.75M	-281.95M	-557.55M	-545.81M	-465.73M
Investing Cash Flow	-47.79M	241.59M	433.38M	230.82M	-884.11M
Financing Cash Flow	148.66M	-465.06M	-19.69M	-45.53M	1.26B

Canopy Growth Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:WEED, the sentiment is Negative. The current price of 1.54 is below the 20-day moving average (MA) of 1.66, below the 50-day MA of 1.92, and below the 200-day MA of 3.22, indicating a bearish trend. The MACD of -0.10 indicates Positive momentum. The RSI at 39.76 is Neutral, neither overbought nor oversold. The STOCH value of 13.58 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:WEED.

Canopy Growth Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	52 Neutral	$7.47B	-0.04	-63.86%	2.34%	16.17%	0.25%
WEED	39 Underperform	$315.66M	―	-122.10%	―	-18.39%	35.21%
ACB	―	$250.99M	95.99	3.05%	―	―	―
CRON	―	$771.54M	16.05	4.61%	―	―	―
CURLF	―	$769.47M	―	-25.08%	―	―	―
GTBIF	―	$1.35B	27.08	2.83%	―	―	―
TCNNF	―	$774.74M	―	-12.39%	―	―	―

Canopy Growth Corporate Events

Storz & Bickel Wins ‘Equipment Provider of the Year’ at 2025 Cannabis Awards

Storz & Bickel, a subsidiary of Canopy Growth, has been named ‘Equipment Provider of the Year’ at the 2025 Business of Cannabis Awards, highlighting their innovation and excellence in vaporization technology. This recognition underscores Storz & Bickel’s leadership in the industry, with products like the VOLCANO and VENTY vaporizers making significant impacts in both medical and recreational markets. The award enhances the company’s reputation for precision engineering and product reliability, further solidifying its position in the global cannabis vaporization market.

The most recent analyst rating on (TSE:WEED) stock is a Sell with a C$1.50 price target. To see the full list of analyst forecasts on Canopy Growth stock, see the TSE:WEED Stock Forecast page.

Canopy Growth Reports FY2025 Financial Results with Strategic Focus on Growth and Profitability

Canopy Growth Corporation reported its financial results for the fourth quarter and fiscal year 2025, highlighting a 4% increase in Canada cannabis revenue in Q4, driven by a 13% growth in medical cannabis. The company reduced its total debt by $293 million, or 49%, during FY2025 and initiated cost reduction measures expected to save at least $20 million annually. Despite a decrease in net revenue and gross margin, the company remains focused on accelerating growth and profitability through strategic restructuring and operational improvements, aiming for positive adjusted EBITDA and free cash flow in the near term.

The most recent analyst rating on (TSE:WEED) stock is a Sell with a C$2.00 price target. To see the full list of analyst forecasts on Canopy Growth stock, see the TSE:WEED Stock Forecast page.

Canopy Growth to Announce Q4 and Fiscal Year 2025 Financial Results

Canopy Growth Corporation announced it will release its financial results for the fourth quarter and fiscal year 2025 on May 30, 2025. The release will be followed by an audio webcast featuring CEO Luc Mongeau and CFO Judy Hong. This announcement is significant as it provides stakeholders with insights into the company’s financial health and strategic direction, potentially impacting its market position and investor confidence.

The most recent analyst rating on (TSE:WEED) stock is a Sell with a C$2.00 price target. To see the full list of analyst forecasts on Canopy Growth stock, see the TSE:WEED Stock Forecast page.

Canopy Growth Expands Product Lineup in Canada’s Cannabis Market

Canopy Growth has launched a series of new products in Canada’s adult-use cannabis market, focusing on high-demand formats like vapes, high-THC flower, pre-rolls, and edibles. This strategic move aims to strengthen its market presence with offerings from its flagship brands, Tweed and 7ACRES, and includes advanced vape technology and new high-THC strains. These innovations are expected to enhance Canopy’s competitive positioning and meet evolving consumer preferences in the rapidly growing cannabis industry.