Aurora Cannabis Inc (NYSE: ACB) is climbing in the trading session today, and for good reason. The company was the center of an analyst update that proved to be positive.
As you would likely expect, the news excited investors, sending the stock on a run for the top. Today, we’ll talk about:
- The analyst update;
- what we’re seeing from ACB stock as a result; and
- what we’ll be watching for ahead.
ACB Stock Gains On Cowen Update
As mentioned above, Aurora Cannabis is having a great day in the market today. While the company didn’t release any news of its own, it was the center of an update offered up by Cowen.
In the update, Cowen said that ACB is a Top Ick in the cannabis sector. In particular, Cowen sees opportunity in the Canadian legal recreational cannabis market as well as the growing international market.
Cowen said that it expects for the Canadian recreational and medical markets will reach about C$12 billion by 2025. On an international scale, the analysts expects the medical market to grow to $31 billion by 2024.
In the note, analysts led by Vivien Azer, had the following to offer with regard to ACB:
The company’s large cultivation footprint, capable of producing over 575,000 kg, provides ACB with the necessary infrastructure to weather early storms in adult use while continuing to grow higher-value revenues in the medical market.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to dive into the market is that the news leads to moves. When it comes to Aurora Cannabis, the news proved to be overwhelmingly positive.
Cowen is one of the most trusted analyst groups on Wall Street today. With the firm calling the company a top pick in the cannabis sector, it only makes sense that investors are excited and sending the stock on a run for the top.
As is normally the case, our partners at Trade Ideas were the first to alert us to the gains. Currently (10:59), ACB is trading at $7.71 per share after a gain of $0.49 per share or 6.79% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on ACB. In particular, we’re interested in following the story surrounding the company’s continued work to expand, not only in the Canadian cannabis market, but in the global market. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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