Canopy Growth Corporation (CGC) Dips More Than Broader Markets: What You Should Know

Canopy Growth Corporation (CGC) closed the most recent trading day at $42.95, moving -1.85% from the previous trading session. This move lagged the S&P 500's daily loss of 0.04%. Elsewhere, the Dow lost 0.05%, while the tech-heavy Nasdaq lost 0.01%.

Prior to today's trading, shares of the company had 0% over the past month. This has lagged the Medical sector's gain of 1.97% and the S&P 500's gain of 0.34% in that time.

Investors will be hoping for strength from CGC as it approaches its next earnings release, which is expected to be June 20, 2019. The company is expected to report EPS of -$0.17, down 70% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $71.06 million, up 293.66% from the year-ago period.

It is also important to note the recent changes to analyst estimates for CGC. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 3.29% higher. CGC is currently sporting a Zacks Rank of #4 (Sell).

The Medical - Products industry is part of the Medical sector. This group has a Zacks Industry Rank of 80, putting it in the top 32% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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