Canopy Growth Corporation (CGC) Stock Sinks As Market Gains: What You Should Know

In the latest trading session, Canopy Growth Corporation (CGC) closed at $45.05, marking a -0.77% move from the previous day. This change lagged the S&P 500's daily gain of 0.89%. Meanwhile, the Dow gained 0.84%, and the Nasdaq, a tech-heavy index, added 0.97%.

Prior to today's trading, shares of the company had gained 5.95% over the past month. This has outpaced the Medical sector's loss of 2.64% and the S&P 500's loss of 1.68% in that time.

Investors will be hoping for strength from CGC as it approaches its next earnings release. On that day, CGC is projected to report earnings of -$0.17 per share, which would represent a year-over-year decline of 70%. Our most recent consensus estimate is calling for quarterly revenue of $71.98 million, up 298.79% 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Within the past 30 days, our consensus EPS projection has moved 11.19% lower. CGC is currently a Zacks Rank #3 (Hold).

The Medical - Products industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 102, which puts it in the top 40% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

To follow CGC in the coming trading sessions, be sure to utilize Zacks.com.

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