Investors Buy High Volume of Canopy Growth Call Options (NASDAQ:CGC)

Canopy Growth Corporation (NASDAQ:CGC) was the recipient of some unusual options trading on Wednesday. Stock traders purchased 40,207 call options on the stock. This is an increase of approximately 61% compared to the typical daily volume of 24,978 call options.

Institutional Trading of Canopy Growth

Hedge funds and other institutional investors have recently bought and sold shares of the business. Caitong International Asset Management Co. Ltd raised its position in shares of Canopy Growth by 723.5% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 4,595,330 shares of the company’s stock valued at $5,239,000 after buying an additional 4,037,281 shares in the last quarter. Millennium Management LLC raised its position in shares of Canopy Growth by 196.9% in the 3rd quarter. Millennium Management LLC now owns 3,137,696 shares of the company’s stock valued at $4,579,000 after buying an additional 2,080,994 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its position in Canopy Growth by 19,571.2% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 2,022,197 shares of the company’s stock worth $2,305,000 after purchasing an additional 2,011,917 shares in the last quarter. Two Sigma Investments LP acquired a new position in Canopy Growth during the 3rd quarter worth approximately $1,767,000. Finally, Tidal Investments LLC increased its position in Canopy Growth by 31.5% during the 2nd quarter. Tidal Investments LLC now owns 5,033,793 shares of the company’s stock worth $6,141,000 after purchasing an additional 1,204,530 shares in the last quarter. Institutional investors and hedge funds own 3.33% of the company’s stock.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the company. Alliance Global Partners reiterated a “neutral” rating on shares of Canopy Growth in a report on Saturday, February 7th. ATB Cormark Capital Markets upgraded shares of Canopy Growth from a “strong sell” rating to a “moderate buy” rating in a research note on Tuesday, March 17th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Canopy Growth in a research note on Monday. Wall Street Zen lowered shares of Canopy Growth from a “hold” rating to a “sell” rating in a research note on Sunday, March 29th. Finally, Canaccord Genuity Group started coverage on shares of Canopy Growth in a research note on Friday, March 27th. They issued a “buy” rating on the stock. Two analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold”.

Canopy Growth Stock Performance

Canopy Growth stock traded up $0.20 during midday trading on Wednesday, hitting $1.34. The company’s stock had a trading volume of 31,014,746 shares, compared to its average volume of 11,089,964. Canopy Growth has a 1-year low of $0.84 and a 1-year high of $2.38. The company has a debt-to-equity ratio of 0.30, a current ratio of 5.34 and a quick ratio of 4.26. The company has a 50-day moving average price of $1.06 and a two-hundred day moving average price of $1.18. The company has a market cap of $539.50 million, a price-to-earnings ratio of -1.03 and a beta of 0.60.

Canopy Growth (NASDAQ:CGC) last issued its quarterly earnings data on Friday, February 6th. The company reported ($0.10) earnings per share for the quarter, missing the consensus estimate of ($0.03) by ($0.07). Canopy Growth had a negative return on equity of 46.85% and a negative net margin of 94.39%.The business had revenue of $90.39 million during the quarter, compared to analyst estimates of $70.96 million. As a group, sell-side analysts predict that Canopy Growth will post -0.36 earnings per share for the current year.

About Canopy Growth

Canopy Growth Corporation is a leading Canadian cannabis company engaged in the production, distribution and sale of both medical and recreational cannabis products. Headquartered in Smiths Falls, Ontario, the company cultivates a diversified portfolio of offerings that includes dried flower, pre-rolled joints, oils, softgel capsules and edibles. Canopy Growth also markets derivative products such as beverages and wellness formulations under a range of brands, aiming to serve both patient and adult-use markets.

The company operates through multiple subsidiaries, including Tweed Inc, Spectrum Therapeutics and Tokyo Smoke, each targeting distinct consumer segments.