Buds & Duds: Cannabis stocks roll up; WeedMD shares jump on promising 2Q financial results

In 2Q, the firm recorded record revenue of C$8 million, representing a quarter-over-quarter increase of 139% and a 282% increase from the same period last year

Cannabis leaf
Also on the move were Flowr, High Tide, TILT Holdings and Isodiol International

Cannabis stocks rolled up Thursday after challenging few weeks for investors.  

The North American Marijuana Index, which tracks the top cannabis stocks in the US and Canada, nudged up 0.3% at 176 points. Elsewhere, the Horizons Marijuana Life Sciences Index ETF was up 0.8% at C$14.04, while the OTCQX Cannabis Index gained 2.6% at 634 points.


WeedMD Inc (CVE:WMD) (OTCMKTS:WDDMF) shares rose on Thursday after the firm posted financial results Wednesday that showed a notable jump in revenue in the second quarter as successful harvests boosted cannabis supply and operational strength pushed progress forward.

Shares of WeedMD were up 3.1% at C$1.64, up 2.3% at US$1.22. 

For the quarter ended June 2019, the Toronto-based company recorded record revenue of C$8 million, representing a quarter-over-quarter increase of 139% and a 282% increase from the same period last year.

"WeedMD continues to make solid progress and we're proud to post another record quarter that highlights the strength of our operations and the demand for our products," said CFO Nichola Thompson. "Our gross margins improved to 46% as we realized scale in our cultivation operations and continued optimizing our supply chain. With another 10 newly-licensed 10,000 sq. ft. cultivation rooms coming online alongside our 27-acre outdoor harvest, we expect to realize some of the best cultivation margins in the industry."

READ: WeedMD shares rise after revenue soars in record second-quarter results

Also gaining Thursday was The Flowr Corporation (CVE:FLWR) (OTCMKTS:FLWPF), which was up 5.1% at C$2.88 in Toronto, up 4.1% at US$2.16 in New York. 

The firm recently completed the acquisition of the remaining 80.2% interest in Holigen Holdings through a share purchase agreement. The move will mean the addition of operations in Portugal and Australia to Flowr's existing Canadian platform. 

The Toronto-based company builds and operates large-scale, GMP-designed facilities that utilize proprietary growing methods to produce high-quality cannabis for recreational and medicinal usage.

READ: Flowr is cultivating the future of cannabis

Also on the rise was High Tide Inc (CSE:HITI), up 6.1% at C$0.35. 

The Alberta-based, retail-focused cannabis corporation currently has 17 branded Canna Cabana locations in Canada and is aiming to open six more by September.


A number of stocks dropped on Thursday. 

TILT Holdings Inc (CSE:TILT) (OTCMKTS:SVVTF) was down 7.4% at US$0.59 in New York, off 7.1% at C$0.78 in Toronto after the firm released its 2Q earnings on Wednesday. 

The company reported revenue of US$39 million, up 13% from the previous quarter. TILT reported a net loss of US$48.9 million, compared to US$5.3 million in the prior-year period and US$77.9 million in the previous quarter. 

"The second quarter was a highly productive period for Tilt. We continue to optimize our organization, including the dismissal and re-alignment of senior leadership, accelerate integration efforts, dramatically reduce overhead and instill an enhanced focus on profitable growth. Tilt is making progress on our key initiatives to drive operational stability and progress toward profitability, which is reflected in our strong second quarter revenue of US $39 million and the 49% narrowing of our adjusted EBITDA loss when compared to the first quarter," said CEO Mark Scatterday. 

The Massachusetts-based technology and infrastructure company provides products and services in the cannabis industry, including offering same-day delivery for retailers, wholesalers and consumers in four states.

Also slipping Thursday was CBD manufacturer Isodiol International Inc (CSE:ISOL) (OTCMKTS:ISOLF), down 2.6% to US$0.27 in US trading.

Contact Katie Lewis at katie@proactiveinvestors.com

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of WeedMD Inc named herein, including the promotion by the Company of WeedMD Inc in any Content on the Site, the Company receives from said issuer...


Assure Holdings expecting record 4Q from built-up demand of elective surgeries

Assure Holdings Corp. (TSXV:IOM) (OTCQB:ARHH) CEO John Farlinger tells Proactive the Colorado-based group is Farlinger says the group, which works with neurosurgeons and orthopedic spine surgeons to provide services that support intraoperative neuromonitoring activities during surgeries is...

23 hours, 2 minutes ago

3 min read