Short Interest in Canopy Growth Corporation (NASDAQ:CGC) Declines By 22.3%

Key Points

• Canopy Growth Corporation experienced a significant decrease in short interest, falling by 22.3% to 21,720,000 shares as of August 15th.
• The company reported a net loss of $0.14 per share for its last quarter, exceeding estimates, but its revenue fell short at $52.98 million compared to expectations of $64.98 million.
• Insider Christelle Gedeon sold 16,929 shares at approximately $1.74 each, reducing their ownership by 4.39%.

Canopy Growth Corporation (NASDAQ:CGC - Get Free Report) saw a significant decrease in short interest during the month of August. As of August 15th, there was short interest totaling 21,720,000 shares, a decrease of 22.3% from the July 31st total of 27,960,000 shares. Approximately 9.3% of the shares of the stock are sold short. Based on an average daily volume of 14,320,000 shares, the short-interest ratio is presently 1.5 days. Based on an average daily volume of 14,320,000 shares, the short-interest ratio is presently 1.5 days. Approximately 9.3% of the shares of the stock are sold short.

Insiders Place Their Bets

In other Canopy Growth news, insider Christelle Gedeon sold 16,929 shares of the company's stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $1.74, for a total value of $29,456.46. Following the sale, the insider owned 368,488 shares of the company's stock, valued at approximately $641,169.12. This represents a 4.39% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders sold a total of 27,225 shares of company stock valued at $47,915 over the last quarter. 0.16% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Canopy Growth

Several hedge funds and other institutional investors have recently modified their holdings of the company. Osaic Holdings Inc. lifted its stake in shares of Canopy Growth by 77.6% in the 2nd quarter. Osaic Holdings Inc. now owns 75,335 shares of the company's stock valued at $92,000 after purchasing an additional 32,927 shares in the last quarter. Two Sigma Securities LLC lifted its stake in shares of Canopy Growth by 4.4% in the 2nd quarter. Two Sigma Securities LLC now owns 280,852 shares of the company's stock valued at $343,000 after purchasing an additional 11,942 shares in the last quarter. Tidal Investments LLC lifted its stake in shares of Canopy Growth by 31.5% in the 2nd quarter. Tidal Investments LLC now owns 5,033,793 shares of the company's stock valued at $6,141,000 after purchasing an additional 1,204,530 shares in the last quarter. Boothbay Fund Management LLC acquired a new position in shares of Canopy Growth in the 2nd quarter valued at about $30,000. Finally, Murchinson Ltd. acquired a new position in shares of Canopy Growth in the 2nd quarter valued at about $183,000. 3.33% of the stock is owned by institutional investors and hedge funds.

Canopy Growth Trading Down 1.4%

CGC traded down $0.02 during midday trading on Friday, hitting $1.37. The company's stock had a trading volume of 14,756,514 shares, compared to its average volume of 22,561,852. The company has a current ratio of 3.07, a quick ratio of 2.12 and a debt-to-equity ratio of 0.59. The firm has a market cap of $328.59 million, a P/E ratio of -0.45 and a beta of 0.77. The firm has a 50-day moving average price of $1.29 and a two-hundred day moving average price of $1.28. Canopy Growth has a 52-week low of $0.77 and a 52-week high of $5.80.

Canopy Growth (NASDAQ:CGC - Get Free Report) last posted its quarterly earnings results on Friday, August 8th. The company reported ($0.14) EPS for the quarter, beating the consensus estimate of ($0.15) by $0.01. The company had revenue of $52.98 million during the quarter, compared to analysts' expectations of $64.98 million. Canopy Growth had a negative return on equity of 89.93% and a negative net margin of 155.76%. On average, research analysts anticipate that Canopy Growth will post -2.81 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of analysts recently commented on CGC shares. Zacks Research raised Canopy Growth to a "hold" rating in a research note on Tuesday, August 12th. Piper Sandler reaffirmed an "underweight" rating on shares of Canopy Growth in a research note on Friday, May 30th. One equities research analyst has rated the stock with a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Sell".

Canopy Growth Company Profile

Canopy Growth Corporation, together with its subsidiaries, engages in the production, distribution, and sale of cannabis and hemp-based products for recreational and medical purposes primarily in the United States, Canada, Germany, and internationally. It operates through Canada Cannabis, International Markets Cannabis, and Storz & Bickel segments.