Cresco Labs (OTCMKTS:CRLBF) Stock Price Down 7.2% - Here's Why

Key Points

• Cresco Labs shares fell 7.2% during mid-day trading, closing at $1.28 with a significant drop in trading volume.
• The company received a downgrade from Canaccord Genuity, changing its rating from "strong-buy" to "moderate buy."
• In its latest earnings report, Cresco Labs posted a loss of ($0.05) EPS, missing expectations, but revenue was slightly above analyst estimates at $163.62 million.

Cresco Labs Inc. (OTCMKTS:CRLBF - Get Free Report) traded down 7.2% during trading on Wednesday . The company traded as low as $1.27 and last traded at $1.28. 199,191 shares changed hands during mid-day trading, a decline of 76% from the average session volume of 824,230 shares. The stock had previously closed at $1.38.

Wall Street Analyst Weigh In

Separately, Canaccord Genuity Group lowered Cresco Labs from a "strong-buy" rating to a "moderate buy" rating in a research note on Tuesday, June 3rd. One investment analyst has rated the stock with a Strong Buy rating and one has assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Buy".

Cresco Labs Stock Down 0.8%

The business has a 50-day simple moving average of $0.85 and a two-hundred day simple moving average of $0.74. The stock has a market capitalization of $584.31 million, a P/E ratio of -9.15 and a beta of 1.54. The company has a quick ratio of 2.22, a current ratio of 3.10 and a debt-to-equity ratio of 1.33.

Cresco Labs (OTCMKTS:CRLBF - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported ($0.05) earnings per share for the quarter, missing analysts' consensus estimates of ($0.04) by ($0.01). Cresco Labs had a negative net margin of 6.67% and a negative return on equity of 11.77%. The company had revenue of $163.62 million during the quarter, compared to the consensus estimate of $162.00 million. Equities research analysts forecast that Cresco Labs Inc. will post -0.2 earnings per share for the current fiscal year.

Cresco Labs Company Profile

Cresco Labs Inc, together with its subsidiaries, cultivates, manufactures, and sells retail and medical cannabis products in the United States. It provides cannabis in flowers, vape pens, live resins, disposable pens, and extracts under the Cresco brand; vape carts, vape pens, flower, popcorn, shake, pre-rolls, shorties, and concentrates under the High Supply brand; vapes and gummies under the Good News brand; vapes and edibles under the Wonder Wellness Co brand; and tinctures, capsules, salves, and sublingual oils under the Remedi brand.