SNDL (NASDAQ:SNDL) Trading 5.2% Higher - Still a Buy?

Key Points

• SNDL Inc. shares increased by 5.2% during mid-day trading, reaching a high of $2.17, but with a significant drop in trading volume compared to the average.
• The company reported quarterly earnings of $0.01 EPS, surpassing expectations, although revenue fell short of estimates at $179.78 million.
• Several hedge funds have increased their stakes in SNDL, with Tidal Investments LLC and BNP Paribas Financial Markets increasing their holdings by 2.5% and 7.5% respectively in the second quarter.

SNDL Inc. (NASDAQ:SNDL - Get Free Report) shares rose 5.2% on Monday . The company traded as high as $2.17 and last traded at $2.13. Approximately 549,166 shares changed hands during mid-day trading, a decline of 74% from the average daily volume of 2,117,142 shares. The stock had previously closed at $2.02.

SNDL Price Performance

The firm has a market capitalization of $591.25 million, a PE ratio of -8.33 and a beta of 3.57. The business's 50 day moving average is $1.57 and its two-hundred day moving average is $1.50. The company has a debt-to-equity ratio of 0.11, a current ratio of 5.03 and a quick ratio of 3.36.

SNDL (NASDAQ:SNDL - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The company reported $0.01 EPS for the quarter, topping the consensus estimate of ($0.04) by $0.05. The firm had revenue of $179.78 million for the quarter, compared to the consensus estimate of $231.50 million. SNDL had a negative net margin of 10.38% and a negative return on equity of 8.58%. As a group, research analysts anticipate that SNDL Inc. will post -0.09 EPS for the current year.

Institutional Investors Weigh In On SNDL

Several institutional investors have recently added to or reduced their stakes in the company. Tidal Investments LLC raised its stake in shares of SNDL by 2.5% during the second quarter. Tidal Investments LLC now owns 7,272,668 shares of the company's stock valued at $8,800,000 after acquiring an additional 178,622 shares during the last quarter. BNP Paribas Financial Markets boosted its holdings in SNDL by 7.5% in the second quarter. BNP Paribas Financial Markets now owns 4,853,517 shares of the company's stock valued at $5,873,000 after acquiring an additional 338,278 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in SNDL by 41.3% in the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,095,205 shares of the company's stock valued at $3,750,000 after acquiring an additional 612,495 shares in the last quarter. Invesco Ltd. boosted its holdings in SNDL by 1.3% in the fourth quarter. Invesco Ltd. now owns 806,812 shares of the company's stock valued at $1,444,000 after acquiring an additional 10,134 shares in the last quarter. Finally, State of Wyoming boosted its holdings in SNDL by 14.5% in the first quarter. State of Wyoming now owns 650,510 shares of the company's stock valued at $917,000 after acquiring an additional 82,326 shares in the last quarter.

SNDL Company Profile

SNDL Inc engages in the production, distribution, and sale of cannabis products in Canada. The company operates through Liquor Retail, Cannabis Retail, Cannabis Operations, and Investments segments. It engages in the cultivation, distribution, and sale of cannabis for the adult-use and medical markets; sells wines, beers, and spirits through wholly owned liquor stores; and private sale of recreational cannabis through wholly owned and franchised retail cannabis stores.