For those who like a little something different in their beverages, there’s an exciting new development from Canadian cannabis stock Tilray (TSE:TLRY) (NASDAQ:TLRY) that should be quite a hit: marijuana-infused beverages. Shareholders, though, aren’t exactly happy, and Tilray is down nearly 2% in Thursday afternoon’s trading as a result.
The new beverages, which are part of Tilray’s RIFF brand and known collectively as RIFF Boost, are available throughout Canada. It’s part of a larger move to take advantage of the connections it made when it merged with Aphria back in 2021. The RIFF Boost line comes in vanilla and berry flavors and contains a set of “cannabis compounds” that give the beverage a little something extra.
Guarana extract, meanwhile, will provide some natural caffeine. This actually isn’t the first beverage Tilray has released under the RIFF banner; back in 2021, it brought out Sweetwater RIFF for the U.S. market. While Sweetwater contained no marijuana compounds, it did contain a canned vodka cocktail.
Not Exactly a Big Hit
Tilray needed a big hit. That much is unquestionable; Tilray stock has fallen 87% since its merger with Aphria, and the August quarter saw Tilray lose $55.8 million outright on $176.9 million in revenue. Moreover, about a seventh of that—$24 million—came from alcohol sales, showing that the market for booze from Tilray isn’t brisk, and most of its other markets aren’t that great either. With Tilray’s next earnings report coming out next week, it needed a hit, and it doesn’t look like RIFF Boost will provide that hit.
What is the Future Price of Tilray Stock?
Turning to Wall Street, analysts have a Hold consensus rating on TLRY stock based on one Buy and four Holds assigned in the past three months, as indicated by the graphic below. After a 24.94% loss in its share price over the past year, the average TLRY price target of C$3.12 per share implies 3.6% upside potential.
