Well, another new product for cannabis stock Tilray (TSE:TLRY) (TLRY) didn’t prove much help at all. In fact, shares plunged almost 4% in Wednesday morning’s trading as the new release hitting Portugal didn’t mean much to shareholders at all.
Tilray Brands’ Tilray Medical arm has just landed approval in Portugal for a new kind of medical cannabis extract. Known as Tilray Oral Solution THC10:CBD10, or in Portugal, Tilray Solucao Oral THC10:CBD10, it’s actually the third such solution approved in the country.
The new extract comes on the heels of Tilray Medical’s whole flower THC 18 and after approvals for an earlier release of cannabis extract. Tilray’s chief strategy officer, Denise Faltischek, who also serves as head of international, noted that this was a big step forward in treating patients with “specific medical conditions” and demonstrates Tilray’s efforts toward providing “safe and regulated” cannabis products.
The European Tour Expands
It’s clear Tilray wants a bigger foothold in Europe. The expansion of its product line in Portugal was one thing, but it got even better from there. Tilray also landed a new medical marijuana cultivation license in Germany. The new permit was the first of its kind released under a new law in Germany that allows recreational cannabis cultivation.
Recent legal changes in Germany have opened up new opportunities there as well. And with Portugal seemingly pre-disposed to picking up Tilray products, a full move, complete with supply chain, may be in the making. That could, ultimately, turn Tilray into a powerhouse in European cannabis supply.
Is TLRY Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on TLRY stock based on one Buy and two Holds assigned in the past three months, as indicated by the graphic below. After a 13.64% rally in its share price over the past year, the average TLRY price target of C$3.21 per share implies 27.32% upside potential.
