Canopy Growth price target lowered to C$4 from C$7 at Alliance Global Partners

Alliance Global Partners analyst Aaron Grey lowered the firm’s price target on Canopy Growth (CGC) to C$4 from C$7 and keeps a Neutral rating on the shares. The firm reduced the stock’s multiple due to pushed-out expectations of the company achieving profitability. Canopy Growth reported a broadly in-line quarter, but needs to better demonstrate consistent sales growth and “healthy” gross margins to provide a better line of sight on consolidated EBITDA profitability, the analyst tells investors in a research note.