Aurora Cannabis is the most owned stock on Robinhood according to Robintracks so let's talk about Aurora and whether it's a good time to buy shares.
Aurora Cannabis posted their q4 2019 results and I like several key points from their earnings release. Here are some key fiscal year 2019 numbers:
- Net revenue of $247.9 million, up 349% compared to the prior year.
- Gross margin on cannabis net revenue of 55% in fiscal 2019 versus 65% in fiscal 2018.
- Kilograms produced and kilograms sold of 57,442 kgs and 36,628 kgs, up 920% and 629% respectively compared to fiscal 2018.
Revenue and kilograms produced are WAY up over the last year. In the meantime, the stock price has been crashing due to massive dilution and an overall bearish trend in the Cannabis sector.
The stock is currently trading around $2 so for me this is a strong buy area. There is long term support at the $1.78 level and buyers are coming into the stock at current levels.
Tarik Pierce is the founder of InvestorTrip.com and regularly contributes articles to this website.
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