Three Buzzing Stocks From Cannabis Industry – 0IT7, 0UJG and 0RL7

GW Pharmaceuticals Plc

GW Pharmaceuticals Plc (0IT7) is amongst world leaders in the development of cannabinoid therapeutics, derived through plants. The company has proven expertise in drug discovery, development processes, regulatory & manufacturing and intellectual property portfolio.

Recent News

On 6th July 2019, the GW Pharmaceuticals announced its second quarter and interim results for the period ending 30th June 2019.

Financial Highlights – Q2 & H1 Financial Year 2019 ($)

(Source: Interim Report, Company Website)

The company’s product net sales for Q2 FY2019 stood at $71,489 versus $3,094 in Q2 FY2018. The company’s product net sales for H1 FY2019 stood at $110,463 versus $5,906 in H1 FY2018. The total revenue for the Q2 FY2019 was at $72,038 as against $3,284 in Q2 FY2018. The total revenue for the H1 FY2019 was at $111,285 as against $6,325 in H1 FY2018.

The company’s total expenses stood at $101,360 in Q2 FY2019 as against $84,690 in Q2 FY2018. The company’s total expenses stood at $191,944 in H1 FY2019 as against $155,973 in H1 FY2018. The company’s cost of the product sales increased significantly to $11,751 in H1 FY2019 from $3,416 in H1 FY2018. The cost of product sales in Q2 FY2019 stood at $6,620 versus $1,791 in Q2 FY2018.

The company’s research and development expenses declined to $32,467 in Q2 FY2019 from $45,113 in Q2 FY2018. The research and development expenses in H1 FY2019 stood at $62,842 versus $88,598 in H1 FY2018.

The company’s PBT (Profit before tax) for Q2 FY2019 stood at $78,863 as against loss before tax of $84,380 in Q2 FY2018. The company’s PBT (Profit before tax) for the first half of the Financial Year 2019 stood at $28,234 as against loss before tax of $152,828 in the first half of the Financial Year 2018.

The company’s Net Income for Q2 FY2019 stood at $79,748 as against Net loss of $84,011 in Q2 FY2018. The company’s Net Income for the first half of the Financial Year 2019 stood at $29,684 as against Net loss of $153,472 in the first half of the Financial Year 2018.

The company’s basic and diluted earnings per share for Q2 FY2019 stood at 0.21 cents as against loss per share of 0.25 cents in Q2 FY2018. The company’s basic and diluted earnings per share for the first half of the Financial Year 2019 stood at 0.08 cents as against loss per share of 0.45 cents in the first half of the Financial Year 2018.

GW Pharmaceuticals Plc Share Price Performance

Daily Chart as at August-9-19, before the market close (Source: Thomson Reuters)

On August 9, 2019, at the time of writing (before the market close, at 4:25 PM GMT), GW Pharmaceuticals Plc (trading on NASDAQ) shares were trading at USD 169.29, down by 0.12 per cent against the previous day’s closing price. Stock’s 52- week High and Low are USD 196.00/USD 90.14. At the time of writing, the share were trading at 13.62 per cent lower than the 52- week High and 87.81 per cent higher than the 52-week low. Stock’s average traded volume for 5 days was 1,099,011.60; 30 days – 455,996.90 and 90 days – 411,917.98. The average traded volume for 5 days was up by 141.01 per cent as compared to 30 days’ average traded volume. The company’s stock beta was 2.24 as on date, reflecting significantly higher volatility as compared to the benchmark index. The outstanding market capitalisation was around USD 5.24 billion.

AURORA CANNABIS INC (0UJG)

Aurora Cannabis Inc (0UJG) is a medical cannabis company based out of Canada. The company had divided its business into two reportable segments being Medical Cannabis and Horizontally Integrated Businesses and Other, being managed via its subsidiaries. The Medical Cannabis division is into production and distribution of medical cannabis in the Canadian region and distributes in the EU via wholesale channels. The company presently has 15 production facilities globally and is selling in 25 countries.

Financial Highlights – Q3 & Nine Months Financial Year 2019 ($)

(Source: Quarterly Report, Company Website)

The gross revenue for the Q3 FY2019 was at $75,238 as against $16,100 in Q3 FY2018. The gross revenue for Nine months FY2019 was at $166,912 as against $36,049 for Nine months FY2018. The company’s net revenue for Q3 FY2019 stood at $65,145 versus $16,100 in Q3 FY2018. The company’s net revenue for Nine months FY2019 stood at $148,997 versus $36,049 for Nine months FY2018.

The gross profit for the Q3 FY2019 was at $52,622 as against $7,615 in Q3 FY2018. The gross profit for Nine months FY2019 was at $92,814 as against $22,912 for Nine months FY2018.

The company’s total expenses stood at $130,239 in Q3 FY2019 as against $38,492 in Q3 FY2018. The company’s total expenses stood at $362,494 for Nine months FY2019 as against $71,268 for Nine months FY2018.

The company’s General and administration expenses increased significantly to $130,350 for Nine months FY2019 from $20,408 for Nine months FY2018. The General and administration expenses in Q3 FY2019 stood at $50,786 versus $9,847 in Q3 FY2018.

The Loss from operations for the Q3 FY2019 was at $77,617 as against a loss of $30,877 in Q3 FY2018. The Loss from operations for Nine months FY2019 was at $269,680 as against a loss of $48,356 for Nine months FY2018.

The company’s LBT (Loss before tax) for Q3 FY2019 stood at $169,121 as against loss before tax of $21,968 in Q3 FY2018. The company’s LBT for the nine months of the Financial Year 2019 stood at $340,367 as against loss before tax of $7,316 in the nine months of the Financial Year 2018.

The company’s Net Loss for Q3 FY2019 stood at $160,195 as against Net loss of $20,795 in Q3 FY2018. The company’s Net Loss for the nine months of the Financial Year 2019 stood at $295,656 as against Net loss of $10,040 in the nine months of the Financial Year 2018.

The company’s basic and diluted loss per share for Q3 FY2019 stood at 0.16 cents as against loss per share of 0.04 cents in Q3 FY2018. The company’s basic and diluted loss per share for the nine months of the Financial Year 2019 stood at 0.31 cents as against loss per share of 0.02 cents in the nine months of the Financial Year 2018.

AURORA CANNABIS INC Share Price Performance

Daily Chart as at August-9-19, before the market close (Source: Thomson Reuters)

On August 9, 2019, at the time of writing (before the market close, at 4:30 PM GMT), Aurora Cannabis Inc’s (trading on TSX) shares were trading at CAD 8.51, down by 3.62 per cent against the previous day’s closing price. Stock’s 52 weeks High and Low are CAD 16.24/CAD 5.10. At the time of writing, the shares were trading 47.59 per cent lower than the 52 weeks High and 66.86 per cent higher than the 52 weeks low. Stock’s average traded volume for 5 days was 6,319,678.00; 30 days – 3,622,884.97 and 90 days –5,291,810.06. The average traded volume for 5 days was up by 74.44 per cent as compared to 30 days’ average traded volume. The company’s stock beta was 1.28 as on date, reflecting higher volatility as compared to the benchmark index. The outstanding market capitalisation was around CAD 8.98 billion.

DEUTSCHE CANNABIS AG (0RL7)

Deutsche Cannabis AG (0RL7) is the first Europe based investment company in the cannabis sector. The company was previously known as Fame AG and is listed since year the 2000 on ETR Stock Exchange.

Financial Highlights – Financial Year 2018 (EUR)

(Source: Annual Report, Company Website)

For the financial year ending 31st December 2018, the company’s other operational yield stood at EUR 66,129.40 as against EUR 33,715.33 in FY2017. The company reported depreciation of EUR 514 in FY2018. The company’s other operational expenditure stood at EUR 1,046,584.24 in Financial Year 2018 versus EUR 177,600.53 in the financial year 2017. The company’s interest and similar expenditure stood at EUR 1,387.46 in Financial Year 2018 versus EUR 326.59 in the financial year 2017. The loss after tax for FY2018 stood at EUR 986,745.45 as against a loss of EUR 144,186.79 in FY2017.

Deutsche Cannabis AG Share Price Performance

Daily Chart as at August-9-19, before the market close (Source: Thomson Reuters)

On August 9, 2019, at the time of writing (before the market close, at 4:35 PM GMT), Deutsche Cannabis AG’s (Trading on ETR) shares were trading at EUR 0.962, down by 2.43 per cent against the previous day’s closing price. Stock’s 52- week High and Low are EUR 1.90/EUR 0.62. At the time of writing, the share was trading 49.89 per cent lower than the 52-week High and 55.16 per cent higher than the 52-week low. Stock’s average traded volume for 5 days was 4,838.00; 30 days – 7,289.70 and 90 days – 10,670.72. The average traded volume for 5 days was down by 33.63 per cent as compared to 30 days’ average traded volume. The company’s stock beta was 3.25 as on date, reflecting significantly higher volatility as compared to the benchmark index. The outstanding market capitalisation was around EUR 8.95 million.