Canadian cannabis firm Tilray Inc. scored a stock rating upgrade following its successful merger with Aphria Inc, according to Seeking Alpha.
- Cantor Fitzgerald upgraded the stock to overweight from neutral, indicating that the stock deserves a higher weighting than its current.
- The price target was reduced to $22.00 apiece from $30.25, equivalent to a 15.8% increase from its previous finish.
- The rating noted that the merger was beneficial for both parties as Aphria’s leadership in the Canadian market coupled with Tilray’s strength abroad.
- Analyst Pablo Zuanic said there is currently no other licensed producer that can make similar claims.
- Cantor Fitzgerald expects over 20% upside for the stock, which it called a bellwether for the sector.
- Optimism is driven by the growth of post-pandemic demand in Canada, and the moves to legalize cannabis in the United States.
TLRY: Nasdaq is up 12.16%