Aurora Cannabis, Inc. (ACB) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Rogers Sugar, Inc.

Green Thumb Industries, Inc.

Curaleaf Holdings, Inc.

Canopy Growth Corp.

Aurora Cannabis, Inc.

Terrascend Corp.

Trulieve Cannabis Corp.

Cresco Labs, Inc.

Verano Holdings Corp.

Planet 13 Holdings, Inc.

Glass House Brands, Inc.

Why is Aurora Cannabis, Inc. ?

Poor long term growth as Operating profit has grown by an annual rate 11.10% of over the last 5 years

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -26.65%, its profits have fallen by -32.5%

Underperformed the market in the last 1 year

Even though the market (S&P/TSX 60) has generated returns of 30.16% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -26.65% returns

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Agricultural Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Aurora Cannabis, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Aurora Cannabis, Inc.

-24.02%

0.23

63.40%

S&P/TSX 60

29.8%

2.35

12.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.82%

EBIT Growth (5y)

11.10%

EBIT to Interest (avg)

-10.44

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.21

Sales to Capital Employed (avg)

0.50

Tax Ratio

22.66%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

21.55%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.47

EV to EBIT

-0.49

EV to EBITDA

-0.56

EV to Capital Employed

0.23

EV to Sales

0.26

PEG Ratio

Dividend Yield

ROCE (Latest)

-47.10%

ROE (Latest)

-31.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -97.46% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -27.52 %

OPERATING PROFIT(Q)

Highest at CAD -25.11 MM

PRE-TAX PROFIT(Q)

At CAD -16.71 MM has Grown at 56.76%

NET PROFIT(Q)

Highest at CAD -12.46 MM

-5What is not working for the Company

NET SALES(Q)

At CAD 38.01 MM has Fallen at -52.3%

CASH AND EQV(HY)

Lowest at CAD 319.13 MM

EPS(Q)

Lowest at CAD -0.99

Here's what is working for Aurora Cannabis, Inc.

Operating Profit

Highest at CAD -25.11 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CAD MM)

Pre-Tax Profit

At CAD -16.71 MM has Grown at 56.76%

over average net sales of the previous four periods of CAD -38.65 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CAD MM)

Net Profit

Highest at CAD -12.46 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CAD MM)

Net Profit

At CAD -12.46 MM has Grown at 67.71%

over average net sales of the previous four periods of CAD -38.58 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CAD MM)

Debt-Equity Ratio

Lowest at -27.52 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -97.46% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Aurora Cannabis, Inc.

Net Sales

At CAD 38.01 MM has Fallen at -52.3%

over average net sales of the previous four periods of CAD 79.68 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (CAD MM)

EPS

Lowest at CAD -0.99

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (CAD)

Cash and Eqv

Lowest at CAD 319.13 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents