Why is Canopy Growth Corp. ?
1
Poor long term growth as Operating profit has grown by an annual rate 14.13% of over the last 5 years
2
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 -67.89%, its profits have risen by 36.5%
3
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -67.89% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in each of the last 3 annual periods
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 Canopy Growth Corp. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Canopy Growth Corp.
-65.99%
-0.83
109.29%
S&P/TSX 60
19.1%
1.54
14.62%
Quality key factors
Factor
Value
Sales Growth (5y)
-8.07%
EBIT Growth (5y)
14.13%
EBIT to Interest (avg)
-15.45
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0.38
Sales to Capital Employed (avg)
0.25
Tax Ratio
1.20%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
16.34%
ROCE (avg)
0
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
0.60
EV to EBIT
-7.16
EV to EBITDA
-21.29
EV to Capital Employed
0.70
EV to Sales
1.64
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-9.72%
ROE (Latest)
-25.58%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
10What is working for the Company
OPERATING CASH FLOW(Y)
Highest at CAD -124.31 MM
NET PROFIT(HY)
Higher at CAD -44.51 MM
DEBT-EQUITY RATIO
(HY)
Lowest at 36.47 %
INVENTORY TURNOVER RATIO(HY)
Highest at 2.51%
DEBTORS TURNOVER RATIO(HY)
Highest at 5.45%
EPS(Q)
Highest at CAD -0.22
-2What is not working for the Company
RAW MATERIAL COST(Y)
Grown by 33.37% (YoY
CASH AND EQV(HY)
Lowest at CAD 287.33 MM
Here's what is working for Canopy Growth Corp.
Operating Cash Flow
Highest at CAD -124.31 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (CAD MM)
Net Profit
Higher at CAD -44.51 MM
than preceding 12 month period ended Jun 2025MOJO Watch
In the half year the company has already crossed Net Profit of the previous twelve months
Net Profit (CAD MM)
EPS
Highest at CAD -0.22
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CAD)
Debt-Equity Ratio
Lowest at 36.47 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 2.51%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 5.45%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Canopy Growth Corp.
Cash and Eqv
Lowest at CAD 287.33 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Raw Material Cost
Grown by 33.37% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales






