Aurora Cannabis Inc Stock Forecast:
According to seven analysts, the average target price for Aurora Cannabis Inc over the next 12 months is CAD 1.45. The average analyst rating for the stock is “Buy.” However, Stock Target Advisor‘s own analysis of Aurora Cannabis Inc indicates a “Very Bearish” outlook, based on eight negative signals and zero positive signals. As of the last closing, the stock price of Aurora Cannabis Inc was CAD 0.70. Over the past week, the stock price has remained unchanged, while it has decreased by -15.66% over the past month and -59.06% over the last year.
Analysts Coverage Change:
Canadian Imperial Bank of Commerce (CIBC) on Friday June 15th, reduced its target price for Aurora Cannabis Inc. to $1.00 from $1.75, reflecting lower sales estimates and a dampened sentiment for cannabis stocks overall.
The cannabis industry has experienced significant volatility and uncertainty since its legalization in Canada and several states in the United States. The initial hype and enthusiasm surrounding the sector led to an influx of investments, and many companies, including Aurora Cannabis, saw their stock prices soar. However, the reality of the market has been much harsher than anticipated, leading to a general cooling off of investor sentiment.
CIBC’s decision to lower the target price for Aurora Cannabis comes as a result of lower sales estimates for the company. The cannabis industry has been grappling with challenges such as regulatory hurdles, supply chain issues, and competition from the black market.
The bank’s decision also reflects a more muted sentiment towards cannabis stocks as a whole. After a period of exuberance, investors have become more cautious, considering the industry’s ongoing struggles and the slow pace of profitability for many companies. This shift in sentiment is evident in the declining stock prices of various cannabis companies, which have experienced significant declines in recent months.
