Company News

BUZZ-Canopy Growth: "Top line relief with margin grief"

** U.S.-listed shares of Canadian pot firm Canopy Growth Corp rise 6.24 pct to $49 after reporting Q3 earnings that topped estimates; revenue quadrupled

** Co’s net revenues being in line with consensus is a relief given the meaningful miss last quarter, say analysts at Cowen and Co

** “The offset, however, seems cost of goods sold/gram continued to climb, and was $5.11 in the quarter, a far cry from the $2-3 we see from co’s peers” - Cowen and Co, who described co’s results as “Top line relief with margin grief”

** Co set open higher after three sessions of losses

** Shares of peers Tilray Inc up 2.4 pct, while Aurora Cannabis up 2 pct

** Shares of Canopy have surged 71.6 pct this year, surpassing 2018’s 13.6 pct gain (Reporting by Susan Mathew in Bengaluru;)