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13.10.2019 20:00:00

HEXO: Time to Abandon Ship?

HEXO (NYSE: HEXO) set fire to the entire legal cannabis space last week after pulling its fiscal 2020 outlook and slashing its fiscal fourth-quarter revenue projection. The company said that its decision was based on the slower-than-expected roll out of retail outlets, the delay in government-approved derivative products, and early signs of pricing pressure nationwide.The top five licensed producers in Canada -- and most of the smaller players as well --- lost over 10% of their value over the course of Thursday and Friday's trading session as a result of HEXO's far-reaching remarks. HEXO's shares, for their part, dropped by a stunning 31.2% over this two-day period. Can HEXO's stock recover from this latest downturn, or it is time for investors to abandon ship? Let's break down HEXO's near-term outlook to find out. Image Source: Getty Images.Continue reading
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