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Fly News Breaks for March 4, 2020
Mar 4, 2020 | 20:51 EDT
GLJ Research analyst Gordon Johnson lowered the firm's price target on Tilray to $0 from $5 and keeps a Sell rating on the shares after its Q4 earnings miss. The analyst notes that the company's performance "just got a lot uglier" as it took a $112M asset writedown in Q4 alone, with revenue also falling sequentially by over 8%. Johnson further cites Tilray's $68.6M in inventory valuation adjustments equating to over 41% of the company's FY19 sales as well as its additional $60M debt issuance taken on February 28th and thus doubling its quarterly interest expense.