📌 TLRY: Why did the stock soar 65% and what's next?
Last week saw the biggest weekly gain in the company's history.
We won't go into too much detail on the fundamentals, but here's a quick overview:
Revenue breakdown by product for the quarter:
Canadian recreational cannabis: ~$59.1 million — the core of the Canadian business
Canadian medical cannabis: ~$6.7 million
International medical cannabis: ~$14.9 million — the key growth rate (+71% in the last quarter of 2025!)
At the same time, cash flows, and earnings are in negative territory on a TTM basis.
Net debt ~59 M
P/B ~0.9
Now to the most interesting part:
This share price increase is related to the likelihood of cannabis being reclassified in the US from Schedule I to Schedule III of controlled substances.
What does this mean:
1. Repeal of Section 280E of the US Internal Revenue Code
Currently, companies operating with cannabis in the US cannot deduct regular business expenses (rent, salaries, marketing) when calculating their income taxes. This severely compresses margins.
Reclassification will automatically remove this limitation.
2. Access to Capital and Banks
Last week saw the biggest weekly gain in the company's history.
We won't go into too much detail on the fundamentals, but here's a quick overview:
Revenue breakdown by product for the quarter:
Canadian recreational cannabis: ~$59.1 million — the core of the Canadian business
Canadian medical cannabis: ~$6.7 million
International medical cannabis: ~$14.9 million — the key growth rate (+71% in the last quarter of 2025!)
At the same time, cash flows, and earnings are in negative territory on a TTM basis.
Net debt ~59 M
P/B ~0.9
Now to the most interesting part:
This share price increase is related to the likelihood of cannabis being reclassified in the US from Schedule I to Schedule III of controlled substances.
What does this mean:
1. Repeal of Section 280E of the US Internal Revenue Code
Currently, companies operating with cannabis in the US cannot deduct regular business expenses (rent, salaries, marketing) when calculating their income taxes. This severely compresses margins.
Reclassification will automatically remove this limitation.
2. Access to Capital and Banks
Wyłączenie odpowiedzialności
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Wyłączenie odpowiedzialności
Informacje i publikacje nie stanowią i nie powinny być traktowane jako porady finansowe, inwestycyjne, tradingowe ani jakiekolwiek inne rekomendacje dostarczane lub zatwierdzone przez TradingView. Więcej informacji znajduje się w Warunkach użytkowania.