Brokerage Alliance cuts PTs of pot producers on pricing pressure

Green Thumb Industries

22/02/2023 15:39

** Brokerage Alliance Global Partners cuts PTs on Canadian
cannabis companies, anticipating pricing pressure and regulatory
delays
    ** Brokerage says SAFE Banking reform conservation
continues, expects investor skepticism to remain 
    ** Brokerage lowers its Q4 EBITDA estimate for Cresco Labs
Inc  CL.CD  to $39 mln from $43 mln as it expects pricing
pressure to weigh on cos gross margin
    ** Additional store opening in Florida might weigh on
Trulieve Cannabis Corp  TRUL.CD  average sales per store -
Alliance 
    ** Brokerage says Curaleaf Holdings Inc's  CURA.CD  2023
margin improvement could be offset by pricing pressure 
    ** Pricing pressure and delays for third-party store opening
to weigh on Green Thumb Industries Inc's  GTII.CD  wholesale,
says brokerage
 Company                             New PT      Old PT
 Cresco Labs  CL.CD                  C$8         C$10
 Trulieve Cannabis  TRUL.CD          C$33        C$35
 Curaleaf Holdings  CURA.CD          C$11        C$12
 Green Thumb Industries  GTII.CD     C$24        C$25
 (Reporting by Ankit Kumar in Bengaluru)
 ((Ankit.Kumar2@thomsonreuters.com))