Aurora Cannabis CFDs have a positive outlook
Aurora Cannabis Inc. received a licence to sell medical cannabis in 2014. Currently, the company has eight licensed production facilities in 18 countries producing over 500,000 kg of cannabis annually. Aurora Cannabis ranks second among companies in this sector by market capitalisation. The highest-valued company is Canopy Growth Corp
In 2018, the sale of cannabis for recreational purposes was legalised in Canada, with sales starting on 17 October. As a result, there has been increased demand for this product among the Canadian population, and some regions of Canada are even experiencing a shortage of cannabis.
Currently, Aurora Cannabis Inc intends to increase its cannabis production capacity. A new plant in Alberta, capable of producing 100,000 kg of cannabis per year, is being constructed in Alberta.
Since October 2018, the company's shares have been traded on the NYSE under the ticker ACB. The current price of Aurora Cannabis shares in New York is just a bit over $6.
The stock price increased sharply soon after the IPO amid a surge of interest in this sector, which was largely driven by the start of recreational cannabis sales. At that time, the company's shares were worth almost $12 before the market hype calmed down. Aurora Cannabis (ACB) first fell to $5.90, then rose to $7-$8 temporarily, and finally stabilised at just above $6 more recently.
The hype in the cannabis sector is likely over.
Disclaimer: The information in this article is not intended to be and does not constitute investment advice or any other form of advice or recommendation of any sort offered or endorsed by Libertex. Past performance does not guarantee future results.
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