Aurora Cannabis Inc
ACB: XTSE (CAN)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
CAD 82.00 | Sxv | Nmp |
Aurora Cannabis: Slashing Fair Value Estimates as Small Size Handicaps Its Competitiveness
After reviewing no-moat Aurora Cannabis’s fiscal fourth-quarter results, we’ve slashed our fair value estimates to $9.50 and CAD 13 per share, down from $16.50 and CAD 22.50, respectively. Despite trading well below our fair value estimates, we see significant idiosyncratic risk in Aurora and see better risk-adjusted upside in no-moat US multistate operators Curaleaf and Green Thumb.