Is Sundial Growers a Buy?
Sundial Growers (NASDAQ: SNDL) has been a major flop in its attempt to capitalize on the Canadian marijuana industry. Due to overexpansion, lack of brand quality, and supply gluts, the firm's pot sales have plummeted in the past year. Meanwhile, Sundial took advantage of a rise in share price from a retail frenzy to issue stock and raise cash. The firm's outstanding shares went from less than 200 million last July to 1.86 billion as of this month.
The house of cards came down fast. Since February, the stock has lost an astonishing 75% of its value. Is there any reason why investors should keep holding on to their Sundial shares?
Image source: Getty Images
Source Fool.com
