Why Aurora Cannabis Stock Tanked Today
Aurora Cannabis' (NYSE: ACB) sizzling momentum appears to have fizzled. Shares of the Canadian cannabis producer were tanking 12.9% as of 2:44 p.m. EDT on Tuesday. Aurora posted surprisingly strong fiscal 2021 Q3 results last week, but today's decline came after MKM Partners analyst Bill Kirk wrote to clients that the company isn't "out of the woods yet."
No psychic skills were needed to predict that Aurora's stock couldn't continue to soar as it has over the last couple of trading days. Anyone who has examined the company's financial details already knew what Kirk stated in his note to clients. Aurora's goal to generate positive adjusted EBITDA by the end of September isn't a slam dunk by any stretch of the imagination. The company could very well have to raise more capital and dilute its shares even more in the process.
Image source: Getty Images.
Source Fool.com
