Aurora Cannabis Inc ACB 0.36% shares bounced back Wednesday after a mixed fiscal third-quarter earnings report. One Wall Street analyst said Aurora is making progress on its long-term goals, but the company may also be dropping the ball on some valuable opportunities.
Bank of America analyst Christopher Carey reiterated his Buy rating and C$15 price target ($11 USD).
Carey said Aurora’s third-quarter results were a bit soft compared to his expectations, but investors should expect the company’s numbers to be volatile on a quarter-by-quarter basis in the near term. The most important takeaway from the quarter is Aurora reiterated its fourth-quarter guidance for 25,000 kg of cannabis ready for sale, positive EBITDA and improving margins heading into fiscal 2020.
Carey said Aurora is adding value by expanding into established products such as vapes and edibles, it might be missing out in another area.
“We see the strategy as