TLRY Stock Set to Snap Losing Streak on $3.3M Germany Deal

Tilray stock has been reeling since an earnings miss

Digital Content Manager
Aug 21, 2019 at 9:56 AM
facebook twitter linkedin

A Portuguese subsidiary of Tilray Inc (NASDAQ:TLRY) signed a deal with Cannamedical Pharma to ship $3.3 million worth of medical cannabis to Germany by the fall. "This is a significant milestone for Tilray," said CEO Brendan Kennedy. As a result, TLRY stock is up 3.9% at $30.45 -- set to snap its five-day losing streak. 

The losing streak started on Aug. 14, after Tilray reported disappointing earnings, and was exacerbated by an extreme bear note from Vertical Group. The equity subsequently touched a one-year low of $28.72 just yesterday, and Tilray's 14-day Relative Strength Index of 27 sits firmly in "oversold" territory. This means a short-term bounce may have been in the cards for the pot stock.

Vertical Group isn't the only one with reservations about TLRY. Eleven of the analysts following the stock consider it a "hold" or worse, while only three call it a "strong buy." On the other hand, the consensus 12-month target price of $64.40 more than doubles current levels. 

While short interest fell slightly during the last reporting period, the 6.71 million shares sold short represent a hefty 37.5% of the stock's available float. It would take nearly a week to cover all these pessimistic positions, at TLRY's average pace of trading. 


Stop leaving money on the table with the same old broken options trading approach...

There is no options strategy that more perfectly capitalizes during earnings season better than this simple call and put buying strategy. Perfect for aggressive traders looking to recover their suffering portfolios so far in 2022. With the simplest possible options strategy, Schaeffer's team with 100+ years of options trading excellence, target 200% gains on every single trade. So many trades are being beaten down by the market, but don't be one of them! Don't waste another second... join us right now before the next trade is released! 

Schaeffer's Daily Bulletin Offer


Special Offers from Schaeffer's Trading Partners