Cowen downgraded Aurora Cannabis Inc., Tilray Inc. and Sundial Growers Inc. on Monday with analysts becoming increasingly cautious on the outlook for Canadian licensed producers.
A Cowen team led by Vivien Azer said the headwinds that have battered the cannabis sector—a shortage of retail stores, pricing pressures created by a still-thriving black market and oversupply—are not easing as expected.
And Cannabis 2.0, the next phase of legalization involving edibles and other derivatives, is unlikely to be the boost that the market was hoping for.
A Cowen team led by Vivien Azer said the headwinds that have battered the cannabis sector—a shortage of retail stores, pricing pressures created by a still-thriving black market and oversupply—are not easing as expected.
And Cannabis 2.0, the next phase of legalization involving edibles and other derivatives, is unlikely to be the boost that the market was hoping for.