Investing

Unusual Put Option Trade in Canopy Growth Worth $75K

George Maybach

Published: May 12, 2023 3:48 am

Last Updated: May 12, 2023 1:00 pm

On May 11, 2023 at 13:24:59 ET an unusually large $75.00K block of Put contracts in Canopy Growth (CGC) was sold, with a strike price of $2.50 / share, expiring in 162 day(s) (on October 20, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 3.29 sigmas above the mean, placing it in the 99.95th percentile of all recent large trades made in CGC options.

This trade was first picked up on Fintel’s real time Options Flow tool, where unusual option trades are highlighted.

What is the Fund Sentiment?

There are 390 funds or institutions reporting positions in Canopy Growth. This is an increase of 2 owner(s) or 0.52% in the last quarter. Average portfolio weight of all funds dedicated to CGC is 0.10%, a decrease of 13.56%. Total shares owned by institutions decreased in the last three months by 2.94% to 76,400K shares. The put/call ratio of CGC is 0.49, indicating a bullish outlook.

Analyst Price Forecast Suggests 90.87% Upside

As of May 11, 2023, the average one-year price target for Canopy Growth is 2.33. The forecasts range from a low of 1.29 to a high of $7.07. The average price target represents an increase of 90.87% from its latest reported closing price of 1.22.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Canopy Growth is 516MM. The projected annual non-GAAP EPS is -0.71.

What are Other Shareholders Doing?

MJ – ETFMG Alternative Harvest ETF holds 8,615K shares representing 1.65% ownership of the company. In it’s prior filing, the firm reported owning 10,964K shares, representing a decrease of 27.26%. The firm decreased its portfolio allocation in CGC by 28.92% over the last quarter.

Millennium Management holds 8,557K shares representing 1.64% ownership of the company. In it’s prior filing, the firm reported owning 3,093K shares, representing an increase of 63.86%. The firm increased its portfolio allocation in CGC by 119.06% over the last quarter.

Etf Managers Group holds 8,107K shares representing 1.56% ownership of the company. In it’s prior filing, the firm reported owning 0K shares, representing an increase of 100.00%.

National Bank Of Canada holds 7,046K shares representing 1.35% ownership of the company. In it’s prior filing, the firm reported owning 7,098K shares, representing a decrease of 0.73%. The firm decreased its portfolio allocation in CGC by 27.47% over the last quarter.

VGTSX – Vanguard Total International Stock Index Fund Investor Shares holds 3,922K shares representing 0.75% ownership of the company. In it’s prior filing, the firm reported owning 4,016K shares, representing a decrease of 2.39%. The firm decreased its portfolio allocation in CGC by 32.54% over the last quarter.

Canopy Growth Background Information
(This description is provided by the company.)

Canopy Growth is a world-leading diversified cannabis and cannabinoid-based consumer product company, driven by a passion to improve lives, end prohibition, and strengthen communities by unleashing the full potential of cannabis. Leveraging consumer insights and innovation,the Company offers product varieties in high quality dried flower, oil, softgel capsule, infused beverage, edible, and topical formats, as well as vaporizer devices by Canopy Growth and industry-leader Storz & Bickel. Its global medical brand, Spectrum Therapeutics, sells a range of full-spectrum products using its colour-coded classification system and is a market leader in both Canada and Germany. Through its award-winning Tweed and Tokyo Smoke banners, the Company reach its adult-use consumers and hasbuilt a loyal following by focusing on top quality products and meaningful customer relationships. Canopy Growth has entered into the health and wellness consumer space in key markets including Canada, the United States, and Europe through BioSteel sports nutrition, and This Works skin and sleep solutions; and has introduced additional federally-permissible CBD products to the United States through its First & Free and Martha Stewart CBD brands. Canopy Growth has an established partnership with Fortune 500 alcohol leader Constellation Brands.

See all Canopy Growth regulatory filings.

This article originally appeared on Fintel