OrganiGram Holdings Inc. (OGI:CN) (OGRMF) PT Raised to Cdn$6.15 at Cantor Fitzgerald
- S&P 500, Dow end at record highs as weak jobs data eases rate worries
- U.S. Added Only 266,000 Jobs in April, Well Below Estimates
- Roku (ROKU) Surges After Crushing Profit Estimates to Prompt an Upgrade to 'Buy' at Loop Capital
- Dollar broadly weaker after U.S. jobs data disappoint
- Square (SQ) Tops Q1 EPS by 25c
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
Cantor Fitzgerald analyst Pablo E. Zuanic raised the price target on OrganiGram Holdings Inc. (OGI:CN) (OTC: OGRMF) to Cdn$6.15 (from Cdn$6.00) while maintaining an Overweight rating on revised export potential.
The analyst commented, "Feb qtr results were worse than expected (24% sales miss vs. FactSet consensus), but we think the COVID related issues have now been well telegraphed by the major LPs (and results Mon/Tue by APHA.TO and OGI.TO). In fact, although it did not give guidance, management pointed to improved sales trends for the May qtr (Hifyre has the market in March up 18% MoM). As such, we think the current sectoral doldrums may give way to improving month to month market metrics. Also, comments about an Aug qtr shipment to Israel “selling in weeks” bode well for the international outlook (a reason that should justify valuation premiums besides CPG involvement). On the new fully diluted share count we calculate OGI.TO trades at a compelling 5.7x CY22 EV/Sales (we are in line with consensus at $148Mn by then) compared with high single digits for comparable peers, and “teens” for those with large CPG equity stakes (this March BATS.LON took a 19.9% stake in OGI.TO). We believe Organigram, the current travails notwithstanding (including leaving on the table $13Mn in sales in the Nov/Feb qtrs due to capacity planning issues), is also ahead of the peer group in terms of innovation and indoor quality cultivation. Our SOP-based PT approach now yields a 12-month price target of C$6.15 vs. C$6.00 before."
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Martinrea International (MRE:CN) (MRETF) PT Lowered to Cdn$17 at TD Securities
- Stantec Inc. (STN:CN) (STN) PT Raised to Cdn$64 at TD Securities
- Western Forest Products (WEF:CN) (WFSTF) PT Raised to Cdn$3 at TD Securities
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst PT Change, Intl Ratings
Related EntitiesCantor Fitzgerald
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!