Shares of Canadian cannabis producers on Friday do not show a single dynamic against the backdrop of hopes for a possible easing of legislation in the United States. At the same time, it can be noted that the market took some breathing space after substantial growth in the first quarter, investors are waiting for any significant corporate news events, in this case there could be a chance to see a new rally in the market.
A document proposed by a number of US senators that proposes making some legislative exceptions for banks working with the cannabis industry provided welcome news for the market. The Association of American Bankers has already supported this project.
Additional support for Aurora Cannabis(TO:ACB) securities came after the announcement that it hired investment banker Carey Squires to work on the company's global development. In addition, in Germany, Aurora Cannabis won 5 lots at auction for the production of medical cannabis. The same lot was won by the company's competitor - Aphria (TO:APHA). Now companies can grow 200 kilograms of cannabis in these areas per year.
However, the unfavourable news for Canopy Growth (NYSE:CGC) is the poor quarterly reporting by Constellation Brands (NYSE:STZ), which previously invested $4 billion in Canopy,
According to forecast financial scouts, some consolidation will continue in this market segment in the near future. Aurora Cannabis shares could rise in price to 9.5 dollars, Tilray (NASDAQ:TLRY) - up to 61.5 dollars, Aphria - up to 10.5 dollars. Paper Canopy Growth at the same time could be reduced in price to $43, and Cronos Group (NASDAQ:CRON) - up to $18.