Jefferies upgraded Tilray Inc. shares to buy from underperform with a price target of $23 from $4.77, according to MarketWatch. Analyst Owen Bennett termed Tilray’s merger with Aphria Inc. as a “perfect match” in the upgrade.
Bennett sees Tilray’s scale and Aphria’s unique positioning in German perfectly for it to succeed
Broad consumer goods portfolio and balance sheet of the combined entity is expected to enhance optionality around U.S THC and CBD
Bennett expects combined sales of 2020-2024 to be growing at 33%
The analyst projects fiscal sales of $1.7 billion in 2024, more that the average of major Canadian producers of $482 million and U.S operators of $1.6 billionTilray stock reacts to news of an upgrade. TLRY is up 19.63%
