Hexo CFO’s Resignation Prompts Double Downgrade at BofA
- Leaves investors guessing ‘what don’t we know?’ analyst says
- Predicts company will trim forecast for fiscal 2020 sales
A woman browses Hexo products at the Montreal Cannabis Expo on Oct. 26, 2018.
Photographer: Christinne Muschi/BloombergThis article is for subscribers only.
The abruptness of Hexo Corp.’s chief financial officer departure raises questions about whether there was more to the move than meets the eye, prompting Bank of America Merrill Lynch to double-downgrade the stock.
“Put simply: a departure that is so abrupt, from a person with CFO experience at other public companies, is concerning, and in our view will leave investors guessing ‘what don’t we know?’ for some time,” analyst Christopher Carey said in a note.