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Pot Companies’ Outlooks ‘No Better Than a Coin Flip,’ MKM Says

  • Just 51% of predictions with known outcomes were correct
  • Hexo was worst performer, with 18% correct; Tilray did best
Pot Replaces Asparagus as Outdoor Growing Proliferates in Canada
Photographer: Cole Burston/Bloomberg

Investors would do just as well to flip a coin as to listen to cannabis companies’ predictions, according to an investigation by research firm MKM Partners.

Analyst Bill Kirk examined every earnings transcript since 2017 for the six Canadian pot producers he covers and found 947 predictions, promises and outlooks. Of those, 29% were correct, 28% were incorrect and 43% are yet to be determined. That means 51% of predictions with a known outcome turned out to be true.