Why Did Tilray Stock Pop Today?
Investment
The Motley Fool

Why Did Tilray Stock Pop Today?

July 22, 2025
02:29 PM
3 min read
AI Enhanced
stocksfinancialhealthcareconsumer goodsmarket cyclesseasonal analysismarket

Key Takeaways

Tilray's 15% stock price bump today makes zero sense.

Article Overview

Quick insights and key information

Reading Time

3 min read

Estimated completion

Category

investment

Article classification

Published

July 22, 2025

02:29 PM

Source

The Motley Fool

Original publisher

Key Topics
stocksfinancialhealthcareconsumer goodsmarket cyclesseasonal analysismarket

Tilray's 15% stock price bump today makes zero sense

Meanwhile, Alliance Global Partners cut its price target on Tilray Brands (TLRY 16. 55%) stock by 25% this morning, from $1 to just $0 (which is quite significant). 75 per, as The Fly just reported

You'd bably expect news that to have an impact on the stock, and it did

Furthermore, However, But perhaps not the effect that you think, given the current landscape

ET Tuesday, Tilray stock is up 15

On the other hand, Image source: Getty Images (noteworthy indeed)

Additionally, What Alliance Global said Tilray Investors' reaction to Alliance Global cutting its price target doesn't make a whole lot of sense (to say the least) (which is quite significant)

According to the analyst, Tilray is experiencing "softness" in international sales of cannabis, and in its alcohol sales as well (this bears monitoring)

Additionally, (Best known as a marijuana stock, Tilray actually gets 25% of its revenue -- and 40% of its gross fit -- from the sale of alcoholic beverages. ) This's leading Alliance Global's analysts to cut their forecasts for Tilray's earnings this year, and to cut their price target as well

However, Tilray stock does, fortunately, cost only a couple of pennies more than the new price target, however, and so Alliance Global gives the stock a neutral rating

Is Tilray stock a buy

Even "neutral" may be generous, however (noteworthy indeed) (this bears monitoring), considering recent developments

Tilray hasn't earned a fit since 2018, back when marijuana stocks were still among momentum traders, in today's financial world

It hasn't generated positive free cash flow (FCF), well, ever

Even optimistic stock market analysts don't see the company turning fitable before 2029 at the earliest, although forecasts do call for positive free cash flow in 2026, given current economic conditions

Personally, though, given the company's track record I'm going to have to see that happen to believe it

Moreover, If Tilray does report positive FCF next year, I'll be happy to reconsider the stock

For the time being, however, I can only call Tilray stock a sell

On the other hand, The Author Rich Smith is a contributing Defense Analyst at The Motley Fool, covering publicly traded and emerging in defense, space, and aerospace (this bears monitoring)

Prior to The Motley Fool, Rich practiced international corporate law for Clifford Chance in Russia, and for the Russian-Ukrainian Legal Group in Moscow, Kyiv, and Washington, D

He holds a B (an important development)

In International Relations from the College of William & Mary in Virginia, a J

From the University of Baltimore, and language certification from the International Institute of Russian Language & Culture in Tver, Russian Federation, given the current landscape

Furthermore, Fun fact: Canada's The Globe and Mail him in an article titled, "Ex-lawyer one of the best stock pickers since 2009. " TMFDitty X @RichSmithFool Rich Smith has no position in any of the stocks mentioned

The Motley Fool recommends Tilray Brands

The Motley Fool has a disclosure policy.