The cannabis stocks have been declining in prices after there is news of cutting off the staff in various regions, including Europe. The industry was at a boom when the market was hit by a corona attack. Aurora Cannabis stock along with the other important ones in the market have faced this situation and there is a reduction in the business levels of the stocks from March. The international operations of the market have become so difficult that it has become tough for companies to meet the market demands and attain profitability through different resources.
Aurora Cannabis is planning to shut down the offices in Spain, Italy, and Portugal. The big shots like Aurora and Canopy Growth have been into the international markets in the early phases. Even the Berlin Office of the company would remain closed for the European business. Aurora is planning to move its operations in Europe to its Denmark facility.
There were losses piled up for cannabis companies in various parts of the world due to which they are pulling back their businesses from foreign lands. The companies tried to establish their roots in the foreign market but the crash in March ruined all the plans. The investors were disappointed with this depression in the market.
The medical markets in Europe didn’t develop recreational trends so quickly as it was expected. In comparison, the Canadian markets were quicker for acceptability. The stocks of Aurora Cannabis went down in mid of May rather than the market crash in March. The stock prices have been coming down and are approximately CAD 14. The prices have reduced to $14 value from $21 on June 8, 2020. Similarly, CRON is revolving around $6.2 for the last one month.
Aurora Cannabis Pullback
Aurora Cannabis is aiming at the closure of the operations at five facilities and the production would be done at the Aurora Sky facility. Last month marked the retirement of Terry Booth who was the co-founder and CEO earlier this year.
On the other side, canopy growth has terminated hundreds of employees to reduce financial pressure. Exposure to abroad nations is also reduced. Canadian companies can’t even go towards expansion in the US without getting guidance from FDA or CBD. The ratings of the companies are also reducing at the moment.
Investors might think about buying cannabis stocks at the moment but the future of the stocks is still unpredictable. The foreign assignments are postponed and the companies are still towards finding suitable ways to rise. The times ahead may bring the marijuana stocks at a higher position and there can be improvement expected when the world gets to its right track.