03:33 PM EDT, 08/09/2024 (MT Newswires) -- Piper Sandler noted Friday that Canopy Growth ( CGC ) reported Q1 Fiscal 2025 revenue and EBITDA below its estimates. Management reaffirmed its expectations to achieve positive adjusted EBITDA in the second half of FY25. Piper Sandler said while the first half of FY25 has "minimal growth prospects", it models some improvement in the second half from new product launches and growth in the German market. Piper Sandler does not see meaningful near-term catalysts, even with cannabis getting rescheduled from Schedule I to Schedule III. It raised its FY25 sales estimate from C$290 million to near C$295M and its FY26 sales estimate from C$320M to C$330M. Piper Sandler maintained its price target of US$2 (still about 2x Calendar 2025 EV/Sales). Piper Sandler is Underweight Canopy.

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