On February 5, Cronos Group (CRON) ended its positive streak after it was downgraded by GMP Securities. The company closed at 28.7 Canadian dollars after declining ~6% compared to the previous day’s close. GMP Securities analyst Martin Landry downgraded the stock to a “hold” from its previous “buy” rating. While GMP Securities downgraded its rating for Cronos Group, the target price stayed at 24 Canadian dollars, which was ~15% lower than the closing on February 5.
GMP Securities’ downgrade came after Cronos Group more than doubled in price in just one month. Landry thinks that Cronos Group’s outlook remains unchanged. As a result, he’s still bullish on the stock. While speaking highly of Cronos Group’s management, Landry was optimistic about the opportunities that Cronos Group has with Altria’s backing. Recently, Altria (MO) provided key insights into Cronos Group’s investment. To learn more, read How Altria Aims to Accelerate Cronos Group’s Growth.
Peers’ target prices
Among Cronos Group’s peers (HMMJ), Canopy Growth (WEED) has a “buy” rating with a target price of 69.7 Canadian dollars. Aurora Cannabis (ACB) has a “buy” rating with a target price of 13.3 Canadian dollars. Aphria has a “buy” rating with a target price of 16.6 Canadian dollars.