With the company potentially at an important milestone, we thought we would take a closer look Curaleaf Holdings, Inc. (CSE: CURA) future perspectives. Curaleaf Holdings, Inc. operates as an integrated operator of medical and wellness cannabis in the United States. With the latest loss of US $ 62 million and a year-over-year loss of US $ 117 million, the C $ 8.0 billion market-cap company amplified its loss by moving further away from its profitability target . Many investors wonder about Curaleaf Holdings’ rate of profit, the big question being “when does the company break even?” Below, we’ll provide a high-level summary of industry analyst expectations for the company.
Check out our latest analysis for Curaleaf Holdings
Curaleaf Holdings is close to breaking even, according to 17 analysts at Canadian Pharmaceuticals. They predict that the company will suffer one final loss in 2021, before generating positive profits of US $ 119 million in 2022. Therefore, the company is expected to break even in about a year or less! How quickly will the business need to grow to achieve the consensus estimates of equilibrium in less than 12 months? Using a line of best fit, we calculated an average annual growth rate of 48%, indicating high analyst confidence. If this rate turns out to be too aggressive, the company could become profitable much later than analysts predict.
Since this is a high-level overview, we won’t go into details of Curaleaf Holdings’ upcoming projects, but take into account that a pharmaceutical company typically has irregular cash flows. which depend on the drug and the stage of development of the product. is in. Thus, a high growth rate is not unusual, especially when a company is in the period of investment.
One thing we would like to point out is that the company has managed its capital prudently, with debt accounting for 19% of equity. This means that it has mainly funded its operations from equity and its low debt reduces the risk of investing in the loss-making company.
There are too many aspects of Curaleaf Holdings to cover in a short article, but the fundamentals of the business can all be found in one place – the Curaleaf Holdings company page on Simply Wall St. We also have made a list of the essential factors you should look for further:
- Evaluation: What is Curaleaf Holdings worth today? Has the potential for future growth already been factored into the price? The intrinsic value infographic in our free research report helps to visualize whether Curaleaf Holdings is currently poorly valued by the market.
- Management team: An experienced management team at the helm increases our confidence in the company – take a look at Curaleaf Holdings board members and CEO background.
- Other high performing stocks: Are there other stocks that offer better prospects with a proven track record? Check out our free list of these great stocks here.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative material. Simply Wall St has no position in any of the stocks mentioned.