Monday, September 15, 2025

Latest

Valens: Canaccord Lowers Price Target To $3.75

Earlier this month, The Valens Company (TSX: VLNS) reported their fiscal third-quarter financial results. The company reported net revenue of $20.99 million, up from the $18.76 million reported last quarter. Gross margins were 26.8% for the quarter compared to 22% last quarter, while adjusted EBITDA came in lower than last quarter at negative $6.18 million. The company reported a net loss of $12.8 million. Valens saw its SKU count go from 75 at the end of the first fiscal quarter to now 181 at the end of this quarter.

The Valens Company currently has 9 analysts covering the stock with an average 12-month price target of C$3.92, or 89% upside. Out of the 9 analysts, 1 has a strong buy rating, 7 have buys and 1 analyst has a hold rating. The street high sits at C$5.25 from Stifel-GMP, while the lowest comes in at C$2.50.

In a note, Canaccord Genuity lowered their price target to C$3.75 from $4.25 and speculative buy rating saying that after their first run-through the company is now focusing on margins. For the quarter, Canaccord forecasted revenue to be C$22.5 million.

Canaccord notes that this quarter included partial sales from Green Roads which accounted for C$4.7 million, so if you would back that out then sales would have declined by 12%. They write that this decline would be attributed to the company “transitioning away from smaller, underperforming B2B partners in favour of building deeper relationships with larger LPs.”

Onto gross margins, the company saw a 4.8% increase in gross margins, which can be partially attributed to the Green Roads inclusion. Canaccord writes, “Having now achieved critical mass for its SKU listings, VLNS plans to shift focus to driving margin expansion through automation, volume growth, and operational efficiencies.”


Information for this briefing was found via Sedar and Refinitiv. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

New Found Gold: The Strategic Maritime Resources Purchase

Amex Exploration: Revised Perron PEA Has INSANE Economics

Aris Mining: The Multi Billion Dollar Soto Norte PFS

Recommended

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Goliath Resources Hits 18.58 g/t Gold Over 5.00 Metres At Surebet

Related News

Dollarama: Canaccord Maintains $57 Price Target

On September 9, Dollarama Inc (TSX: DOL) reported their fiscal second quarter results for the...

Monday, September 13, 2021, 10:52:00 AM

Equinox: BMO Lowers Price Target After Second Blockade In Nine Months

On June 22nd, Equinox Gold Corp. (TSX: EQX) announced that there has been illegal blockades set...

Thursday, June 24, 2021, 04:14:00 PM

Imperial Helium: Eight Capital Initiates Coverage With $1.00 Price Target

Imperial Helium (TSXV: IHC) had their first investment bank initiate coverage on them this past...

Saturday, June 5, 2021, 01:26:00 PM

Argonaut Gold: Analysts Upgrade Price Targets Following Close Of Financing

Some analysts have recently updated their forecasts on Argonaut Gold (TSX: AR) after the closing of...

Friday, February 19, 2021, 11:55:00 AM

BofA: Shifts In Public Perception Driving Change [In Cannabis Legislation] Today

Yesterday, BofA Securities released a cannabis primer that largely focused on Canadian operators, such as...

Friday, December 4, 2020, 12:16:53 PM