Tilray: A Budding Disaster?

Okay, let’s talk Tilray Brands (TLRY +5.71%). Because if you’ve held this stock for the last five years, you’re basically starring in your own personal tragedy. A 98% drop? That’s not investing, that’s performance art. Meanwhile, the S&P 500 is over there, casually up 78%, like it’s just effortlessly good at being an index. It’s the Serena Williams of stock performance, and Tilray is…well, let’s just say it’s practicing with the junior varsity team.

The problem isn’t that Tilray isn’t trying. They talk a good game about international markets, but honestly, it feels a bit like rearranging the deck chairs on the Titanic. The entire investment thesis seems to hinge on the U.S. finally deciding to join the party and legalize marijuana. It’s a lot of potential energy, sure, but potential energy doesn’t pay the bills. It’s like waiting for a friend who’s always running late – eventually, you just order your own appetizers.

Profitability? More Like a Profit-ability

Look, I’m a value investor, which means I like to see actual, you know, value. And a company heading towards zero generally lacks that. Financials are kind of important. Tilray’s latest quarterly report showed a net loss of $42 million. Now, they’ll tell you it’s an improvement from the previous year’s $120 million loss. Which is like saying your diet is going well because you only ate half a cake today. It’s technically progress, but still…cake.

They’ve managed to slow down the cash burn, using under $10 million in the last six months, compared to $76 million a year ago. That’s…good? It’s like switching from a leaky faucet to a slow drip. Still needs fixing, but at least you’re not mopping constantly. But let’s be real, this isn’t exactly a financial fortress.

Is Zero Inevitable?

Here’s my take, and I’m not afraid to say it: There’s a very real chance Tilray ends up at $0. They’re pursuing growth aggressively, which is fine, except it feels like they’re running a marathon in flip-flops. The U.S. legalization dream? It’s looking less like a plan and more like a hope, and hope doesn’t pay the rent. Expanding elsewhere is just going to lead to more losses and, frankly, more headaches. It’s the corporate equivalent of chasing a unicorn while juggling flaming torches.

Look, I’m not saying this is a bad company, per se. It’s just…a risky one. There are far better places to put your money. Growth stocks are great, but they need to, you know, grow profits, not just revenue. This isn’t a value play, it’s a gamble. And honestly, my portfolio has enough drama already. I’m sticking with things I can at least understand – like why people still wear Crocs.

2026-02-10 20:06

Profitability? More Like a Profit-ability

Is Zero Inevitable?

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