Tilray Brands Explained: An Introduction to TLRY Stock Trading
Date Modified: 6/10/2024
Tilray Brands is a major player in the global cannabis market and has a diversified portfolio in the beverage, alcohol, and wellness sectors. Hence, Tilray stock may be viable for traders and investors seeking opportunities within the cannabis stock sector or beyond the Cannabis Stock Index. This article explores important aspects of Tilray stock, including how to trade it.
Main Points:
- Tilray Brands Inc. is a cannabis and consumer products company founded in 2014.
- Tilray is headquartered in Leamington, Ontario, Canada, with a global reach across North America, South America, Australia, and Europe.
- Tilray became the first cannabis company to trade publicly on NASDAQ in 2018.
- Tilray trades under the ticker symbol 'TLRY' on NASDAQ and 'TSX' on the Toronto Stock Exchange.
What Is Tilray Brands Inc.?
Tilray Brands Inc. is an American publicly traded company at the forefront of the global cannabis lifestyle and consumer packaged goods. Tilray is headquartered in Leamington, Ontario, Canada, and has a portfolio of subsidiaries addressing the needs of consumers and customers in North America, South America, Australia, and Europe.
Products and Services of Tilray Brands
Tilray Brands Inc. is organised into four independent yet mutually supportive business segments, each offering various products and services. Tilray's four distinct business segments are:
- Cannabis Business: This segment cultivates, processes, and sells cannabis products, including medical and adult-use products, and offers co-manufacturing and consulting services to other companies in the industry.
- Distribution Business: Tilray's distribution segment focuses on selling cannabis and pharmaceutical products to customers. This involves managing the supply chain and logistics for these products.
- Beverage Alcohol Business: In this segment, Tilray produces, markets, and sells a range of alcoholic-based products, including beverages.
- Wellness Business: Tilray's wellness segment centres on the production and sale of hemp-based health and wellness products, including hemp foods and cannabidiol (CBD) consumer products.
Tilray Brands Inc. has a portfolio of brands such as Good Supply, RIFF, Broken Coast, and others. These brands are associated with specific product lines and consumer segments within the cannabis, beverage, and wellness markets.
Brief History and Key Milestones of Tilray Brands Inc.
- Tilray Brands, a Canadian pharmaceutical company, was established in 2014 as a subsidiary of Privateer Holdings. It was among the first companies to secure a cannabis production license in Canada.
- In 2016, Health Canada approved Tilray to conduct its first-ever clinical trial on the therapeutic potential of medical cannabis. The following year, the company was licensed for Good Manufacturing Practices.
- By 2018, Tilray had raised a substantial $1.1 billion in funding and made history by becoming the first cannabis company to trade publicly on the NASDAQ. During the same year, Tilray was the first Canadian company to initiate the export of medical cannabis to the United States for a clinical trial.
- Tilray continued to diversify its market reach through acquisitions and partnerships. The company also entered the adult recreational cannabis market through the launch of High Park Company.
- By 2022, Tilray had expanded its operations to Europe, securing licenses to import and distribute medical cannabis in Poland and Italy. Tilray acquired eight beverage brands and their associated breweries from Anheuser-Busch the following year.
- As of 2024, Tilray dominates the craft beer market in the Pacific Northwest and also holds a 5% market share of the US craft beer industry.
Tilray Brands Financial and Stock Market Performance
After briefly exploring Tilray's journey from its inception to public listing, it is also important to grasp the company’s finances and stock market performance.
Tilray went public on the NASDAQ in July 2018 with an initial public offering (IPO) priced at $17 per share. The stock soared to an all-time high of $300 on September 19, 2018, but dropped to a record low of $1.50 on June 21, 2023. Overall, Tilray’s stock declined 19.83% in 2023.
As of August 2024, Tilray Brand Inc. has a market capitalisation of $1.71 billion, an outstanding Shares of 825.84 million, and a public float of $837.99 million. The company also recorded a negative earnings per share (EPS) of $-0.3334.
Factors Affecting Tilray's (TLRY) Stock Performance
The factors impacting the stock performance of Tilray Brands are distributed into six main areas:
- Finance & Corporate: Financial performance, debt levels, profitability, and overall operational efficiency play the most significant role in influencing the stock performance of Tilray Brands. Any concerns about financial instability or mismanagement could negatively impact the stock.
- Legal & Regulatory: Given the evolving cannabis industry landscape, changes in regulations, licensing issues, or legal challenges could create uncertainty and volatility in the stock price of Tilray Brands.
- Production: Any production-related risks, such as supply chain disruptions, crop diseases, or quality control issues, could affect Tilray's ability to meet demand and maintain profitability, thus affecting its stock price.
- Ability to Sell: Market demand, consumer preferences, and distribution channels play a crucial role in impacting the sales and revenue of Tilray products, consequently influencing its stock price.
- Tech & Innovation: Tilray's ability to innovate and leverage technology for efficiency and product development is crucial. Falling behind competitors in technology or innovation could negatively impact its market position and stock price.
- Macro & Political: While this has the least impact on the above-mentioned, factors like economic downturns and political instability can affect Tilray's business and investor sentiment.
How to Trade Tilray Brand Stock
‘TLRY’ is the ticker symbol used to represent Tilray Brands Inc. on the NASDAQ stock exchange and some online CFD trading platforms such as Plus500. However, on the Toronto Stock Exchange, the ticker symbol used to represent Tilray Brands Inc. is “TSX”.
Traders can gain exposure to Tilray stock price movement without owning the actual shares by trading contracts for differences via a CFD trading account.
Contracts for differences (CFDs) enable you to speculate on the rising and falling prices of Tilray shares by opening a buy or sell position and profiting or losing from the difference between your entry and exit price.
With CFDs, traders can employ leverage, potentially magnifying their profits using relatively less capital. However, leverage carries the risk of significant losses.
Trading Hours for Tilray (TLRY) Shares
On the Plus500 WebTrader platform, traders can monitor the real-time price movements of Tilray (TLRY) shares and trade from Monday at 3:30 PM CET to Friday at 10:00 PM CET.
*Please note that trading platform hours may vary depending on the individual operator.
Steps to Buy and Sell Tilray Shares CFDs with Plus500
To trade Tilray Brands stock with Plus500, follow these steps:
- Open a real or demo trading account with Plus500.
- Access the Plus500 trading platform.
- To find Tilray Brands stock, use the search function or browse the available instruments on the platform.
- Analyse Tilray stock market conditions using technical and fundamental analysis to determine whether to buy or sell the stock.
- Specify the desired contract size and risk management parameters, such as stop-loss orders and take-profit orders.
- Place a buy or sell order for Tilray Brands stock.
- Monitor and track the performance of your trade.
Conclusion
Tilray Brands Inc.'s position as a global leader in the cannabis and consumer packaged goods industries presents a unique opportunity for investors seeking exposure to the rapidly evolving cannabis market. Understanding the factors influencing Tilray's stock valuation, such as regulatory changes, consumer adoption, and the company's financial performance, is important for traders and investors aiming to capitalise on potential trading opportunities.
If you are interested in the rising and falling prices of Tilray shares, check out Tilray CFD at Plus500.
FAQs
As of August 2024, Tilray does not pay dividends to shareholders. This might change later in the future.
To identify overbought or oversold conditions for Tilray Brand stock, traders can use technical indicators like the Relative Strength Index (RSI).
Tilray Brands had approximately 2,650 employees in August 2024.
Tilray Brands competes with companies such as Canopy Growth (CGC), Aurora Cannabis (ACB), and Cronos Group (CRON).
Learn More About Tilray
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