Canopy Growth is asking shareholders to approve another reverse stock split, with a vote scheduled for Sept. 25, after its shares fell back below $1 per share. The cannabis company last executed a reverse split on Dec. 15, 2023, and its stock has since dropped roughly 80% from pre-reverse-split levels, including a nearly 50% decline before a brief marijuana stock rally. A $1 minimum share price is a key listing requirement on major exchanges, and Canopy Growth is proactively seeking the split to protect its listing. The company reported sales growth across all its divisions in the first quarter of fiscal 2027, with an overall top-line gain of 13%, while its loss was 68% lower than in the same quarter of the previous year. A reverse split is not a positive development and is typically a move a company makes when it has no better option, but shareholders likely have little choice but to approve the request, as voting it down would make it much harder for Canopy Growth to run its business.
Canopy Growth CorpCanopy Growth is seeking another reverse stock split to protect its listing after shares fell below $1, a move the article calls a sign of having no better option.
