Cronos Group Inc
CRON: XNAS (USA)
| Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
|---|---|---|---|
| $2.00 | Vkmh | Jpzhyqz |
Tough Competition in Canada Overshadows Cronos' Progress on Cutting Operating Expenses
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Business Strategy and Outlook
Cronos Group cultivates and sells cannabis predominantly in Canada and Israel. With net sales below CAD 100 million, it is the smallest Canadian licensed producer we cover by far. This hurts its ability to reach scale on overhead expenses, leading us to forecast the company will not reach breakeven adjusted EBITDA profitability within our 10-year forecast.