ACB Stock: Will It Soar in 2019 After Aurora’s Shopping Spree?

ACB Stock

ACB stock has been volatile this year, but Aurora Cannabis (TSX:ACB) (NYSE:ACB) has prepared itself better than most for the striking cannabis industry. Let's check out Aurora Cannabis's biggest moves in 2018.

ACB Stock is Ready for 2019

This year was a game changer for the cannabis industry. There's no denying that. In the midst of recreational cannabis being legalized in Canada, America adding more states to its 'legal' list than ever before, and the FDA approving the first ever cannabis-derived medicine, 2018 has been the year for preparation.

No company reflects this better than Aurora. At the time of writing, Aurora stock is up 0.44% and selling for $7.44 CAD. The gain is hardly massive, and ACB stock is half of what it was worth only three months ago.

But I feel 2019 will be Aurora's year. The company has shopped a lot this year with acquisitions out the window. There were four in particular.

ACB Stock and Aurora's Acquisitions 

>> MJNA Stock Jumps After Subsidiary Named Top Cannabis Player to Watch

ACB Stock and Production Capacity in 2019

The reality of all these acquisitions is that Aurora is more than likely going to hold the top spot for annual production in 2019. But another stark reality is that the company has had to spend a lot to buy its presence in 22 countries on five continents.

This has meant an outstanding shares count of nearly 962 million shares. This is why ACB stock still remains so volatile because Aurora Cannabis isn't generating enough cash flow to fund its aggressive capacity expansion projects and acquisitions. The money has come from investors.

But this was the year for preparation. All this can change in 2019 and onwards when Aurora reaps the benefits of all its hard work, and its massive production capacity starts to churn out serious profits. ACB stock will then begin returning for investors.

What do you think?

Featured Image: Depositphotos/Yarygin

If You Liked This Article Click To Share