Tilray Inc. (TLRY) made a big splash on the Nasdaq Stock Market. With its IPO debut at $17 per share on Thursday, the stock had a major move and closed at $22.39. Today the action is still on – sell at $125.00. The price may not be realistic, but it has the momentum and the panich of a major cannabis play. After raising over $160 million, TLRY’s market cap is current at $2.1 billion. Whether TLRY can grow into its market cap is another story.
One fact remains: low value dollars commitments in cannabis investments by founders and insiders are generating returns in the multi-million of dollar range.
Institutional investors were the play makers and truly believe they are betting on a sure thing. TILRY is the only cannabis stock trading on a major U.S. exchange.
Note: Since May Canopy Growth Corp. CGC) trades on the New York Stock Exchange in May, and Cronos Group Inc. (CRON) is listed on the Nasdaq. CGC and CRON were no initial public offerings.