Sundial Growers (NASDAQ:SNDL) is having a challenging summer after jumping up to $4 in February 2021, and the stock has since been on a downward trend. Surprisingly, in April, the stock dropped below $1 and has since struggled to keep any momentum.
At the beginning of this year, investors on Reddit/WallStreetBets forum turned attention to the stock, but that fanfare has since cooled off. The company’s outlook has since changed, and Sundial is not a pure-play anymore in cannabis production and selling.
The company raised significant cash from various stock issuances and planned to use proceeds to broaden its operations. Interestingly, for patient stockholders, this could pay dividends. The focus on cannabis banking will turn things around for SNDL. The company failed to produce and market cannabis in Canada, leading to the stock dropping below a buck, with investors wondering if the company could go bankrupt. However, the company raised money from share issuances and paid around CAD$1 billion in the last quarter. So, for patient investors, SNDL should be under watch.
On Friday, SNDL stock gained 0.23% at $0.82 with more than 57.39 million shares, compared to its average volume of 178.91 million shares. The stock has moved within a range of $0.8103 – 0.8480 after opening the trade at $0.8176.