Hexo Corp (NASDAQ:HEXO) is one of the better known names in the cannabis industry but it has been a pretty rough week for its stock so far and over the course of that period, it has tanked by as much as 18% amidst a strong selloff.
Trading Data
On Wednesday, HEXO stock fell 3.04% at $0.5679 with more than 5.36 million shares, compared to its average volume of 10.02 million shares. The stock has moved within a range of $0.5671 – 0.6120 after opening trade at $0.61.
Major Trigger
As it happens, earlier on in the week on Tuesday, the stock had even sunk to its lowers in 52 weeks. So, is there any way back for the Hexo stock any time soon or is going to continue to slide? In this situation, it ought to be noted that the selloff in the stock commence after the company announced significant losses at the end of 2021.
In addition to that, the appointment of a new Chief Financial Officer at the beginning of 2022 had not managed to revive the fortunes of the stock either. Hexo suffered a loss that was higher than the losses in the prior year period by a staggering 2683% and it is only natural for investors to head for the exits after such a performance. At this point in time, it may be a good idea for investors to sit on the sidelines with regards to the Hexo stock.
Technical Data
HEXO stock is trading below the 20-Day and 50-Day Moving averages of $0.71 and $0.99 respectively. Moreover, the stock is trading below the 200-Day moving average of $3.39.
