Trulieve Cannabis Corp. is more bullish on prospects for a ballot referendum to approve adult-use cannabis in its home state of Florida which may be a potential spark for its stock. The cannabis company said Wednesday it expects its first-quarter revenue to fall from the fourth-quarter level of $302 million after it warned of lower sequential revenue in the first quarter.
Wall Street analysts currently expect Trulieve to post revenue of about $297 million, according to estimates compiled by FactSet. Trulieve’s
stock fell 4% on Wednesday to $6.27 a share, as it approached its record low close of $6.00 on March 18, 2020. Wednesday’s close was its lowest since Feb. 27, when it closed at $6.10 a share. Jefferies analyst Pablo Zuanic reiterated an overweight rating on Trulieve stock and cut his 12-month price target to $37 from $41. “With $219 million in cash, below average cost of debt, and unencumbered assets, we believe Trulieve is well-placed to benefit from M&A opportunities in the year ahead (assets, spin-offs, as well as companies),” Zuanic said. “The latter combined with ongoing good progress on putting rec legalization in the Florida Nov’24 ballot, bode well for the stock, in our opinion.” Zuanic said polls indicate support for Florida adul …