The Edmonton, Canada-based firm is one of the largest and most successful cannabis companies in the world. It has operations in North and South America as well as Europe.
The company sells a large inventory of both recreational and medical cannabis.
Aurora is already a major player in the North American cannabis industry. And it has been rapidly expanding its operations globally.
Aurora exists in a great space within the industry. What you’re going to see in the next few years is consolidation. The bigger and more successful cannabis firms are going to devour the smaller competition. And Aurora is way ahead of the curve on the acquisitions front. It bought out its rival CanniMed in 2017. The next year it bought MedReleaf and British Columbia-based Whistler Medical Marijuana .
However, the most important of its numerous acquisitions would have to be Pedanios GmbH. The Berlin-based importer, exporter and distributor gives Aurora a strong presence in Europe.
Aurora bought Pedanios back in 2017, the same year Germany legalized medical cannabis. The purchase paid off immediately.
Aurora immediately doubled its German sales after the acquisition. It sold $2.5 million worth of dried cannabis to German pharmacies in the second quarter of that year.
Pharmacies made up a full 20% of Pedanios’ 2017 revenue as well. Cannabis prices are also much higher in Germany than in Canada. That helps Aurora’s bottom line.
Aurora and Pedanios have received EU-GMP certification. That’s the highest recognition attainable by companies in the pharmaceutical industry.
As European markets expand, you can expect Aurora to profit from its early investment in the region. It already is in fact. Recently, Aurora won a contract to supply medical cannabis to Italy. It’s likely that more contracts will follow as European countries continue to legalize cannabis.
The company has announced its intention to enter the American market. The expectation is it’ll focus on the CBD market.
The company is showing strong growth on an annual basis. In 2019, it brought in $187.3 million in revenue. It’s seen 349.2% revenue growth year over year.
And next year, Bloomberg expects Aurora to bring in $410.4 million in revenue. It also has more than $131.9 million in cash to fuel its expanding operations.
Once it does, you can expect Aurora to profit handsomely as it’s done in Europe. It has the means to expand and has proven itself adept at negotiating deals and acquisitions.
It’s ambitious and building a global cannabis empire. And at less than $5 per share, I’d say it’s a decent bargain.
Stay ahead of the masses,
Founder, Crypto Wealth Coach LLC
Owner, Modern Wealth Management, LP