Zig-Zag Rolling Paper Will Benefit From Weed Consumption Trends, CEO Says Post Q3 Earnings
Portfolio Pulse from Jelena Martinovic
Turning Point Brands, Inc. (NYSE:TPB) reported a 10.2% YoY decrease in Zig-Zag products net sales to $46.8 million in Q3 2023. However, the company's CEO, Graham Purdy, remains optimistic due to the growing cannabis consumption trends. The company also closed on a new $75 million asset-based revolving credit facility, replacing a $25 million facility. The company's shares traded 6.42% higher at $22.71 per share.
November 08, 2023 | 4:14 pm
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Turning Point Brands reported a decrease in Zig-Zag products net sales, but remains optimistic due to growing cannabis consumption trends. The company also secured a new $75 million credit facility.
The decrease in Zig-Zag sales could negatively impact the company's short-term performance. However, the company's optimism about cannabis consumption trends and the new credit facility could boost investor confidence, leading to a potential increase in the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100