Tilray Brands Inc (TLRY, Financial), a leading player in the drug manufacturing industry, has seen a significant surge in its stock price over the past three months. The company's stock has gained an impressive 35.00% over the past week and a whopping 91.72% over the past three months. This article aims to delve into the factors contributing to this meteoric rise and provide a comprehensive analysis of the company's performance, profitability, growth, and competitive landscape.
Stock Performance: A Remarkable Uptrend
With a market capitalization of $2.35 billion, Tilray Brands Inc's stock price stands at $3.35 as of September 5, 2023. The company's GF Value, a measure of intrinsic value defined by GuruFocus.com that takes into account historical multiples, past performance adjustments, and future business estimates, is currently at $3.54. This indicates that the stock is fairly valued. Interestingly, the GF Value three months ago was $3.37, suggesting a possible value trap. However, the current GF Value indicates a positive shift in the stock's valuation, aligning with the recent surge in the stock price.
Company Introduction: A Pioneer in Cannabis Production
Tilray Brands Inc is a Canadian producer that cultivates and sells medical and recreational cannabis. The company was renamed Tilray following a reverse merger with Aphria in 2021. The majority of its sales are generated in Canada and the international medical cannabis export market. The company also has a presence in the U.S. market, where it sells CBD products and alcohol. 
Profitability: A Closer Look
As of May 31, 2023, Tilray Brands Inc's Profitability Rank stands at 4/10, indicating moderate profitability. The company's Operating Margin is -29.11%, which is better than 23.79% of 1034 companies in the same industry. The company's ROE and ROA are -36.11% and -28.82% respectively, outperforming 20.41% and 21.92% of companies in the industry. The ROIC is -4.05%, better than 35.76% of companies. Over the past 10 years, the company has been profitable for 3 years, which is better than 18.85% of 870 companies. 
Growth: A Mixed Bag
Tilray Brands Inc's Growth Rank is 4/10, indicating moderate growth. The company's 3-Year Revenue Growth Rate per Share is -18.50%, which is better than 10.64% of 912 companies. However, the 5-Year Revenue Growth Rate per Share is 30.00%, outperforming 92.58% of 795 companies. The company's future total revenue growth rate is estimated to be 15.83%, which is better than 84.66% of 163 companies. The 3-Year EPS without NRI Growth Rate is -71.00%, better than 3.78% of 821 companies. 
Major Holders: Jefferies Group (Trades, Portfolio) and Joel Greenblatt (Trades, Portfolio)
Jefferies Group (Trades, Portfolio) and Joel Greenblatt (Trades, Portfolio) are the top two holders of Tilray Brands Inc's stock. Jefferies Group (Trades, Portfolio) holds 850,000 shares, accounting for 0.12% of the total shares, while Joel Greenblatt (Trades, Portfolio) holds 102,637 shares, representing 0.01% of the total shares.
Competitors: A Comparative Analysis
Tilray Brands Inc faces competition from Amphastar Pharmaceuticals Inc (AMPH, Financial) with a market cap of $2.54 billion, Ironwood Pharmaceuticals Inc (IRWD, Financial) with a market cap of $1.42 billion, and Pacira BioSciences Inc (PCRX, Financial) with a market cap of $1.61 billion.
Conclusion: A Promising Outlook
In conclusion, Tilray Brands Inc's impressive stock performance, moderate profitability, and growth potential make it a stock to watch. The company's fair valuation, as indicated by the GF Value, and its competitive position in the industry further enhance its appeal. However, investors should keep an eye on the company's profitability and growth metrics, as well as the competitive landscape, to make informed investment decisions.
