Aurora Cannabis Gets Buy Rating with C$10 Target and $269–281 M Revenue Guide
Canaccord initiated coverage of Aurora Cannabis with a Buy rating and C$10 target, citing its medical-first pivot and expansion into Germany, Poland, Australia and U.K., where gross margins run 2.5× higher than Canada. Aurora sees 2026 medical revenue of $269–281 M, adjusted EBITDA of $52–57 M, and ended Q3 with $154 M cash.
1. Coverage Initiation and Price Target
On February 17, Canaccord initiated coverage of Aurora Cannabis with a Buy rating and set a C$10 price target, highlighting the company’s leadership in Canada’s medical cannabis market.
2. Medical-First Pivot Drives High-Margin Expansion
Aurora’s pivot to a medical-first strategy has supported expansion into Germany, Poland, Australia and U.K., where average gross margins are approximately 2.5 times higher than its Canadian medical operations.
3. Fiscal 2026 Guidance and Q3 Performance
The company forecast fiscal 2026 global medical cannabis net revenue of $269–281 million, up 10–15%, and projected consolidated adjusted EBITDA of $52–57 million, while Q3 results showed that medical sales comprised 81% of net revenue and 95% of adjusted gross profit.
4. Strong Balance Sheet and At-the-Market Program
Aurora closed Q3 with $154 million in cash, no cannabis-related debt and launched an at-the-market program for up to $100 million to fund cultivation expansion and M&A, despite one-time Q4 costs tied to exiting select consumer markets.