Expanding Legal Markets Will Spur Cannabis Consolidation

AN

AnalystConsensusTarget

AnalystConsensusTarget

Not Invested

Based on Analyst Price Targets

Published

29 Mar 25

Updated

15 Dec 25

Views

41

n/a

n/a

AnalystConsensusTarget's Fair Value

n/a

1Y

35.4%

7D

-10.7%

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1Y

35.4%

7D

-10.7%

You can edit this narrative until Dec 16 12:11 AM. Then, changes will post as Updates.

Author's Valuation

CA$2.323.6% undervalued

AnalystConsensusTarget Fair Value

Shared on 15 Dec 25

Fair value Increased 6.82%

CL: Expanded Retail And European Entry Will Support Stronger Profitability

Analysts have modestly raised their price target on Cresco Labs to reflect an updated fair value estimate of approximately 2.30 dollars, up from about 2.16 dollars previously, citing expectations for stronger revenue growth, improved profit margins, a slightly lower discount rate, and a more reasonable future earnings multiple. What's in the News Entered the European Union with the launch of Cresco branded flower in Germany, using the market as a testbed for broader international expansion beyond U.S. cannabis (Key Developments).

Shared on 01 May 25

Fair value Decreased 33%

Shared on 24 Apr 25

Fair value Decreased 0.62%

AnalystConsensusTarget has increased profit margin from 0.7% to 1.1% and decreased future PE multiple from 235.1x to 149.4x.

Shared on 17 Apr 25

Fair value Increased 3.19%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 09 Apr 25

Fair value Increased 42%

AnalystConsensusTarget has increased discount rate from 6.7% to 7.9%.

Shared on 02 Apr 25

Fair value Increased 0.069%

AnalystConsensusTarget Fair Value

CA$2.3

23.6% undervalued

Future estimation in

Growth p.a.

Growth p.a.

%

Decrease

Increase

Current revenue growth rate

3.70%

Pharma revenue growth rate

0.66%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

%

0

Decrease

Increase

Current discount rate

6.45%

Calculation

US$22.85m

Earnings '28

x

33.94x

PE Ratio '28

=

US$775.45m

Market Cap '28

US$775.45m

Market Cap '28

/

384.46m

No. shares '28

=

US$2.02

Share Price '28

US$2.02 Share Price '28

Discounted to 2025 @ 6.45% p.a.

=

US$1.67

Fair Value '25

US$1.67 Fair Value '25

Converted to CAD @ 1.3766 USD/CAD Exchange Rate

=

CA$2.30

Fair Value '25