CNSX:ACRG.U

Stock Analysis Report

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Executive Summary

Acreage Holdings, Inc., formerly High Street Capital Partners, is a principal investment firm specializing in cannabis industry. More Details


Snowflake Analysis

Mediocre balance sheet with limited growth.


Similar Companies

Share Price & News

How has Acreage Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ACRG.U has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.1%

ACRG.U

5.4%

CA Pharmaceuticals

-1.0%

CA Market


1 Year Return

-67.3%

ACRG.U

-17.6%

CA Pharmaceuticals

-4.3%

CA Market

Return vs Industry: ACRG.U underperformed the Canadian Pharmaceuticals industry which returned -41.1% over the past year.

Return vs Market: ACRG.U underperformed the Canadian Market which returned -7.8% over the past year.


Shareholder returns

ACRG.UIndustryMarket
7 Day1.1%5.4%-1.0%
30 Day-2.8%17.5%1.3%
90 Day7.0%14.8%1.9%
1 Year-67.3%-67.3%-17.6%-17.6%-0.9%-4.3%
3 Yearn/a-12.1%-12.8%6.4%-4.0%
5 Yearn/a237.7%236.0%33.3%12.8%

Price Volatility Vs. Market

How volatile is Acreage Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Acreage Holdings undervalued compared to its fair value and its price relative to the market?

0.99x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: ACRG.U ($2.77) is trading above our estimate of fair value ($0.29)

Significantly Below Fair Value: ACRG.U is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ACRG.U is unprofitable, so we can't compare its PE Ratio to the CA Pharmaceuticals industry average.

PE vs Market: ACRG.U is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ACRG.U's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ACRG.U is good value based on its PB Ratio (1x) compared to the CA Pharmaceuticals industry average (1.4x).


Next Steps

Future Growth

How is Acreage Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

89.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ACRG.U is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ACRG.U is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ACRG.U is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: ACRG.U's revenue (27.5% per year) is forecast to grow faster than the Canadian market (5.5% per year).

High Growth Revenue: ACRG.U's revenue (27.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ACRG.U's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Acreage Holdings performed over the past 5 years?

-100.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ACRG.U is currently unprofitable.

Growing Profit Margin: ACRG.U is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ACRG.U is unprofitable, and losses have increased over the past 5 years at a rate of 100.5% per year.

Accelerating Growth: Unable to compare ACRG.U's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ACRG.U is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (18.3%).


Return on Equity

High ROE: ACRG.U has a negative Return on Equity (-122.51%), as it is currently unprofitable.


Next Steps

Financial Health

How is Acreage Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: ACRG.U's short term assets ($139.4M) exceed its short term liabilities ($121.3M).

Long Term Liabilities: ACRG.U's short term assets ($139.4M) exceed its long term liabilities ($114.4M).


Debt to Equity History and Analysis

Debt Level: ACRG.U's debt to equity ratio (27.2%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if ACRG.U's debt to equity ratio has reduced over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ACRG.U has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if ACRG.U has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Acreage Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ACRG.U's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ACRG.U's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ACRG.U's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ACRG.U's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ACRG.U's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Bill Van Faasen (72 yo)

0.25

Tenure

US$580,922

Compensation

Mr. William C. Van Faasen, also known as Bill, has been Interim Chief Executive Officer and Executive Director of Acreage Holdings, Inc., since June 24, 2020 and also served as its Independent Director sin ...


Leadership Team

NamePositionTenureCompensationOwnership
Kevin Murphy
Founder & Chairmanno dataUS$17.04m4.63%
$ 16.6m
William Van Faasen
Interim CEO & Director0.25yrUS$580.92k0.31%
$ 1.1m
Robert Daino
Chief Operating Officer2.08yrsUS$17.11m0.50%
$ 1.8m
Glen Leibowitz
Chief Financial Officer2.5yrsUS$4.83m0.19%
$ 688.5k
Todd Fisher
Chief Accounting Officerno datano datano data
Alfred Miranda
Senior VP & Chief Information Officer1.17yrsno datano data
James Doherty
General Counsel & Secretary1.83yrsUS$4.79m0.24%
$ 851.9k
Howard Schacter
Vice President of Communications2.08yrsno datano data
Nick Etten
Head of Government Affairsno datano datano data
Steve West
Vice President of Investor Relationsno datano datano data
Christine Rigby
Vice President of Investor Relations1.33yrsno datano data
Corey Burchman
Chief Medical Officer1.42yrsno datano data

1.6yrs

Average Tenure

56yo

Average Age

Experienced Management: ACRG.U's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Kevin Murphy
Founder & Chairmanno dataUS$17.04m4.63%
$ 16.6m
William Van Faasen
Interim CEO & Director0.25yrUS$580.92k0.31%
$ 1.1m
Douglas Maine
Lead Independent Director1.83yrsUS$580.92k0.028%
$ 102.0k
John Boehner
Director1.83yrsUS$855.55k0.067%
$ 240.6k
Brian Mulroney
Independent Director1.83yrsUS$1.42mno data

1.8yrs

Average Tenure

71yo

Average Age

Experienced Board: ACRG.U's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ACRG.U insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.9%.


Top Shareholders

Company Information

Acreage Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Acreage Holdings, Inc.
  • Ticker: ACRG.U
  • Exchange: CNSX
  • Founded: 2014
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: US$359.250m
  • Market Cap: US$279.102m
  • Shares outstanding: 129.69m
  • Website: https://www.acreageholdings.com

Number of Employees


Location

  • Acreage Holdings, Inc.
  • 366 Madison Avenue
  • 11th Floor
  • New York
  • New York
  • 10017
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ACRG.A.UCNSX (Canadian National Stock Exchange)SHS CL E SUB VTGCACADNo data
ACRG.UCNSX (Canadian National Stock Exchange)YesSubordinate Voting SharesCAUSDNov 2018
ACRG.FOTCPK (Pink Sheets LLC)YesSubordinate Voting SharesUSUSDNov 2018
0VZDB (Deutsche Boerse AG)YesSubordinate Voting SharesDEEURNov 2018

Biography

Acreage Holdings, Inc., formerly High Street Capital Partners, is a principal investment firm specializing in cannabis industry. Acreage Holdings, Inc. was founded in 2014 and is based in New York, New Yor ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/24 06:00
End of Day Share Price2020/09/22 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.