Aurora Cannabis Inc.

NasdaqCM:ACB Stock Report

Market Cap: US$237.4m

Aurora Cannabis Valuation

Is ACB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ACB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ACB ($4.34) is trading below our estimate of fair value ($37.16)

Significantly Below Fair Value: ACB is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ACB?

Key metric: As ACB is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for ACB. This is calculated by dividing ACB's market cap by their current revenue.
What is ACB's PS Ratio?
PS Ratio1.1x
SalesCA$296.99m
Market CapCA$331.80m

Price to Sales Ratio vs Peers

How does ACB's PS Ratio compare to its peers?

The above table shows the PS ratio for ACB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average5.1x
BTMD biote
1x16.2%US$217.3m
NKTR Nektar Therapeutics
2.1x11.8%US$193.7m
MDWD MediWound
8.8x38.6%US$177.8m
ETON Eton Pharmaceuticals
8.4x31.0%US$290.1m
ACB Aurora Cannabis
1.1x11.8%US$331.8m

Price-To-Sales vs Peers: ACB is good value based on its Price-To-Sales Ratio (1.1x) compared to the peer average (5.1x).

Price to Sales Ratio vs Industry

How does ACB's PS Ratio compare vs other companies in the US Pharmaceuticals Industry?

73 CompaniesPrice / SalesEstimated GrowthMarket Cap
OGN Organon
0.6x-0.06%US$3.94b
PRGO Perrigo
0.9x3.4%US$3.83b
BHC Bausch Health Companies
0.3x1.5%US$2.93b
AMRX Amneal Pharmaceuticals
1x5.6%US$2.60b
ACB 1.1xIndustry Avg. 2.8xNo. of Companies73PS048121620+
73 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: ACB is good value based on its Price-To-Sales Ratio (1.1x) compared to the US Pharmaceuticals industry average (2.8x).

Price to Sales Ratio vs Fair Ratio

What is ACB's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ACB PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.1x
Fair PS Ratio2.9x

Price-To-Sales vs Fair Ratio: ACB is good value based on its Price-To-Sales Ratio (1.1x) compared to the estimated Fair Price-To-Sales Ratio (2.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ACB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$4.34
US$6.61
+52.3%
12.7%US$7.91US$5.75n/a5
Nov ’25US$5.54
US$7.31
+32.0%
17.1%US$9.58US$5.90n/a6
Oct ’25US$5.40
US$7.31
+35.4%
17.1%US$9.58US$5.90n/a6
Sep ’25US$6.08
US$6.70
+10.3%
25.4%US$9.47US$3.60n/a7
Aug ’25US$6.05
US$6.39
+5.7%
27.3%US$9.47US$3.60n/a7
Jul ’25US$4.64
US$6.15
+32.6%
28.8%US$9.49US$3.61n/a8
Jun ’25US$6.19
US$7.17
+15.8%
54.3%US$16.66US$3.66n/a8
May ’25US$7.36
US$7.17
-2.6%
54.3%US$16.66US$3.66n/a8
Apr ’25US$4.31
US$7.17
+66.3%
54.3%US$16.66US$3.66n/a8
Mar ’25US$3.17
US$7.17
+126.1%
54.3%US$16.66US$3.66n/a8
Feb ’25US$3.99
US$8.24
+106.5%
53.4%US$19.34US$4.54n/a8
Jan ’25US$4.76
US$7.75
+62.8%
53.9%US$18.98US$4.45n/a9
Dec ’24US$4.68
US$7.75
+65.6%
53.9%US$18.98US$4.45n/a9
Nov ’24US$4.53
US$7.05
+55.6%
27.0%US$11.00US$5.06US$5.548
Oct ’24US$5.85
US$7.05
+20.5%
27.0%US$11.00US$5.06US$5.408
Sep ’24US$4.72
US$9.55
+102.3%
75.9%US$29.41US$5.07US$6.089
Aug ’24US$5.77
US$10.20
+76.7%
72.1%US$30.42US$5.48US$6.059
Jul ’24US$5.35
US$10.20
+90.8%
72.1%US$30.42US$5.48US$4.649
Jun ’24US$5.04
US$13.74
+172.8%
41.9%US$29.53US$8.86US$6.1910
May ’24US$6.04
US$13.74
+127.4%
41.9%US$29.53US$8.86US$7.3610
Apr ’24US$6.97
US$14.04
+101.3%
39.7%US$29.47US$8.84US$4.3111
Mar ’24US$8.17
US$14.04
+71.8%
39.7%US$29.47US$8.84US$3.1711
Feb ’24US$10.90
US$17.00
+56.0%
45.8%US$37.63US$9.41US$3.9911
Jan ’24US$9.23
US$17.33
+87.9%
41.4%US$36.88US$9.22US$4.7611
Dec ’23US$13.20
US$18.16
+37.6%
38.0%US$37.56US$13.15US$4.6811
Nov ’23US$13.50
US$17.64
+30.6%
39.3%US$36.88US$11.06US$4.5311

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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