Canopy Growth vs FSD Pharma Which Is More Profitable?

Canopy Growth and FSD Pharma are two prominent players in the rapidly expanding cannabis industry, both listed on major stock exchanges. Canopy Growth is a well-established company with a strong market presence and international reach, while FSD Pharma is a newer player focused on research and development. Investors are closely watching the performance of these two stocks as they navigate the complex regulatory landscape and evolving consumer preferences in the cannabis market.

Canopy Growth or FSD Pharma?

When comparing Canopy Growth and FSD Pharma, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Canopy Growth and FSD Pharma.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Canopy Growth has a dividend yield of -%, while FSD Pharma has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Canopy Growth reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, FSD Pharma reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Canopy Growth P/E ratio at -0.64 and FSD Pharma's P/E ratio at -0.27. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Canopy Growth P/B ratio is 0.64 while FSD Pharma's P/B ratio is 0.30.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Canopy Growth has seen a 5-year revenue growth of 4.92%, while FSD Pharma's is -1.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Canopy Growth's ROE at -111.67% and FSD Pharma's ROE at -94.58%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $3.63 for Canopy Growth and $0.09 for FSD Pharma. Over the past year, Canopy Growth's prices ranged from $2.75 to $14.92, with a yearly change of 441.56%. FSD Pharma's prices fluctuated between $0.09 and $109.19, with a yearly change of 125409.77%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.