The business of marijuana may be a lot more lucrative than investors thought. CannTrust, a Canadian producer of medical and recreational cannabis, reported a profit and better-than-expected sales Tuesday morning. The news sent shares of CannTrust (CTST) up 6% in early trading.
Revenue more than doubled and the company said its patient count soared 70% from a year ago to 68,000.
The news could be a good sign for two other cannabis companies reporting results after the closing bell Tuesday: Aurora (ACB), the cannabis company backed by activist investor Nelson Peltz, and Tilray (TLRY), a marijuana producer that is partnering with Sandoz, a subsidiary of Big Pharma firm Novartis (NVS), as well as Anheuser-Busch InBev (BUD).