We feel now is a pretty good time to analyse Curaleaf Holdings, Inc.'s (TSE:CURA) business as it appears the company may be on the cusp of a considerable accomplishment. Curaleaf Holdings, Inc. produces and distributes cannabis products in the United States and internationally. On 31 December 2024, the CA$847m market-cap company posted a loss of US$232m for its most recent financial year. The most pressing concern for investors is Curaleaf Holdings' path to profitability – when will it breakeven? We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Consensus from 10 of the Canadian Pharmaceuticals analysts is that Curaleaf Holdings is on the verge of breakeven. They anticipate the company to incur a final loss in 2026, before generating positive profits of US$70m in 2027. The company is therefore projected to breakeven around 2 years from today. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 59%, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.TSX:CURA Earnings Per Share Growth April 15th 2025 Given this is a high-level overview, we won’t go into details of Curaleaf Holdings' upcoming projects, though, bear in mind that by and large a pharma company has lumpy cash flows which are contingent on the drug and stage of product development the business is in. This means that a high growth rate is not unusual, especially if the company is currently in an investment period. See our latest analysis for Curaleaf Holdings One thing we would like to bring into light with Curaleaf Holdings is its relatively high level of debt. Generally, the rule of thumb is debt shouldn’t exceed 40% of your equity, which in Curaleaf Holdings' case is 57%. Note that a higher debt obligation increases the risk around investing in the loss-making company. Next Steps: This article is not intended to be a comprehensive analysis on Curaleaf Holdings, so if you are interested in understanding the company at a deeper level, take a look at Curaleaf Holdings' company page on Simply Wall St. We've also compiled a list of important factors you should further research: Valuation: What is Curaleaf Holdings worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Curaleaf Holdings is currently mispriced by the market. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Curaleaf Holdings’s board and the CEO’s background. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments
Curaleaf Holdings, Inc. (TSE:CURA): Is Breakeven Near?
You are reading a free article with opinions that may differ from the recommendation given by Kalkine in its paid research reports. Become a Kalkine member today to get access to our research reports, in-depth technical and fundamental research.
Start Your Free Trial Now!Not sure where to invest today?
Kalkine’s latest research highlights three companies identified through in-depth analysis and market insights.
Explore these research reports to learn about companies currently being tracked by our analysts and make more informed investment decisions.
View 3 Research ReportsThis information, including any data, is sourced from Unicorn Data Services SAS, trading as EOD Historical Data (“EODHD”) on ‘as is’ basis, using their API. The information and data provided on this page, as well as via the API, are not guaranteed to be real-time or accurate. In some cases, the data may include analyst ratings or recommendations sourced through the EODHD API, which are intended solely for general informational purposes.
This information does not consider your personal objectives, financial situation, or needs. Kalkine does not assume any responsibility for any trading losses you might incur as a result of using this information, data, or any analyst rating or recommendation provided. Kalkine will not accept any liability for any loss or damage resulting from reliance on the information, including but not limited to data, quotes, charts, analyst ratings, recommendations, and buy/sell signals sourced via the API.
Please be fully informed about the risks and costs associated with trading in the financial markets, as it is one of the riskiest forms of investment. Kalkine does not provide any warranties regarding the information on this page, including, without limitation, warranties of merchantability or fitness for a particular purpose or use.
Please wait processing your request...