ACB Aurora – Averaging Down?

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If you had a cost average of $36/share of ACB (Thanks to the 12:1 split..) would you use this opportunity to average down while it’s at sub $5? I’ve been so hesitant to dip further into this stock but I feel like this may give me an opportunity to bring my average down so I can eventually get out when or if, it recovers. It’s held in my tfsa if that makes any difference in decisions

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Asked on January 28, 2022 9:06 am
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Hey there! Sorry for the delayed reply. We're currently working on ramping up our portfolio updates and have been a bit busy.

To be honest, I don't see much value here in Aurora right now. Declining revenue, ballooning losses, constant share dilution and negative operating cash flow for its entire existence.

This is a growth company that IMO, tried to grow too much, too fast and it fell on its face. It's trading at 3X forward sales right now despite its large drop in share price. And, that's a pretty high premium for a company with a declining top line.

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Posted by Dan Kent
Answered on January 30, 2022 10:55 am
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