Aurora Cannabis Inc. (ACB) reported quarterly earnings of $0.07 per share for the period ending March 2025, falling short of the Zacks Consensus Estimate of $0.11 per share. This marks a decrease from earnings of $0.11 per share reported in the same quarter last year. The company’s earnings surprise stands at -36.36% for this quarter.
In the previous quarter, Aurora had anticipated earnings of $0.04 per share but exceeded that expectation with actual earnings of $0.06, resulting in a positive surprise of 50%. Over the last four quarters, Aurora Cannabis has exceeded consensus earnings per share estimates three times.
For the quarter ending March 2025, Aurora Cannabis generated revenues of $63.07 million, which surpassed the Zacks Consensus Estimate by 1.65%. This figure represents an increase from revenues of $49.98 million in the prior year. The company has consistently outperformed revenue estimates, achieving this feat four times over the last four quarters.
The immediate price movement of Aurora’s stock following this earnings report will largely depend on the management’s comments during the earnings call. Year-to-date, Aurora Cannabis shares have appreciated by approximately 38.4%, contrasting with a modest 1.7% gain for the S&P 500 index.
Investors are now questioning the future trajectory of Aurora Cannabis stock. While there is no straightforward answer, examining the company’s earnings outlook can provide some clarity. Analysts consider both current consensus earnings expectations for upcoming quarters and any recent changes in these estimates.
Research indicates a strong link between stock price movements and trends in earnings estimate revisions. Investors can monitor these revisions independently or utilize the Zacks Rank, which has a strong historical performance record in capitalizing on earnings estimate revisions.
Ahead of this earnings release, the revision trend for Aurora Cannabis estimates was mixed. Although the latest earnings report may alter the magnitude and direction of these revisions, the current status has resulted in a Zacks Rank of #3 (Hold) for the stock, suggesting it is likely to perform in line with market trends in the near term.
The consensus estimate for the upcoming quarter stands at $0.17 per share on projected revenues of $69.13 million. For the current fiscal year, analysts expect earnings of $0.44 per share on revenues of $268.33 million.
Additionally, the industry outlook plays a crucial role in the performance of Aurora Cannabis stock. Currently, the Zacks Industry Rank for the Medical – Products sector places it in the bottom 41% of over 250 ranked industries. Historical data shows that the top 50% of Zacks-ranked industries typically outperform the bottom 50% by a ratio of more than 2 to 1.
In comparison, Abbott Laboratories (ABT), another player in the Medical – Products sector, is expected to report quarterly earnings of $1.25 per share for the quarter ending June 2025, reflecting a 9.7% year-over-year increase. The consensus EPS estimate for Abbott has seen a 0.1% upward revision in the past 30 days, with projected revenues of $11.05 billion, marking a 6.5% increase from the previous year.
Before investing in Aurora Cannabis Inc. (ACB), potential investors may want to explore other stock opportunities by checking resources such as Zacks Investment Research, which offers insights into the best stocks to consider in the upcoming months. Zacks has been providing independent research and investment tools since 1978, and its stock-rating system has historically outperformed the S&P 500, achieving an average annual gain of 24.08% over the past several decades.
Overall, the next steps for Aurora Cannabis will depend on market conditions, industry trends, and how the company’s management addresses these factors in future communications.
