The bloom is off the CBD rose.
Market leader Charlotte’s Web saw revenue decline in the fourth quarter and is forecasting a further decline.
The company hopes the purchase of Abacus Health Products will aid their topical CBD business.
Revenue growth forecasts of 10-20% will make near-term profitability almost impossible.
Charlotte’s Web looks fully-valued at its current price, and I will invest my cannabis dollars elsewhere.
Source: Author based on company filings.
Charlotte’s Web (OTCQX:CWBHF) (“CWEB”) is the largest and most valuable cannabidiol (“CBD”) company. Their brand is likely the best-known CBD brand, and their products tend to