Shares of Tilray Brands Inc (NASDAQ:TLRY) are surging higher Wednesday, extending a recent rally on heavy trading volume. Here’s what investors need to know.
What To Know: The cannabis and consumer goods company has captured the attention of traders in recent trading session, potentially fueled by high short interest. Tilray has been trending across social platforms in recent sessions and the stock has now gained approximately 40% over the past week.
As of early Wednesday afternoon, Tilray’s daily trading volume has soared to over 92 million shares, more than triple its 100-day average.
Interest in Tilray began to build last week, catalyzed by several strategic developments in June. Notably, the company gained shareholder approval for a potential reverse stock split and announced a significant expansion of its medical cannabis operations in Italy. These moves appear to have recaptured the attention of the trading community.
A key factor that appears to be driving the rally is the stock’s substantial short interest. With nearly 20% of Tilray’s float held by short sellers, the recent sharp price increase is likely forcing some short covering. This dynamic can create a short squeeze, where forced buying further propels the stock’s price upward.
Despite being down significantly over the past year, Tilray’s recent strategic maneuvers and the renewed interest from active traders on social media have thrust it back into the spotlight, creating significant volatility in recent sessions.
Based on its Benzinga Edge stock rankings, Tilray scores exceptionally high on Value with a rating of 81.85, indicating its shares may be undervalued relative to its peers and underlying fundamentals.
Price Action: According to data from Benzinga Pro, Tilray shares are trading higher by 15.45% to 68 cents Wednesday morning. The stock has a 52-week high of $2.15 and a 52-week low of 35 cents.
Read Also: Tilray Makes History, First To Import And Sell Branded Medical Cannabis In Italy
How To Buy TLRY Stock
By now you're likely curious about how to participate in the market for Tilray Brands – be it to purchase shares, or even attempt to bet against the company.
Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.
In the case of Tilray Brands, which is trading at $0.68 as of publishing time, $100 would buy you 147.06 shares of stock.
If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.
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