Organigram upgraded to Buy from Neutral at Alliance Global Partners

Alliance Global Partners analyst Aaron Grey upgraded Organigram (OGI) to Buy from Neutral with a price target of C$4.25, up from C$2.70. After having recently attended Organigram’s investor day, the firm says “one of our greater takeaways was gaining a better understanding of the company’s partnership” with British American Tobacco (BTI), pointing to both the pipeline of products being developed within the Product Development Collaboration Agreement and human capital BAT has invested in the collaboration. Organigram is one of the leaders within the Canadian cannabis market today, with a 7% share and number three position in the market, and the firm came away from the event “increasingly constructive on the opportunity for OGI to be one of the long-term players in the category.”