SNDL Shares Plunge 19.63% on Cannabis Sector Pessimism Fading Regulatory Hopes

The share price fell to its lowest level since August 2025 today, with an intraday decline of 4.86%.

SNDL Inc. (SNDL) has seen its stock drop 19.63% over three consecutive sessions, driven by sector-wide cannabis market pessimism and fading optimism around U.S. regulatory rescheduling. Despite reporting improved revenue and free cash flow in Q3 2025, the company’s shares underperformed due to broader investor skepticism about the cannabis industry’s regulatory and commercial outlook. Noncash impairments, including CA$11.9 million in asset write-downs, further clouded its financial results, masking operational strengths.

The decline reflects a broader sell-off in cannabis equities, as initial hopes for Schedule I rescheduling have waned. SNDL’s cannabis retail and operations segments posted year-over-year revenue growth, but the liquor retail division fell 3.6% amid shifting consumer preferences. While the company maintained CA$240.6 million in unrestricted cash and no debt, noncash charges skewed its net loss figure. Analysts attribute the stock’s volatility to sector dynamics rather than operational missteps, emphasizing SNDL’s liquidity and long-term resilience despite near-term uncertainty.