Tilray Brands Soars 17.99% on U.S. Cannabis Reform Hopes

On August 26, 2025, Tilray Brands experienced a significant surge, rising 17.99% in pre-market trading, driven by a wave of optimism surrounding potential U.S. cannabis reform and a bullish outlook from Jefferies.

Jefferies raised its price target for Tilray to $2.00 from $1.50, maintaining a Buy rating. This move was based on the potential for cannabis to be rescheduled from a Schedule I to a Schedule III substance in the U.S. Such a shift, following comments from President Trump, could lead to substantial benefits for cannabis companies, including lower tax burdens and easier research opportunities. Tilray was identified as a potential "biggest beneficiary" from these regulatory developments.

The positive sentiment has lifted cannabis stocks across the board, fueled by renewed hopes for the passage of legislation that would grant cannabis firms access to traditional banking services. Tilray's stock surge also comes amid strategic expansion into the European market, further bolstering investor confidence.

Tilray's shares have been extremely volatile, with significant moves over the past year. The recent surge indicates that the news has significantly impacted the market's perception of the business. Despite the volatility, the current momentum suggests that Tilray's stock is benefiting from both regulatory changes and market expansion.