2 Stocks to Avoid in 2024 and Beyond

Group 1: Aurora Cannabis - Aurora Cannabis gained popularity after Canada legalized adult-use marijuana, but the expected sales boom did not materialize due to market oversupply and slow retail licensing processes [2] - The company struggled to secure partnerships and resorted to an aggressive growth-by-acquisition strategy, leading to shareholder dilution [2] - Aurora Cannabis has faced inconsistent revenue, persistent net losses, and poor stock performance, with ongoing challenges in the competitive Canadian marijuana market [3] - The company is attempting to enter the cannabis-infused beverage market, but competition remains fierce, limiting potential growth [3] - Despite promises of positive free cash flow in 2024, the company's poor track record and market challenges suggest investors should avoid the stock [4] Group 2: Peloton Interactive - Peloton's fitness products saw initial success during the COVID-19 pandemic, but demand declined as gyms reopened, leading to subpar financial results [5] - The company reported a revenue of $743.6 million in Q2 of fiscal 2024, a 6$424.5 million [6] - Peloton's subscription gross margin was 67.3%, compared to a total gross margin of 40.3%, indicating a shift towards a more profitable subscription model [6] - Despite some improvements in net loss and free cash flow, Peloton faces significant competition and may struggle to attract a sufficient customer base for a full recovery [7]