Trulieve's NYSE Listing Is Historic. But Is the Stock Still Worth Buying?

Trulieve Cannabis (NYSE: TRLV) just accomplished something no other U.S. cannabis operator has managed to do.

Earlier this month, the company became the first U.S. plant-touching cannabis business to list on the New York Stock Exchange. That's a significant milestone for an industry that has spent years largely confined to Canadian exchanges and over-the-counter markets.

But while the listing itself is historic, it doesn't necessarily mean you should run out and buy the stock. At least not based on the new listing alone.

What does Trulieve really offer?

Unlike many cannabis companies that struggled to achieve profitability during the industry's early growth phase, Trulieve has been generating profit and meaningful free cash flow since 2021.

During its most recent quarter, the company reported a generally accepted accounting principles (GAAP) gross profit of $170 million, a gross margin of 59%, and $42 million in free cash flow.

That's not insignificant for this market.

Worth noting: Trulieve currently operates 240 retail dispensaries and over 4 million square feet of cultivation and processing capacity in the United States, making it one of the largest cannabis retailers in the United States.

Discipline matters

Many cannabis operators still carry substantial debt burdens from the industry's rapid expansion years. Trulieve isn't immune to those challenges, but it is in a stronger financial position than many of its peers, and the NYSE listing could provide another benefit.

For years, many institutional investors, pension funds, and wealth managers either could not or would not invest in U.S. cannabis operators because they traded on OTC markets. A major exchange listing removes one of those barriers and could improve liquidity, analyst coverage, and institutional participation over time.

Of course, none of that guarantees higher share prices. The cannabis industry still faces significant challenges.

Revenue growth has slowed, with Trulieve generating $1.18 billion during 2025, essentially flat from 2024. Price compression remains a problem in several markets, too, and regulatory uncertainty has not disappeared simply because one company reached the NYSE.

There's also the question of valuation.

At a market value of roughly $2.2 billion, Trulieve trades at less than 2 times annual revenue and just over 5 times adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA).

Those multiples suggest investors remain skeptical about the industry's long-term prospects despite the company's strong cash generation.

That's why I wouldn't buy the stock solely because it now trades on the NYSE.

But if you're looking for exposure to the cannabis industry, Trulieve remains one of the strongest operators in the space. The company generates meaningful cash flow, maintains industry-leading margins, and now has access to a broader pool of investors than ever before.

Yes, the listing may be historic, but the financials are what will ultimately determine whether the stock is worth owning over the long haul.

Jeff Siegel has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.