What happened

Shares of the cannabis titan Tilray (TLRY) jumped by as much as 15% in pre-market trading Thursday morning. The stock is responding positively to an upgrade from the financial services firm Cantor Fitzgerald that came out after the closing bell yesterday.

Specifically, Cantor Fitzgerald upgraded Tilray's stock to overweight from neutral. In an odd twist, however, the firm also lowered its 12-month price target from $30.25 to $22 in the same note to investors. 

A marijuana leaf and dried flower on a table containing stacks of U.S. currency.

Image source: Getty Images.

Despite this lower price target, though, the firm is still calling for Tilray's stock to rise by a healthy 15.7% over the next 12 months relative to Wednesday's closing price of $19. As of 9:40 a.m. EDT today, Tilray's stock was up by 12.26% in the wake of this analyst upgrade.  

So what

Cantor Fitzgerald analyst Pablo Zuanic cited Tilray's newfound strength -- both in its domestic market of Canada and internationally -- following its merger with Aphria as the reason for the upgrade. That's definitely a solid rationale for the firm's bullish outlook.    

Now what

Is Tilray stock worth owning at this point? With a market cap of roughly $9 billion, this mid-cap pot stock may not have much more room to run in the near term. The shares, after all, are now trading at close to 10 times 2022 projected revenue. That's not an outlandish valuation, but this top pot stock certainly isn't in bargain territory right now.

In short, investors might want to hang tight and wait for a more-compelling entry point.