Trading in Tilray, Inc. (TLRY) stock was halted five separate times due to volatile trading on Wednesday afternoon. Shares of the Canadian medical marijuana producer and researcher surged almost 93% at their highest in today's trading before erasing those gains to trade briefly in negative territory, and then coming back to close the day in the green.

Since its Wall Street debut in July, Tilray's shares have seen strong upward momentum which was most recently fueled by the announcement that the Drug Enforcement Administration (DEA) had given approval to the company to import marijuana into the U.S. for research purposes. (See also: Tilray Shares Soar Defying Short-Sellers)

Tilray's Wild Trading Day

On Wednesday, Tilray's stock gapped up sharply to open at $233.58 a share from Tuesday's $154.98 close. The stock hit an intraday peak at precisely $300 a share late in the trading day before reversing abruptly and making a swift descent that quickly triggered the first of what would ultimately become five trading halts on Wednesday afternoon. TLRY briefly dipped into negative territory for the day, with an intraday low established at $151.40, as trading was repeatedly halted and then resumed.

Here is a 1-minute chart of TLRY price action throughout the day on Wednesday:

Source: TradingView

As trading approached the close on Wednesday, TLRY pared its earlier losses and regained some of its composure, closing the day at $214.06, well within strongly positive territory for the day.

What It Means

The frenzied, news-driven volatility seen in Tilray's stock is likely far from over. After-hours trading in the stock pushed the price at one point well below the $200 level once again. If the past is any indication, Thursday should see continued high volatility on the Tilray rollercoaster.

Short sellers that have been hurting from the parabolic rise in the company's shares saw some reprieve today. According to data from S3 Partners, Tilray shorts made $300 million after 2:30pm as the stock dropped, though still ended up with mark-to-market losses of $208 million for the day.

$TLRY shorts down $208 million in mark-to-market losses today, on +38% price move, but at one point #Tilray was at $300/share and shorts were down $505 million - so in actuality they made $300 million after 2:30 pm. BTW, stock borrow market is tapped out - no new shorts in size.
— Ihor Dusaniwsky (@ihors3) September 19, 2018