Tilray (TLRY) stock got a boost after the firm announced it has signed its first deal to supply marijuana from its EU campus. It is the first move in the Canadian firm's planned invasion of Europe.

The firm inked a $3.3 million initial supply agreement to deliver medical cannabis to German distributor Cannamedical Pharma from its new growth facility in Portugal. The delivery is expected to be completed in the fall.

"This is a significant milestone for Tilray as we ramp up our capacity to serve international markets and generate revenue from our EU campus through the end of 2019," Tilray CEO Brendan Kennedy said in a news release.

The company's 2.5 million square feet cultivation and processing space is an important differentiator. It will allow the firm to reduce costs and improve margins while hedging against regulatory risk, he added.

The independently owned German company's chief executive, David Henn, praised the quality of Tilray's marijuana.

"Tilray's product has passed our strict quality control standards, and we're excited to have found a partner able to deliver medical cannabis products for use in Cannamedical's own brands," he said in a news release. "We look forward to increasing access for patients in need across the country."

Invading Europe is part of the Canadian firm's strategy to boost profits. Back in March, Tilray said it would shift more big investments to the U.S. and Europe, where the long-term opportunity was greater than in Canada. The move came as some estimates showed the company was trailing domestic rivals in the medical and recreational markets.

Marijuana Stocks Mixed

Tilray stock was up 3.3% at 30.27 on the stock market today. However the stock has fallen 57% so far in 2019. It has also lost 90% of its value since hitting the giddy height of 300 in September last year. Its woeful technical performance is reflected in its IBD Composite Rating of 4, out of a best-possible 99.

Among other marijuana stocks, Aurora Cannabis (ACB) was down 1.2%, Cronos Group (CRON) edged up 0.3%, and Canopy Growth(CGC) slipped 1.4%.

Innovative Industrial Properties (IIPR), a profitable cannabis-focused REIT, was up 1.6%. The ETFMG Alternative Harvest ETF (MJ) was up 0.1% and the AdvisorShares Pure Cannabis ETF (YOLO) lost 0.8%.

Last week, marijuana stocks were routed after Canadian cannabis producer Canopy Growth posted disappointing fiscal first quarter results. Sales fell quarter over quarter and missed expectations. The company lost more than a billion dollars during the quarter. Its per-share loss was deeper than expected.

However there was some good news for the firm. It said some of its pot shops could open in the U.S. this fiscal year, thanks to its deal to buy U.S. peer Acreage Holdings (ACRGF).