Cannabis has been legalized for recreational use in many countries around the world, including the United States. As a result, investors have flocked to cannabis stocks as a new investment opportunity. There are a number of different types of cannabis stocks out there, each with its own unique characteristics. Some provide exposure to the legal cannabis market in Canada, while others focus on opportunities outside of this market. No matter which type of cannabis stock you choose, there is likely to be some risk involved. Therefore, it’s important to do your research and make sure you understand the risks involved before investing. One of the best things you can do is learn as much as possible about the different cannabis stocks out there. This will help you make informed decisions when investing in these companies.
Read Exploring the Booming Pot Stocks Market: Get Ready to Invest!
Cannabis Market
Marijuana stocks are undergoing a volatile period right now. Marijuana stocks have been trading inconsistently for quite a while now. This has primarily influenced the more cautious approach to investing in cannabis stocks.
The ups and downs in the market are dangerous for investors. It’s also an opportunity to take profits before the market declines. Even so, when a decline does occur, it provides an opportunity to buy marijuana stocks.
Companies outside the market have had great success despite the sector having more red days than green ones. Investors are speculating about prospects for cannabis companies. Although the company is profitable, it may still be worth buying and holding since it is currently down.
USD 20.5 billion was estimated for the global cannabis market in 2020. The value of this market is projected to rise by 28.0% by 2026, with a CAGR of 90.4 billion dollars. The cannabis market offers a variety of product developments in tandem with novel delivery options. A cannabis company’s success will only strengthen the industry’s growth.
An upward trend tends to affect cannabis companies, which are doing well as a business most of the time. Furthermore, as previously mentioned, the recoveries have been short-lived. As an investor, you want to develop a strategy that will give you the best chance of minimizing your risks while maximizing your reward.
Considering how unpredictable the sector can be, patience and proper execution are crucial to success. If you are looking for marijuana stocks to watch right now, there are several options to consider, with plenty of ways to invest in the sector.
Top marijuana stocks to watch right now
Tilray Brands, Inc.(NASDAQ: TLRY)
The company develops, cultivates, produces, markets, and distributes medical cannabis products. Among its business segments are the Cannabis Business, Distribution Business, Beverage Alcohol Business, Wellness Business, and Business Under Development.
The company announced that it would enhance the accretive strategic transaction with HEXO on June 14th. A more significant discount is included in the amended terms on the purchase price of the HEXO note. The Tilray conversion price on HEXO shares has also been lowered. The agreement reaffirms the projected cost savings of $80 million and is anticipated to close in July 2022.
OrganiGram Holdings Inc. (NASDAQ:OGI)
Organic Holdings Inc. is a Canadian company that produces and sells cannabis and cannabis-derived products through its subsidiaries.
OGI stock has not been performing well over the last four weeks. In the past few months, there has been a slow decline in momentum, which has ultimately led to a more significant drop in trading. As of June 8th, it looked as though OGI’s stock would continue to gain momentum.
The company’s most significant sales of the year happened just after this time. However, the price of OGI stock has started to recover again in recent trading.
This week, let’s hope the company continues to climb. We haven’t heard anything from the company for quite some time. We last saw the company’s financials back in April.
Sundial Growers Inc. (SNDL)
Sundial Growers Inc. is a Canadian cannabis company that produces, distributes, and sells marijuana products. This is done through segments such as Cannabis Operations and Retail Operations. A recent announcement revealed the company had signed a bid agreement to acquire Zenabis Global Inc.’s assets.
Atholville, New Brunswick’s indoor growing facility, is included in the Bid Agreement with a total floor area of 380,000 square feet. With this facility, approximately 46,000 kilograms of dried cannabis are produced, and 15,000 kilograms of cannabis oil are extracted annually. After obtaining EU GMP certification, the facility has been able to export internationally.
