While every jurisdiction is different, most are considering non-medicinal cannabis sales non-essential. That changes the sales landscape a lot.
At this point, I would avoid all but the biggest cultivators. Smaller farms will get squeezed here because they lack the scale to compete with the giants and the resources to survive a slow season.
Ultimately, this is a great thing for the leader, Canopy Growth Corp. (NYSE:CGC). And in the here and now, it’s business as usual for Aphria Inc. (NASDAQ:APHA), which focuses on the medicinal market anyway.
If you want to play the cannabis space right now, that’s the way to do it. Avoid the others. The most interesting names will make it into myIPO Edge portfolio, and we’ll reap the rewards of their innovation over time.
Wall Street has finally calmed down a little in the last few days as lenders relax repayment rules on what could soon become millions of newly unemployed workers. Volatility has finally receded.I suspect that this is only the calm between the storms, or the eye of the coronavirus hurricane if you prefer. The S&P 500 is building a tentative base here, and as government stimulus comes in, fear will subside.
Jim Woods has over 20 years of experience in the markets from working as a stockbroker, financial journalist, and money manager. As well as a book author and regular contributor to numerous investment websites, Jim is the editor of:
Bob Carlson provides independent, objective research covering all the financial issues of retirement and retirement planning. In addition, Bob serves as Chairman of the Board of Trustees of the Fairfax County (VA) Employees’ Retirement System, which has over $2.8 billion in assets.