My mailbox filled up this week with investors looking for insight on why the share price for GrowGeneration Corp. (NASDAQ:GRWG) has more than doubled since reporting its 2Q20 results on Aug. 13.
GRWG had a great quarter. But after a year of disappointments, cannabis bulls are combing through the numbers for hope that the industry, as a whole, is recovering.
I’m not optimistic. While $470 million has flowed into GRGW in the past week, a full $1 billion has flowed out of the other big stocks in the cannabis field.
The net impact for the industry is a loss. And that’s not the kind of tide that lifts all boats.
We’ll know when the tide turns. For now, GRWG is worth trading, but it’s as vulnerable as the giants to the next cannabis chill.