2 Best Marijuana Stocks to Own in 2021

Many marijuana stocks have enjoyed a great year in 2020. Despite the coronavirus pandemic, cannabis has been in high demand among customers, and many states deemed dispensaries to be essential businesses amid widespread lockdowns.  And now, with four more states (Arizona, Montana, New Jersey, South Dakota) legalizing marijuana for recreational use and…

the economy potentially getting back to normal next year, 2021 could be another strong year for the industry, as the bullishness doesn’t look to be ending anytime soon.

Two marijuana stocks that could be great buys in 2021 are Planet 13 (OTC:PLNH.F) and Trulieve Cannabis (OTC:TCNNF). While both stocks are doing great in 2020 and up more than 150% this year (compared to the Horizons Marijuana Life Sciences ETF, which is down 3%), it’s still not too late to invest in these companies. Here’s a closer look at why 2021 can be another great year for these stocks.

1. Planet 13

It’s been an impressive year for Planet 13. Despite operating at just 50% capacity, Planet 13’s SuperStore location in Las Vegas has been reporting impressive numbers.

On Nov. 24, the company released its third-quarter earnings for the period ending Sept. 30, and sales of $22.8 million were a record high and grew 36.5% from the prior-year period. Planet 13 also turned a modest profit of $0.2 million, which was an improvement from Q3 last year when it incurred a loss of $1.7 million.

The big reason to be bullish on Planet 13 next year is that as coronavirus vaccines are administered and there’s a gradual increase in travel, the Las Vegas-based business could be one of the big winners of 2021. The company built the SuperStore to be a huge tourist attraction that could bring in more than just cannabis customers. In October, Planet 13 announced the addition of a non-cannabis retail store to the complex, which it said “will be a one-stop-shop for everything necessary for an enjoyable weekend or weekday in Las Vegas.”

If Planet 13 can do this well when operating at half capacity, and with visitor volume still nowhere near where it was before the pandemic began, the sky could be the limit for the company once travel gets back to near-normal levels. And with multiple vaccines potentially on the way, there could be a big uptick in travel numbers as early as next year. In October, visitor volume to Las Vegas was 1.9 million, well shy of the 3.3 million people who visited Sin City in February.

Next year could be a big one for Planet 13, as these latest results could be a drop in the bucket for the company, compared to what it can achieve when the economy is stronger and operations are back near capacity. In 2020, shares of Planet 13 have soared more than 190%.

2. Trulieve

Like Planet 13, much of Trulieve’s business has centered around one market. Of the company’s 73 dispensaries, 68 are located in its home state of Florida.

While focusing on just one main market has been a successful strategy for Trulieve, branching out into other states will make its business more diverse and its top line even stronger. One state, in particular, that investors should be excited about is…

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