Like Godzilla rampaging through a city in a low-budget movie, the market meltdown among marijuana stocks has left plenty of carnage in its wake. Many marijuana stocks plunged 25% or more.
The good news is that in the midst of the mayhem, there are several stocks that look really attractive now. Three that stand out are Constellation Brands (NYSE:STZ), Liberty Health Sciences (NASDAQOTH:LHSIF), and Origin House (NASDAQOTH:ORHOF). Here’s why these are three marijuana stocks you might want to buy after the market meltdown…
1. Constellation Brands
Isn’t Constellation Brands an alcohol stock? Yes, but thanks to the company’s 38% stake inCanopy Growth (NYSE:CGC), it’s now also a marijuana stock. And Constellation is arguably one of the best marijuana stocks to buy right now.
Although Constellation Brands’ share price fell during the broader market pullback, it’s still only down by a single-digit percentage point year to date. There are several reasons why the stock could be poised to rebound.
While the overall U.S. beer market hasn’t been much to cheer about in recent years, Constellation continues to generate impressive growth with its high-end and craft beers. The company’s Corona and Modelo brands rank as top preferences among Hispanics — one of the fastest-growing demographic groups in the U.S. Constellation’s strategy to solidify its lead as the country’s No. 1 premium beer company and expand its position in the premium wine and spirits market should pay off.
The company’s bet on Canopy should pay off, too. Constellation expects that the addressable global market for cannabis will top $230 billion within the next 15 years. It thinks that Canopy will claim at least $14 billion of that market and potentially as much as $37 billion. With its significant stake in Canopy (and the option to gain majority control of the company), Constellation could be…
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