After a tumultuous year in 2018, many marijuana stocks have stormed out of the gate so far this year. You’d have to use all of your fingers and some of your toes to count the number of marijuana stocks that are up 50% or more in 2019.
We asked three Motley Fool contributors to identify which top marijuana stocks they think investors should especially watch in April. Here’s why they picked…
The first peek at Canada’s recreational market in 2019
Keith Speights (Aphria): All of the big Canadian marijuana producers have now reported their results from the end of 2018. Those results, of course, included the first partial quarter of sales in the Canadian adult-use recreational marijuana market. But for investors anxious for a hint at what this market could look like in 2019, all eyes should be on Aphria.
In January, Aphria posted soaring sales in its quarter ending Nov. 30, 2018. But those results only included a couple of weeks of sales in the adult-use recreational market. Aphria’s news was also overshadowed somewhat by the planned departure of longtime CEO Vic Neufeld.
The company is scheduled to announce results from its quarter ending Feb. 28 on Monday, April 15. This should be especially interesting as Aphria will be the first major Canadian marijuana producer to report numbers from the first two months in calendar 2019 for the adult-use recreational market. I expect Aphria to show that it’s in a solid third position in this market, behind only Canopy Growth and Aurora Cannabis.
Aphria’s stock performance has lagged behind its peers over the last 12 months. So far this year, though, its shares have skyrocketed, beating several of the other big Canadian marijuana stocks. I suspect that Aphria’s next quarterly update could provide the fuel needed for another big jump for the stock.
An acquisition makes this marijuana producer especially intriguing
Todd Campbell (HEXO): If you’re not paying attention to small-cap marijuana grower HEXO yet, you ought to be. The company recently unveiled guidance for future revenue that suggests sales will climb substantially in the coming year, potentially rewarding investors with handsome returns in the process.
A small player in the emerging marijuana industry, HEXO only sold marijuana in three Canadian provinces last quarter. It recently acquired…
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