To start off 2022 the best marijuana stocks to buy have seen significant drops in value. As the overall markets continue a downtrend top cannabis stocks have also experienced a significant downside to start the year. This is in addition to the…
cannabis sector declining in 2021 after reaching new highs in February of last year. Now heading into February 2022 pot stocks are setting new lows mostly due to the delays with US federal marijuana legalization.
Generally speaking, one area of the cannabis sector that has been heavily impacted by delays in the US is Canadian marijuana stocks. Because Canadian cannabis companies stand to gain a new market to grow in with US cannabis reform, they have suffered the largest drop in value. For the past several years many Canadian cannabis companies have established their entry into the US market. In general, some have done this with strategic acquisitions and others have established CBD sales in the US waiting for a change in US federal policy.
Because many investors and analysts expected to see the US establish federal cannabis reform in 2021 the delays impacted pot stocks severely. Although Canadian cannabis companies have experienced some growth in the Canadian market they have not performed as well as many leading US cannabis companies. But they have a few factors working in their favor in the stock market.
Finding The Best Pot Stocks For New Retail Investors On Robinhood And WeBull
For one because cannabis is still federally illegal US companies are unable to trade on major US stock exchanges. This has kept them from many new retail investors that use platforms like Robinhood Markets, Inc. (NASDAQ: HOOD) or WeBull to place trades. This has been an advantage for Canadian pot stocks that trade on the Nasdaq and are readily available to all investors.
One area that could offer short-term gains for investors is Canadian marijuana penny stocks. For those traders unfamiliar with penny stocks these are any stocks that trade under the $5 threshold. In general cannabis penny stocks are known for having significant volatility and are a higher-risk investment. Many active traders use day trading and swing trading techniques to produce gains with penny pot stocks. For this reason, let’s look at 4 of the best Canadian marijuana penny stocks to add to your list this week.
Canadian Marijuana Stocks To Watch In January
- Aurora Cannabis Inc. (NASDAQ: ACB)
- OrganiGram Holdings Inc. (NASDAQ: OGI)
- HEXO Corp. (NASDAQ: HEXO)
- Sundial Growers Inc. (NASDAQ: SNDL)
Aurora Cannabis Inc.
Aurora Cannabis Inc. is a Canadian company that cultivates and sells medicinal marijuana across the world. The company recently announced its entry into the US cannabis sector with the purchase of Reliva, a CBD-producing company in the United States. Aurora has also expanded its San Rafael ’71 range with three additional cultivars. On the international front, the business sent an $8 million cannabis shipment to Israel. The company’s balance sheet is being rebuilt, and the first shipment to the French medicinal cannabis pilot program has been accomplished.
Aurora reported total cannabis net sales of $60.1 million in the first quarter of the fiscal year 2022, up from $54.8 million in the fourth quarter of fiscal year 21. The firm now has an $11.5 million Adjusted EBITDA deficit. Aurora is the world’s largest Canadian limited partnership in the medicinal cannabis market, and it claims to be on track with its restructuring strategy.
ACB stock is trading at $4.92 on January 19th down 3.62% for the trading day going into the close. Currently, the stock has a 52-week price range of $4.90-$18.98 down 27.41% in the past six months. According to analysts at CNN Business, ACB stock has a consensus price target of $6.36 per share. This would be an upside of 29.50% from its last trading price of $4.92.
OrganiGram Holdings Inc.
In Canada, OrganiGram Holdings Inc. is a well-known legal cannabis and cannabis-based product manufacturer. The business is recognized for generating high-quality, indoor-grown marijuana for medical and recreational purposes. Organigram is strengthening its foreign business partnerships to boost its position in the global cannabis sector. The company is aggressively expanding its wholesale…
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