Best cannabis stocks in a declining market
As global markets continue to pull back to begin October, major buy-to-buy stocks are also experiencing declines. For most of 2021, the best cannabis stocks on the market lost value after hitting new highs in February of this year. Today, some of the best stocks in the pot are trading at their lowest prices seen so far this year.
Marijuanastocks.com – MarijuanaStocks
A major factor that has had a negative effect on the cannabis industry is the federal legalization of marijuana and the reform of cannabis banks. As the House recently passed the SAFE Banking Act and MORE Act, things started looking promising for marijuana stocks in the fourth quarter of 2021. But soon after the House passed those laws, the head of the Senate majority Chuck Schumer announced that he would not pass banking reform until legalization.
The senator has his own bill for which he and other lawmakers have tried to gain support. Schumer unveiled the Cannabis Administration and Opportunities Bill around July. It appears that the senator is struggling to gain the support needed to secure a vote in the Senate. While this is unfortunate for the cannabis industry right now, there could be potential in the future.
Invest in the best potted stocks in 2021
While major pot stocks are trading at lower values, those same companies are showing strong results and revenue growth this year. Unfortunately for cannabis investors, none of this has had a positive effect on the way these cannabis stocks trade in the market. This year, it seems the only possible catalyst for major marijuana stocks is the federal legalization of marijuana. Now, in the fourth quarter, major marijuana stocks could continue to consolidate without any action from Congress.
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For investors, this might be a good time to find the best marijuana stocks for your watchlist in October. Before investing in cannabis stocks, it is important that traders do their due diligence. Researching a company’s financial data and tracking a stock’s behavior in the market can help you establish the best positions for your investments. In the fourth quarter of 2021, U.S. marijuana stocks may be trading at levels that will produce a rise as the market improves. Let’s look at 2 top US cannabis stocks for your list this week.
The Best US Marijuana Stocks To Watch Right Now
- Cresco Labs Inc. (OTC: CRLBF)
- TerrAscend Corp. (OTC: TRSSF)
Cresco Labs Inc.
Cresco Labs Inc is one of the largest vertically integrated cannabis companies in the US market. At present, the company is considered the leading wholesaler of branded cannabis products in America. In addition, according to a new report BDSA is the leading brand of cannabis in Illinois and Pennsylvania. Currently, Cresco operates 33 retail outlets in 10 states with 18 production facilities and 44 retail licenses. To highlight, the company opened its fourth Sunnyside dispensary in Pennsylvania as the company expands into other key markets. In addition, the company announced an expansion of its Good News brand portfolio with more selections in the edibles and vaping areas. Specifically, these edibles and vape products will be available in California, Illinois, and Michigan.
Cresco announced the acquisition of Blair Wellness Center, a dispensary in Maryland. In its latest financial statements, Cresco announced its second quarter 2021 results with record revenue of $ 210 million. In addition, the company reaffirmed its forecast of annualized revenue of $ 1 billion in 2021. As a result, the company achieved gross profit excluding fair value mark-ups of $ 107 million or 51% of revenue. Cresco has net income of $ 2.7 million and Adjusted EBITDA of $ 45.5 million. For its outlook, the company expects gross profit margins of over 50% for the remaining two quarters of 2021. The company will release its third quarter 2021 results on November 11.e before the market opens.
CRLBF share performance
CRLBF stock trades at $ 8.42 on October 4e down 5.92% currently for the day. The stock has a 52-week price range of $ 5.80 to $ 17.49 and is down 9.78% year-to-date. According to analysts at Tip Ranks, CRLBF stock has a 12-month average price target of $ 17.25 per share. In this case, it would be a 104.87% increase from its last price of $ 8.42.
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Currently, TerrAscend cultivates and sells medical and adult cannabis in Canada and the United States. Specifically, the company is a leading US cannabis operator with a presence in Pennsylvania, New Jersey and California. TerrAscend primarily has licensed growing and processing facilities in Maryland and Canada. In addition, the company produces and distributes products derived from hemp and cannabis and manufactures homemade edibles for cannabis consumers. Recently, TerrAscend launched a Kind Tree branded product portfolio in Maryland. The Maryland plant was already producing 15 varieties of flowers under the Kind Tree brand and will now be adding half-gran vapes and pre-rolls to the range.
In August, TerrAscend released its second quarter results with net sales of $ 58.7 million, a 72% year-over-year increase. As a result, the company generated an adjusted gross profit margin of 61% in the second quarter of 2021. Additionally, the company has Adjusted EBITDA of $ 24.3 million, compared to $ 22.6 million in the first quarter of 2021. From Plus, TerrAscend has signed an agreement to be the sole grower and manufacturer of COOKIES-branded products in New Jersey and brings COOKIES to the three dispensaries it owns in the state. September 17e the company received prequalification approval from Michigan for the acquisition of Gage Growth Corp. (OTC: GAEGF).
TRSSF stock trades at $ 6.79 on October 4e down 5.33% on the trading day before the close. The stock has a 52-week price range of $ 4.25 to $ 16.25 and is down 28.63% year-to-date. According to Market Beat analysts, TRSSF stock has a consensus price target of $ 15.33 per share. Essentially, that would represent an estimated 113.8% hike from its current trading price. With the U.S. cannabis industry trading near 2021 lows, these could be the best marijuana stocks to buy for Q4 2021.
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