Aurora Cannabis ready for a breakout

684 0

Get ready for a stock rally as Canada’s cannabis laws are updated

Aurora Cannabis is in a great position to benefit from the expansion of Canada’s cannabis laws, which went into effect yesterday. Allowing derivative sales in the country is going to take the industry to an entirely new level and Aurora has the position to be in charge as the expansion continues. With derivative sales expected to begin this December, now might be a good time to invest in Aurora’s stock, but it will most likely take several years to see huge returns.

Aurora hasn’t been performing as well on the market as it had anticipated, but this is nothing more than an early Christmas present for investors. The dip in its price is an opportunity to pick up more shares ahead of the upcoming rally, which is virtually guaranteed to happen, and see an even larger return on investment over the long term.

It won’t be easy, however, as Aurora has to build up its operations. The company is already in a really good position, though, and has a lot of cash with which to work. It’s because it hasn’t leveraged everything it has to expand that Aurora is expected to skyrocket over the next several years.

As analyst George Budwell puts it, “While Aurora’s shares may struggle over the next two to three years, investors who hold this pot stock for, say, 20 years should walk away with a rather hefty sum. In fact, it wouldn’t be surprising in the least if an initial $10,000 investment — doled out in small batches over the company’s formative years — ended up producing a million-dollar payday by 2040. Aurora, after all, wouldn’t even need to be the top dog in the industry to produce these kinds of life-changing returns. It only needs to remain an independent entity during the industry’s inevitable march toward big [cannabis].”