Cannabis stocks are outperforming the overall market as gains jump in February

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The cannabis stock market continues to grow as the industry expands

Some good news is arriving at the American Cannabis Operator Index, which, for the fifth consecutive month, has moved higher. Its latest jump saw it improve by 20.5% to 93.70. Back in October 2018, the index was launched with a value of only 100. Surprisingly, one week later, it reached a closing high 124.16, but then it declined to 70.64 by the end of that same year.

Last month, a total of 34 companies were included by the index. Three of them are focused solely on cannabidiol (CBD) extracted from industrial hemp, while the other 31 are multi-state operators (MSOs). As part of the results achieved by this addition, five companies managed to post returns in excess of 40%, but another four declined during that same month.

For January, the four best-performing stocks included Indus Holdings, which shortly will be called Lowell Farms in order to reflect its most recent acquisition, Red White & Bloom Brands. The latter raised $6.1 million through a private placement convertible note as it works on expansion. Another two are 4Front Ventures, which announced the departure of its CFO, and Terra Tech with no further news during the month.

On the other hand, the worst performing stocks included Vext Science, which closed a $16.41-million sale of units during the month. Body and Mind was down, as well, showing strong worth during its fiscal Q1 period, but still with some stocks hit by sales made by outside investor Australis Capital. Cansortium has now fallen for the second consecutive month, and Schwazze, which managed to acquire two additional Star Buds dispensaries in Colorado for $9.3 million in cash, is looking to emerge following the purchase.