Two cannabis companies with very accessible prices could be close to breakouts
In the stock exchange market, a stock that trades for under $1.00 a share is known as a Penny Stock, and these are a terrific way for the smaller investors to begin delving into trading and investments. They work especially well with small budding markets like the cannabis industry. The best investments far and away in the industry are the vertically integrated operators, of which The Green Organic Dutchman and MedMen Enterprises are expected to see substantial growth.
The Green Organic Dutchman is still a small operator. However, it is located in Ontario, the most populous area of Canada, and is already well-positioned as a growing boutique brand. Sales have begun to grow rapidly now, which sets up the company to become profitable in the coming year.
MedMen Enterprises already has 24 locations in 6 different states in the US. One very positive sign for anticipated growth is that the company owns more licenses than it is currently using. MedMen, as such, is ideally situated for expansion if and when legalization at the federal level passes in the US.
Vertically integrated companies are excellent for penny stock investors because the entire operation, from seed to sale, is controlled by the companies themselves, including the cultivation facilities and their own distribution systems.
Value is where you find it is an old adage in the stock market. However, finding value and being able to afford to cash in on that perceived value may be two different things. Blue ribbon stocks, such as Amazon, etc., may look like excellent values in the long run, but the thousand dollars a share price is simply prohibitive for many. That’s why we have penny stocks and why they have gained such popularity with certain investors.