Cheap cannabis stocks offer little risk, but great long-term benefits
As many already know, the nation’s marijuana industry saw several ups and downs on Wall Street last year after seeing little movement related to federal cannabis reform. However, this is nothing to get down on, as many companies involved in the industry have performed exceptionally well even though some legal states remain quite limited. The second month of the year is almost over, but there is still plenty of time for 2022 to be remembered as a year of good investments in marijuana stocks that really pay off.
To achieve such a goal, you might consider putting money into Cresco Labs’ stock. While this Illinois-based company doesn’t yet have a large national footprint, its strategy of targeting limited-license markets has worked wonders.
Through moves like these, Cresco has been able to generate a good platform of loyal customers. Even with only 45 stores, Cresco’s revenue growth is outstanding and could be a great opportunity to see long-term returns.
Building on a similar strategy is Columbia Care. The New York-based company has created moves that have helped it position itself closely with the industry’s biggest players.
At the moment, Columbia has more than 130 facilities, about 100 of which are retail stores. Its operations are focused on key markets such as Illinois, Virginia, Maryland, Massachusetts, Ohio and Pennsylvania.
Hydroponics expert GrowGeneration makes this list, as well. This company’s revenues are highly driven by the provision of special equipment for cannabis growers to have ideal indoor operations.
Its business model is based on selling hydroponic products and other equipment through 62 stores nationwide, and it is very profitable. While in the first nine months of 2020, the company generated $131 million, that amount rose to $393 million during the same period last year.