The results of next month’s voting could lead to gains for some cannabis stocks
November is an interesting month for cannabis stocks. As the years go by, more jurisdictions are attracted to legalizing cannabis markets and this is undoubtedly good news for the industry as a whole. In fact, five states are set to have their voters decide on the future of the recreational marijuana market, and that could be extremely beneficial for businesses that can consolidate in those regions. This, coupled with President Joe Biden’s statements on marijuana reforms, makes it an ideal time to invest in a few solid stocks.
Tilray Brands is an extremely solid bet, even if the legalization story is put aside. Many experts find several reasons to be bullish about this company’s stock. First quarter 2023 results were recently reported, and the data showed revenue figures that may not have pleased many investors, but the positive adjusted EBITDA made up for that. In addition, the firm also reaffirmed its positive free cash flow guidance for fiscal 2023, which is good news for investors.
On the other side is Curaleaf Holdings, a company that has traded in a relatively narrow sideways band over the past six months. Analysts believe that could suggest a bottom for the stock and a reversal may develop in the coming quarters.
Its presence in 22 states undoubtedly catches the attention of any investor. As a result, revenue growth may accelerate materially if marijuana is legalized at the federal level.
And finally, there is Sundial Growers, a company whose stock is among the most favored to acquire. Sundial focuses primarily on the sale and distribution of marijuana products in Canada.
Through its investment arm, Sundial’s reach is broader. The company has 355 retail stores selling liquor and cannabis in Canada as well as $689 million in strategic investments.