These cannabis stocks are on fire

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Several cannabis companies are delivering rewards and will continue to grow in the market

Many cannabis industry experts suggest staying focused on the long-term possibilities with companies that are already financially sound. Anyone who decides to invest in marijuana companies should be aware that they are playing a long game. The main reason for it is that there is still a long way to go for the industry, and the movement in sales continues to increase as more states accept the plant. Before a major boom really happens, the currently low stock prices make it make sense to start investing in solid marijuana businesses right now.

One company holding a position for further growth and profits is Curaleaf. With nearly 150 dispensaries in 19 states, Curaleaf is currently the number one pure marijuana firm in terms of revenue. While the multi-state operator (MSO) has had significant declines, it’s poised to have a fairly strong year, especially after New York and Connecticut opened up the adult-use cannabis market, two states where the company has a strong and established footprint.

Cannabis retailers continue to take big hits due to higher labor costs, inflation and lower margins. This, in some ways, is also bad news for cannabis real estate investment trusts (REITs) like NewLake Capital Partners.

These REITs, in essence, operate as landlords for many marijuana companies. However, having generated a selective portfolio of clients to lease its 32 properties, NewLake Capital’s financials are solid and in the green. Its nine-month revenue is $32.6 million, a year-over-year increase of 70.9%.

Last but not least, OrganiGram is a company that continues to aim high. Even with the Canadian cannabis retailer’s evident financial growth, the company’s shares fell more than 46% over the past year and more than 6% so far in 2023.

Still, the company continues to show strength in its financial reporting, posting revenue of $31.3m, up 43% year over year in the first quarter of fiscal 2023. In Canada, OrganiGram is the number-one seller of ground flowers, and it looks like no one will move it from that position soon.