Investors have two great options in the cannabis space that could offer serious returns
It has become more than clear that new markets and industries have begun to represent a higher profitability potential. A clear example of this phenomenon has been the marijuana industry, and the prospects it has opened up for enterprising stock market investors. Taking a look at the US cannabis sector as a whole, analyst Matt McGinley recognizes that there are two stocks that have the capacity to double from current levels.
While it is true that cannabis as such is not a new issue, its legal regime is. All the legislative movement that has taken place in recent years has made the industry continue to grow, which as a result, has led to a solid expansion of companies.
The first to have broken through is Ayr Wellness, a cannabis company that is essentially based in the wellness and health segment, as its name suggests. Its line of business focuses on the production of high-quality cannabis products, such as vaporizers, smokable flowers, edibles, and beverages. All of them are provided to the public through a network of dispensaries. The company currently has 67 but plans to reach just under 100 by the end of 2022.
And on the other hand, there is the action coming from Curaleaf, one of the largest companies in the cannabis industry. Even though it experienced a year of share price losses, the company still has a market capitalization of $5.5 billion.
In addition, Curaleaf is one of the companies with one of the largest distribution networks in the industry today, with more than 117 dispensaries in 23 states. The company promises that this figure will continue to grow steadily through 2022, making it a very attractive stock for shareholders who want to double their investments.