These two stocks could see big gains if the House approves cannabis reform

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The cannabis industry will see strength with cannabis reform, but these two companies could see more

It is not yet known what the next steps will be regarding the path to federal legalization. Many believed that with the arrival of Joe Biden to the presidency, this process was going to be a little faster; however, it is taking quite some time. Regardless of this, the marijuana industry has been able to come through with flying colors and its growth is something that does not seem to be stopping anytime soon. It should also be clear that a possible federal reform in the country would change the course of many things, and different companies, such as Harvest Health & Recreation Inc. and Cansortium Inc. could benefit greatly if marijuana is accepted at the federal level. You have to be prepared for any scenario, and that’s why having both companies in your investment portfolio could be a pretty smart bet.

Harvest Health & Recreation has worked closely with its subsidiaries in order to conduct its cultivation, production, processing and retailing of inhalable, ingestible and topical cannabis products in the US. Over the past few weeks, the company has shared updates that appear to be quite interesting. Earlier this month, Harvest announced a planned divestiture of the Florida license; however, closing conditions such as regulatory approvals and the closing of Harvest’s planned acquisition by Trulieve Cannabis Corp. are still pending. In the Sunshine State, Harvest has continued to open more dispensaries and did so with its 13th location.

Cansortium, with the help of its subsidiaries, produces and sells medical cannabis in the country. Its business is primarily based on cultivation, processing, retailing and distribution activities. At the end of August, the company announced its second-quarter financial results reporting revenues up 24% to $16.5 million compared to $13.2 million. Its presence in Florida also appears to be quite relevant, as in the state, the company reported revenue increases of 22% to $14.6 million, indicating that its plans are coming together nicely.