3 Cannabis Stock Investments Impacted by the Coronavirus
Unless you’ve been living under a rock, you’ve witnessed the impact of the Coronavirus on the global stock market.
These 3 cannabis stocks have been impacted by the Coronavirus and may be great cannabis stock investments to take advantage of for 2020. The cannabis industry isn’t any different than the rest of the public stock market sectors its been impacted by coronavirus sell-offs as well. We believe that this is a great opportunity for investors to make a move to acquire discounted cannabis stocks – many of which are now undervalued. Investors who already have a sizable stake in cannabis and hemp companies may want to increase their holdings in order to reduce their average cost and increase their return on investment. Once the coronavirus is behind us, investors anticipate the industry to rebound. Investors who take advantage of these current opportunities have the potential to see substantial gains.
We’ve reviewed cannabis and hemp stocks that have been impacted by the coronavirus sell-offs and we have identified the best cannabis investing opportunities for 2020. The three top coronavirus affected cannabis stocks picked by our analysts to invest in for 2020 are Aphria Inc. (NYSE: APHA), Trulieve Cannabis Corp. (OTC: TCNNF), and Curaleaf Holdings, Inc. (OTC: CURLF).
These 3 cannabis stocks have been impacted by the Coronavirus and may be great cannabis stock investments to take advantage of for 2020.
Aphria Inc. is a formidable Canadian cannabis company. It is listed on the Toronto Stock Exchange and the New York Stock Exchange, and has a market capitalization of $1.2 billion, as of January 2020, making it one of the largest cannabis companies in the world. Aphria has already survived unfortunate circumstances and prevailed better than the rest of the cannabis sector when it was hit with cannabis-specific news. This is why our analysts have decided that it is the best cannabis coronavirus affected stock pick to invest in for 2020. Aphria was hit by a short-seller report that attacked the company and accused it of overpaying for assets it acquired in Latin America. An independent special committee reviewed its acquisition and determined that it did not overpay for those assets, shortly after, Aphria recovered 92% of its value. The company, along with many cannabis stocks, was also hit by news of regulation that restricts vaporizes after the deaths of individuals who consumed black-market vape cartridges. However, despite its decrease in value, it outperformed the cannabis sector as it lost a lower percentage of value when compared to the sector as a whole. The stock is currently undervalued on or about its current position of $3.19/share.
Curaleaf Holdings, Inc. is a cannabis company with a market cap of $4.8 billion as of September 2019. Curaleaf “engages in the production and distribution of cannabis products” across North America. The company is headquartered in Wakefield, Massachusetts. Curaleaf has a penchant for acquisitions that led it to a wide footprint in the U.S. cannabis market. Curaleaf has a presence in over 11 states with care for which states it gets involved in. In order to ensure a high demand for its products, the company chooses to target states that put a cap to the number of licenses issued for cannabis dispensaries. This ensures the company has less competition in the state and that it can find plenty of consumers for its cannabis products. The company also has a strong future outlook because of its track record with successful, often lucrative acquisitions. Curaleaf is projected to have 71 dispensaries by the end of 2020 and still has $266.6 million in cash for more acquisitions in the future. The stock is currently undervalued at on or about its current position of $4.90/share.
Trulieve Cannabis Corp. is the first and leading medical cannabis company in the state of Florida, the third most populous state in the United States. Its vertically-integrated “seed-to-sale” operation has approximately 50% of the Florida market. With a patient base that grows approximately 10% month-to-month, it is poised for growth in this attractive market. Trulieve boasts over 320 SKUs and is constantly adding new, fresh, and exciting items to its product line. Its widespread dispensary network and large delivery fleet provides important, much-needed access to thousands of patients every day throughout the state. Trulieve is committed to growing its dispensary footprint in the state, constantly identifying new locations that will bring Trulieve closer to patients, allowing many more people to have easier access to the medicine they need. The Company has 45 stores in Florida with more growth ahead. Its first mover advantage in the state provides numerous benefits, including brand recognition and media attention. Strong financial performance, driven by sales to a loyal and dedicated group of patients affectionately called Trulievers, positions the company’s commitment to continue its pattern of growth. The company is a growth-oriented cannabis company that cultivates all of its products in-house and then distributes them to its Trulieve brand is dispensaries in Florida. Currently, the company is the #1 medical cannabis operator in Florida and the state has the third-highest population count in the United States. It also has the lowest percentage of value lost from the start of the coronavirus sell-off fears that have affected all public stock market sectors. While it’s currently not undervalued at its current position of about $9/share, we feel as though this is still a great buy and hold.
3 Cannabis Stock Investments Impacted by the Coronavirus
About Cannin: Cannabis and Hemp Investment Experts
Market analysts expect the cannabis and hemp industry will have an annual value exceeding $75 Billion in the next decade. The time to invest in cannabis and hemp stocks is now! Are you looking to buy stock in hemp companies or cannabis companies? Interested in emerging penny pot stock companies? Looking for the best Canadian pot company to invest in? Cannin is your trusted resource for information about Cannabis and Hemp stock investment opportunities. Our global team of experts evaluates emerging cannabis stock investing companies. We aggregate hundreds of hours of research and distill it down to make it easy for our investors to understand. We provide tips on the best cannabis and hemp stock investments for 2020. We provide the latest hemp investment news and analysis. Visit our site for cannabis investing news and featured companies, sign up for the free Cannin Chronicle or get a free trial of our smart cannabis and hemp stock algorithm to take the guesswork out of profiting from this exciting industry. Predict the price of cannabis and hemp stocks hours in advance with our machine learning algorithm. Is it too late to invest in marijuana? No! This is the perfect time.
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