When a slew of cannabis firms reported quarterly earnings results, investors realized that markets beat down the sector. The sharp rally that ensued suggests that investors may continue holding or starting a new position in many marijuana stocks.
Not only are companies in the sector reporting smaller losses, but weak firms removed the excess supply that hurt prices. The stronger quarter revenue results should give marijuana stocks continued lift in the weeks ahead.
In the months leading up to the presidential election, markets may renew their bullishness in companies that sell marijuana. Voters may look at the debate of its legalization as a positive catalyst. Besides, the first phase of cannabis included its bungled launch in Canada and various other countries. The second phase is its legalization across much of the United States.
Published at Fri, 29 May 2020 13:08:41 +0000