They say the one who sees things in the seed is a pure genius. When the legalization of marijuana started gathering some momentum back in the 90s, many investors saw the seed of opportunity in the cannabis plant. However, it’s only those that invested in the quality pot stocks have made a fortune.
But is it too late to benefit from the cannabis boom? Literally, it seems like the race has only just begun, but only if the right investments are chosen and focus is placed on the fundamentals.
The Canada-based grower’s stock Aurora Cannabis (NYSE: ACB) is poised for growth in 2019 and hence a stock to watch for most investors.
Aurora Cannabis Price Analysis
Headquartered in Edmonton, Canada, the company produces as well as distributes a wide variety of medical cannabis products. Aurora Cannabis is scheduled to report its third-quarter earnings shortly with expectations of a 3% loss on revenue of $55.1 million.
Currently, the stock’s price is at $11.38 having seen some decrease in the last few days. The price is steadily increasing as the shares shot up today by 5.6% bouncing off a 2-month low.
Just recently, Aurora Cannabis Inc. fell by 3.95% from $8.35 to $8.02. However, it has hence picked up and risen with signs of an upward trend in the cards. Already, the company has broken broad as well as a strong rising short-term trend; hence as much as the rising trend may seem slow, it will surely get up.
Aurora Cannabis overview
Aurora is one of the leading cannabis companies in the world with a funded capacity of 625,000 kg marijuana annually and sales alongside the operations in more than 24 countries across 5 continents.
The company has an advanced consistent as well as efficient production strategy with its facilities built to meet the EU GMP standards.
It has been a hot pot stock especially this year and still has got a lot more room of reaching even higher.
Acquisitions play a significant role within the corporate ecosystem as they are the tools of expanding the revenue, competitive moats, profitability, and the geographical reach. In fact, shareholders are always eager of what the company will acquire next.
Aurora has not been left behind in wrapping up some acquisitions as well as they push forward. There were a series of acquisitions in 2017 and 2018, and this year started with acquiring Whistler Medical Marijuana in a deal worth $132 million.
The main reason for the acquisitions is to bridge the gap for more marijuana, and adding capacity is the best way.
Moreover, the company had taken over CanniMed Therapeutics – a leader in the Canadian medical marijuana industry. Further, it acquired the South American market leader, ICC Labs for $290 million which has proven to give Aurora a strong footprint in South America as well as a first mover advantage.
All the acquisitions are meant to make Aurora even better, and thus far they have proved to be supportive in the company’s journey.
What Raises Optimism?
Aurora announced its two facilities being fully licensed by the Canadian Health authority for production as well as the sale of marijuana. The two facilities: Aurora Sky and MedReleaf Bradford raised the stock’s price at the time.
So, it means that the stock has got great potential of moving up whenever an opportunity comes across. That is an aspect that keeps investors optimistic that Aurora stock is well on track to keep rising.
The Future Looks Bright for Aurora
Apart from benefiting from the location, Aurora looks to tie down a partnership with major beverage companies such as Coca-Cola so as to introduce cannabis-infused drinks.
Furthermore, the company has massively expanded its facilities to meet the high demand and has bought other firms. Notably, it acquired the Mexico-based medical marijuana partner, Farmacias Magistrales hence offering Aurora entry into the Mexican market.
Consequently, as much as Aurora has got its caveats, the stock looks bullish and with third-quarter earnings underway, the pot stock looks much attractive for the long-run.
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Disclosure: We have no position in ACB and have not been compensated for this article.
Forget APHA and ACB, Buy GTBIF and TCNNF
There are a lot of misconceptions going on when it comes to US legalization. Many investors are buying Aphria (APHA) and Aurora Cannabis (ACB) hoping to bank on what’s happening in the US. However, they are Canadian Licensed Producers and have no business in the US. Investors are buying them because they trade on the major exchanges, but that is the wrong move. The correct move is to buy the US multi-state operators like Green Thumb Industries (GTBIF) and Trulieve Cannabis (TCNNF).
On Election Day voters in New Jersey, Arizona, Montana and South Dakota voted to legalize recreational marijuana. South Dakota and Mississippi voters also approved measures to legalize medical marijuana.
There’s also the prospect of a more pot-friendly White House with President-elect Joe Biden. Vice Presidential Candidate Kamala Harris said at the debate a Biden administration would decriminalize marijuana at a federal level and expunge criminal records of people with marijuana-related offenses.
Green Thumb Industries Inc. (“Green Thumb”), a national cannabis consumer packaged goods company and retailer, promotes well-being through the power of cannabis while giving back to the communities in which it serves.
Green Thumb manufactures and distributes a portfolio of branded cannabis products including Beboe, Dogwalkers, Dr. Solomon’s, incredibles, Rythm and The Feel Collection.
The company also owns and operates rapidly growing national retail cannabis stores called Rise™ and Essence. Headquartered in Chicago, Illinois, Green Thumb has 13 manufacturing facilities, licenses for 96…
What Do Investors See In Medical Marijuana Stock (OTCMKTS:MJNA)?
Medical Marijuana Stock (OTCMKTS:MJNA) has emerged as one of many investor’s favorite pot stocks in the legal cannabis universe in 2020. The stock is already up about 10% in 2020, demonstrating how investors have warmed up to the stock early on in the New Year.
Following a disastrous 2019, cannabis investors lost money but have also learned that their best bets are stocks with strong fundamentals. They are looking for companies that have positioned themselves well in the cannabis industry and have what it takes to go for the opportunities. That is why MJNA stock is catching a lot of investor attention in 2020 because of how it has positioned itself in the cannabis market.
Robust revenue growth and strong financial position have also helped put MJNA on the radar of investors hunting for quality cannabis stocks. Revenue at MJNA more than doubled from $26.5 million in 2017 to $60 million in 2018. MJNA is also not in financial distress as may be the case with other cannabis companies out there. The company finished the third quarter, the most recent reported period, with $5.5 million in cash reserves.
Moreover, MJNA has recently taken steps to expand into new international markets and invest in companies that are leaders in their segments. These prudent actions are helping lift Medical Marijuana stock as more investors learn about them.
About Medical Marijuana stock
Is Tilray Inc (NASDAQ:TLRY) A Buy Or Sell?
For Tilray Inc (NASDAQ:TLRY) and the rest of cannabis stocks, 2019 was no doubt a bad year. But 2020 is shaping up to be a promising year for the stock. To start with, Tilray stock has already gained 8.35% year-to-date. If that says anything, it shows following the broad selloff in Tilray stock last year, we’ve got to a point where sellers are giving way to buyers in the stock.
There are several catalysts that should continue driving NASDAQ:TLRY as you’re about to see. First, below is a brief profile of the company we’re discussing.
Tilray is a Canada-headquartered global cannabis company. It is engaged in activities of cannabis cultivation and processing as well as marketing and distribution of cannabis products. Tilray already has several cannabis products brands to its portfolio. It operates across five continents through subsidiaries in Canada, Australia, Germany, and Portugal.
Following the broad collapse of cannabis stocks in 2019, investors are looking for cannabis stocks that can make a positive impact on their portfolios in 2020. Tilray stands out as an attractive cannabis stock pick in 2020. Here are some of the exciting things about the company.
Tilray CEO sees a bright future for the cannabis industry
On January 25, Tilray CEO Brendan Kennedy spoke on Bloomberg. In that interview, Kennedy framed a rosy outlook for the…