A few years ago, investors had high hopes for cannabis legalization after the 2020 presidential election. But unfortunately, the progress towards federal legalization has been sluggish. Although the lack of federal legalization does make investing in the cannabis industry a little more difficult, there are still plenty of cannabis stocks you can purchase. From Curaleaf to Canopy Growth Corporation, here are five cannabis stocks you can purchase right now.
Tilray Brands, Inc. (TLRY)
This is a good option for investors who prefer long-term investment strategies. Tilray, Inc. is depending heavily on a post-legalization future and recently acquired Breckenridge Distillery, a popular bourbon and vodka distillery in Breckenridge, Colorado. While acquiring a distillery may sound strange for a cannabis lifestyle brand, they plan to commercialize non-alcoholic distilled spirits infused with cannabis…once doing so is federally permissible, of course. If you believe cannabis will be federally legalized sooner rather than later (but don’t mind waiting around if it takes a while), this may be an investment worth looking into. For a look at their quarterly earnings and other vitals, click here.
Curaleaf Holdings Inc. (CURLF)
Curaleaf is the largest publicly traded cannabis company and currently operates dispensaries in 23 states.
Active on both the Canadian and American financial markets, their sheer size means they have advantages that other companies don’t. Bigger names in the industry tend to be better placed, and their scale can allow them to overcome supply chain issues and shortages caused by the pandemic. But, considering the cannabis industry was one of the few that actually grew during the pandemic, shortages and supply chain woes don’t seem to hit the cannabis industry as hard as some other industries.
Canopy Growth Corporation (CGC)
Headquartered in Canada, Canopy Growth Corporation engages in the production and sale of medical cannabis. They’ve recently established a partnership with Constellation Brands, Inc., a powerhouse in the alcohol industry, and made waves when it announced the launch of a CBD-infused beverage developed with a New York-based flavored-water company. As we’ve mentioned before, the cannabis edible and beverage sub-market has been growing at an alarming rate. By 2025, experts predict that the global canna-beverage market will reach $2.8 billion, growing at an annual rate of 17.8% during that period. And CGC’s partnerships with two beverage companies (one alcoholic, one not) set the groundwork for their growth in this area.
Aurora Cannabis Inc. (ACB)
Although Aurora Cannabis Inc. is often described as a medical and recreational cannabis company, the company itself has very strong growth in the medical market. Although the recreational market is generally faster growing, Aurora’s medical division is growing at 2x the rate as their recreational division, per their Q4 financial reports. The company also produces and sells indoor cultivation systems and hemp food products, meaning their reach in the industry goes beyond cannabis flower itself. Plus, per US News Money, “the company's dominance in the medical cannabis space could insulate the company against volatility in the overall cannabis market.”
OrganiGram Holdings Inc. (OGI)
If you’re interested in the “science” side of the cannabis industry, the recent news over at OrganiGram Holdings Inc. may interest you. Last year, the company invested in producing the CBD compound via biosynthesis. Essentially, instead of the compounds growing in plants, cannabidiol is made with yeast strains and enzymes. The unique biosynthesis process means that pure cannabinoids can be “created” at a fraction of the cost of traditional methods (aka growing cannabis plants.) The company OGI has invested in has also applied for patents to produce other minor cannabinoids that are too expensive to produce traditionally, which has the potential to change the way cannabinoids are sourced and used in a variety of products.
A note on investing
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Before investing in any stocks, cannabis or otherwise, please contact a trusted financial advisor for more information. They’ll be able to make specific recommendations that best support your financial goals.