MSOS - Cannabis Chart Of The Week: Has Trading Liquidity Improved For Marijuana Stocks? | Benzinga
The release of the unredacted text of the HHS recommendation has spurred cannabis equity prices upward. The MSOS ETF (NYSE: MSOS) has risen approximately 27% over the last month. But has the pricing strength been accompanied by greater absolute and relative trading volumes?
The graph below shows the aggregate average daily dollar trading volume of the top five U.S. MSOs by market cap (red bars) and the top five Canadian LPs (blue bars). In each case, we added the volume from the primary and secondary exchanges. The U.S. group trades more volume on the OTC than on the CSE. The Canadian LPs trade most of their volume on the Nasdaq with the CSE as the secondary exchange.
The solid red line shows the U.S. Days to Trade Market Cap (DTTMC), while the solid blue line shows this statistic for the Canadian LPs. Days to Trade Market Cap is our preferred stock liquidity measure, calculated by Market cap divided by average daily dollar trading volume and represents the number of days it would take to trade the entire market cap of the stock.
The average daily dollar trading volume for the U.S. MSOs was $21M for January to date, up from an average for ...