TLRY - Cannabis Stocks React To DEA Rescheduling: Canopy & Aurora Surge Tilray WM Tech Hold Steady | Benzinga
In a historic trading session on Tuesday, cannabis stocks soared following the DEA's decision to reclassify marijuana from Schedule I to Schedule III under the Controlled Substances Act.
This regulatory shift aligning with a recommendation from the Department of Health and Human Services, sparked investor interest
evidenced by gains in major cannabis stocks on the NASDAQ.
Canopy Growth Corporation (NASDAQ: CGC) led the gains, skyrocketing by 78.8% to close at $14.88 per share amid a trading frenzy that pushed the volume to 79.25 million shares.
Aurora Cannabis (NASDAQ: ACB) wasn't far behind, climbing 46.0% to close at $9.23 per share with a volume of 37.921 million shares. Tilray Brands Inc. (NASDAQ: TLRY) also enjoyed an upswing, rising 39.5% to end the day at $2.47 per share with a volume of 147.306 million shares.
WM Technology, Inc. (NASDAQ: MAPS) saw a moderate increase of 1.44%, closing at $1.06 per share, with trading volume reaching 4.428 million shares.
The sudden uptick in these stocks highlights the market's optimistic reaction to the DEA's policy change, but when placed in the context of the year's performance, the perspective shifts slightly.
A Rocky Road
Aurora Cannabis, for example, experienced a robust recovery from its earlier slump in January, climbing 43.96% from its low in April before the most recent jump of 46.0%. Similarly, Canopy Growth Corporation managed a striking rally of 162.31% in March, despite a slight dip in April, culminating in an extraordinary single-day surge of 78.8%.
These fluctuations underscore a pattern of high volatility, suggesting that while the upsurges are significant, ...