MEDIF - Cannabis Stocks in This Niche Are Already Profitable
You've probably heard by now that marijuana offers investors an incredible long-tail growth opportunity. Having already more than tripled worldwide sales in the past four years to nearly $11 billion, lofty projections call for weed sales to head considerably higher in the years that lie ahead. Plus, with the black market being as large as it is, there's clearly demand waiting to be tapped by legal channels.
But investors are also keenly aware that hot investment trends, like cannabis, need time to mature. These hot investments rarely push into profitability from the get-go, which is exactly what we've witnessed from a majority of the North American pot industry.
To our north, regulatory and procedural issues have substantially hindered the ability of growers to get their product into dispensaries. Meanwhile, in the U.S., certain markets (ahem, California) have taxed the daylights out of their legal pot consumers. The end result is that black-market operators have been thriving. While all of these issues are fixable, it's going to take time for any changes made to take effect.