TAP - Got $1000 in Cash? Put It Into These 3 Small-Cap Cannabis Stocks
According to Marijuana Business Daily, legal marijuana's retail sales ascended to a new high in Canada in May, with nearly CA$186 million worth of cannabis sold. That represents a 116% year-over-year increase from sales figures in May 2019. Contrary to what many investors perceive, the demand for cannabis is soaring due to the COVID-19 pandemic as more and more people turn to the drug to deal with elevated stress, anxiety, or isolation.
While the legal marijuana market is growing, shares of small-cap cannabis companies HEXO (NYSE: HEXO), Charlotte's Web (OTC: CWBHF), and Village Farms International (NASDAQ: VFF) have not been doing well. Indeed, the three companies have seen their stock prices decline by 4.8%, 49%, and 56%, respectively, since the beginning of the year because of oversupply concerns.
However, shares of these companies have declined so much that they can now be bought at rock-bottom prices, and solid growth should follow. Let's take a look at why.