MEDIF - The Top Marijuana Stocks to Buy in the Fourth Quarter
On the one hand, marijuana is supposed to be the greatest growth opportunity since sliced bread. Worldwide sales of cannabis have more than tripled over the past four years, and they could grow anywhere from fivefold to 18-fold over the next decade, depending on Wall Street's projections.
On the other hand, the industry has been a train wreck for investors since the end of March. The Horizons Marijuana Life Sciences ETF, the first exchange-traded fund focused on cannabis, has shed 40% of its value in a six-month period. And that's including the dividends the ETF has paid out.
Cannabis supply issues in Canada, high tax rates in select U.S. states that have given rise to the black market, poor operating results, and ongoing share-based dilution have been a four-headed monster that's sent a number of pot stocks up in smoke.