MSOS - U.S. MSOs to rebound ahead of Republican-led bill for cannabis reforms - Cantor

As Republican Nancy Mace (R-SC) plans to file her cannabis reform bill on Monday, Cantor Fitzgerald predicts the U.S. MSOs will regain the lost momentum despite the recent weakness, “The tide will likely lift all boats,” the analyst Pablo Zuanic wrote, noting AdvisorShares Pure US Cannabis (MSOS +5.8%) – an ETF that closely tracks U.S. MSOs – has hardly risen above the pre-election level and has lost nearly 50% from February peak. However, in the event of a positive outcome to the bill, the analyst says he will prefer more established operators with scale and exposure to recreational cannabis. “Green Thumb (OTCQX:GTBIF +16.5%) fits those criteria,” Zuanic argued, noting the company’s Q3 results met analyst expectations for sales growth with stable margins. With a new approach to the valuation methodology, Cantor has raised the price target on the stock to $54 from $38 per share, implying a premium of ~147.7% to

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U.S. MSOs to rebound ahead of Republican-led bill for cannabis reforms - Cantor