If you're looking at a wall of red in the investing account where you hold your cannabis stocks and wondering whether you've made a series of terrible mistakes, you aren't alone. As a group, marijuana stocks have eaten dirt this year, with the return of the AdvisorShares Pure US Cannabis ETF (NYSEMKT: MSOS) collapsing by more than 50%. Worse yet, with inflation rising and consumers' wallets looking a bit too thin to justify spending money on cannabis, there isn't necessarily any great recovery to look forward to in the near term.
Does that mean it's time to cut your losses and sell your shares? In large part, it depends on how long you're willing to wait.
At the moment, there are a couple of problems for cannabis companies that make the prospect of selling especially appealing. First, as mentioned before, is inflation leading to crimped demand. Take a look at this chart showing the growth of quarterly revenue for a handful of the industry's leaders:
For further details see:
Is Now the Right Time to Dump Your Cannabis Stocks?