For the longest time, marijuana stocks were virtually unstoppable. With tens of billions of dollars in sales conducted annually in the North American black market, it seemed only logical that legalizing cannabis in Canada and select U.S. states would lead to a rapid acceleration in revenue and market value for pot stocks.
Unfortunately, Wall Street and investors overlooked the fact that every next-big-thing investment needs time to mature. For the past 17 months, growing pains have walloped marijuana stocks, with supply issues persisting throughout Canada and high tax rates on legal product in select U.S. states making it difficult for licensed producers to compete against the black market.
But the tide may be shifting.