It Might Just Be The Right Time to Bet on Cannabis Once Again.

Cannabis stocks have created significant investor wealth over the years. Stocksthat have generated staggering returns include; Canopy Growth, Aurora Cannabis, Aphria and Hexo.

Rob Davies who writes for the Guardian, once wrote, “To listen to some of the predictions about the future of the cannabis industry, you would think financial analysts had been partaking heavily of the product.”

According to The Motley Fool, “Cannabis stocks gained tremendous value just before legalization in October 2018. While ACB rose 90% between December 2017 and October 2018, Canopy was up 97% between December 2017 and September 2018. Hexo rose 150% between January last year and April 2019, and Aphria gained 230% between October 2017 and January 2018.”

Based on the figures above, investors have grown optimistic that cannabis has become a huge market opportunity, especially as cannabis edibles prepares to hit the shelves by the end of the year 2019. At that time, consumers will have the option of choosing from a range of products such as concentrates, vapes, and topicals in addition to edibles.

It is speculated that consumers who do not quickly take the chance of investing in the cannabis industry right now, might be missing out on one of the biggest opportunities in Canadian investing history. Buying Cannabis stocks have become another popular way of making money in 2019, just as popular as using casino coupon codes Ca.

A report by Arc View states, “Consumer spending on cannabis-based food and drink reached an estimated $1 billion in 2017 in the United States and Canada, representing about 11.4% of the total $9.1 billion in consumer spending on consumable cannabis in those two markets.”

Looking further than Canada, the London-based analysis firm Prohibition Partners reports that the European cannabis market will be worth €123bn (£106bn) by 2028. This number is over double the revenues that Apple reported in the region last year and a lot more than the annual economic output of Ukraine.

It is apparent that other countries have joined to explore the cannabis industry; there is more than enough space in the market for everyone. Alexandra Chong, chief executive of Jacana, a medicinal cannabis company that grows on a farm in Jamaica, quoted on the Guardian said her firm recently raised $20m from venture capitalists, including some that had made returns on her last major venture, the dating app Lulu.

“Black market cannabis cannot enter the legal market,” Chong said. “The medicinal cannabis tracking systems go all the way from seed to sale and the regulation on this industry right now is very tight. If I need to cull a plant, the regulator has to come and watch me cut it down.”

There are restrictive legal frameworks existing in the US and Canada markets, which are one reason why supply is still more than demand.

“Patients are in need of this product and there’s a huge supply shortage,” said Chong. “It’s taken Canada 10 years and they still can’t supply their own market, which is 30 million people. There are 48 countries today that have legalized medicinal cannabis and we're a very long way away from being able to fill the demand. Legalization is happening very quickly and production can't keep up."

Mathieu Blake

Mathieu Blake - Internet Entrepreneur, loves technology, sports, the Montreal Canadiens, Poker, Poker chips, current events and travel. You will often find him Writing about different topics that interest him on websites and blogs. To submit an article, contact the website directly.