Are Top Cannabis Stocks A Buy At Current Levels?
After the recent decline in top marijuana stocks are you looking for ones to buy? For the past ten months, we have seen the cannabis sector sustain significant declines because of the delays with federal cannabis reform. Regardless of delays leading cannabis companies have grown significantly in 2021. In November many companies delivered strong earnings that continue to show the cannabis industry is growing in the US on a state level.
As new markets become available for US consumers these companies are expanding rapidly across the American market. From current trading levels, many analysts are forecasting substantial upside for the best cannabis stocks to buy. But the only momentum seen this year for pot stocks has come because of the end of prohibition. It seems that without passing federal marijuana legalization in 2021 the cannabis sector will not see any upward momentum.
After the announcement of GOP-led legislation the States Reform Act, we saw top marijuana stocks see some upside in November. But once that legislation was met with opposition from leading Democrats that run was cut short. Now, most top-tier US marijuana stocks are trading near the lowest levels they have seen in 2021. For new investors, this could be a good time to make a list of top cannabis stocks to watch this week.
Investing In Pot Stocks And Becoming A Better Trader
Before investing in marijuana stocks, it’s important to do your own due diligence on a company. Researching a company’s earnings and press releases can help you find the best-performing companies in the industry. In addition, studying how a stock performs in the market can help you establish the best entry points for your trades. As the cannabis sector continues this downtrend pot stocks could have upside soon.
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Although at the present time it seems unlikely, we reach a bipartisan federal cannabis reform solution in 2021 it seems more possible things happen next year. With the market showing mixed emotions yesterday rallying in the morning then pulling back later in the day this we could see more declines for pot stocks. Let’s look at 2 top US marijuana stocks to watch before Thanksgiving.
Best US Marijuana Stocks To Watch Right Now
- Green Thumb Industries Inc. (OTC: GTBIF)
- Curaleaf Holdings, Inc. (OTC: CURLF)
Green Thumb Industries Inc.
First, on the list, Green Thumb Industries Inc. is a leading cannabis consumer packaged company that has established a large footprint across the US cannabis market. Currently, Green Thumb has 65 retail locations across 13 states and recently opened its third store in New Jersey. Additionally, GTI has licenses for 111 retail locations for future expansions. In Q2 GTI opened a Cookies on the Las Vegas Strip through an exclusive partnership with the privately-owned Cookies Brand. Also, Green Thumb announced it closed the acquisition of Dharma Pharmaceuticals and is entering the Virginia cannabis market as well.
In November Green Thumb Reported third quarter 2021 results with revenue of $233.7 million up 48.7% year over year. Primarily, this marks the fifth consecutive quarter of positive GAAP net income of $20.2 million or $0.08 per diluted share. In addition, the company had an adjusted operating EBITDA that grew to $81.2 million or 34.7% of revenue. As it stands Green Thumb ended the third quarter with cash totaling $285.8 million. The company was driven by the expanded distribution of Green Thumb branded products and increasing traffic in the 65 operating dispensaries.
GTBIF stock closed at $20.65 on November 22nd down 8.99% for the past five trading days. Currently, the stock has a 52-week price range of $18.40-$39.11 and is down by 15.71% year to date. According to analysts at Tip Ranks GTBIF stock has a 12-month average price target of $45.95 per share. In this case, this would represent an increase of 122.52% from its last trading level. For cannabis investors, GTBIF stock could be one of the best marijuana stocks to buy in 2021.
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Curaleaf Holdings, Inc.
Curaleaf Holdings, Inc. is a US multi-state operator that provides packaged cannabis products and operates 111 retail locations nationwide. Additionally, the company has also begun expanding with Curaleaf International advancing the accessibility of medical cannabis products in Germany through its wholly-owned subsidiary Adven GmbH. The company has the popular brand Select as one of its leading brands in the US. In November Curaleaf expanded its presence in three states with the acquisition of Tryke Companies. This acquisition adds assets in Arizona, Nevada, and Utah.
On November 8th Curaleaf reported its third-quarter 2021 results with revenue of $317 million up 74% year over year. In detail, the company had an Adjusted EBITDA of $71 million an increase of 69% year over year. In addition, Curaleaf had Q3 2021 cash flow from operations of $52 million or 16% of revenue. As a result, gross profits in Q3 2021 on cannabis sales was $144 million up 61% year over year. The company also closed the acquisition of Los Suenos Farms bringing its current cultivation capacity to 4.4 million square miles and retail locations to 111.
Words From The Executive Chairman
“During the third quarter, we delivered record revenue of $317 million, representing 2% sequential and 74% year-over-year growth. We also generated $52 million of positive operating cash flow. While we faced some transient headwinds during the quarter, we continued to execute well against our strategic initiatives, prioritizing growth and gaining market share. As a result, we remain on track to achieve our $1.2 to $1.3 billion annual revenue guidance, albeit at the lower end of the range, representing growth of over 90%. Strategic M&A remains a key pillar of our growth plan. We closed the Los Sueños Farms acquisition in October, and today announced another highly strategic deal to acquire Tryke Companies, a vertically integrated MSO which bolsters our leadership position in Nevada, Arizona, and Utah and will be immediately accretive to our margins and cash flow.”
Boris Jordan, Executive Chairman of Curaleaf
CURLF Stock Performance
CURLF stock is closed at $9.68 on November 22nd down 33.20% in the past six months. At the present time, the stock has a 52-week price range of $8.81-$18.38 and is down 19.14% year to date. According to analysts at Market Beat CURLF stock has a consensus price target of $22.38 per share. This forecast represents an upside of 131.1% from its last trading price of $9.68. As the cannabis sector continues to trade at lower levels US marijuana stocks to buy could be the best exposure to the current cannabis industry.
MAPH Enterprises, LLC | (305) 414-0128 | 1501 Venera Ave, Coral Gables, FL 33146 | new@marijuanastocks.com
