The Canadian adult-use marijuana market has been taking off during the past few months. In only a short period of time since last October, Canada has become the world leader in marijuana legislation. On October 17th, Canada became the first G7 nation in the world to broadly legalize recreational marijuana.
This was not only groundbreaking, but it helped to set the tone for the rest of the world’s weed laws. Some have stated that within five to ten years, the industry should be hitting as much as $10 billion per year. In the U.S., that number is subject to be in the triple-digit billions within ten or so years.
The industry has continued to grow substantially over the few months that it has been around. During October, sales were around $41 million. By May of this year, sales had skyrocketed to over $65 million. This type of growth has set a precedent for what the future could be.
A Marijuana Stock That Could Benefit Moving Into the Future
Canopy Growth (NYSE:CGC) is a Canadian marijuana stock that has chosen to list on a large U.S. stock exchange. The company has proven itself to be one of the leaders in the marijuana stock market overall. With billions in free cash, Canopy Growth remains one of the top 5 cannabis companies in the whole of the market.
Recently, the CEO of the company stepped down to allow for new leadership. With the former co-CEO Mark Zekulin now taking leadership, it seems like there is a new era for Canopy Growth. If Canopy Growth is able to maintain their position at the top, the company could shoot up to number one in the near future. The company is still waiting to see what will happen with the new CEO, but given their positioning things look like they could remain good.
One of the main benefits of the company is that they have been working to move into the U.S. market on a broad scale. This could see them benefitting from the massive growth in the U.S. marijuana stock market in the next few years.
Where the Canadian Cannabis Market is Going
It is clear that Canadian marijuana is here to stay. One of the issues is that the country only legalized dried cannabis and a few other products. This does not include edibles or vaporizable products which are some of the highest margin products in the industry. If Canada is able to put in proper legislation into this side of the market, cannabis could have an even better chance at success.
For now, all remains dependent on new laws. Canada was the first nation to legalize marijuana, but as of now, they are lacking in the legal department. The hopes are high that they can continue to climb overall moving into the near future. Only time will tell how long they can remain at the top of the market as we enter the next few years.