Investing In Top Marijuana Stocks In Mid-July 2021
Are you looking for top cannabis stocks to invest in this summer? To close out this week the best marijuana stocks to buy have given back some of the upside established in June. For several months most of the cannabis sector has been consolidating near their lowest stock prices this year. As a result, many pot stocks could be trading at price points that may produce significant returns for investors.
For the most part since the pandemic, the cannabis industry has been expanding at a rapid rate. At the present time, mergers and acquisitions have fueled quick expansions into key markets and have also created much larger cannabis companies. In today’s market, the cannabis sector has mostly rallied around federal cannabis reform and legalization. Since the presidential election top pot stocks have seen significant upside on the notion that changes to federal cannabis policy will bring an open cannabis industry to the US.
At the present time, lawmakers have been introducing cannabis reform legislation in Congress. Currently, the MORE Act and The SAFE Banking Act have already gained passing votes in the House and are waiting for a Senate vote. In addition, Chuck Schumer has been discussing introducing another cannabis reform bill sometime in 2021.
American Cannabis Legalization And Federal Cannabis Reform In 2021
As possible federal cannabis reform brews, this could be a catalyst that pushes the best cannabis stocks in 2021 closer to recent highs. But before investing in marijuana stocks there are a few important factors to consider. For one the cannabis sector is known for having extreme market volatility. Because of this, it is important to research these cannabis companies thoroughly and find the best entry point for your investment.
This includes looking at a company’s financial results and studying how the stock performs in the market. With this in mind, we can begin to look at cannabis companies that could have future growth in the US. As more states legalize marijuana use the market continues to expand in the US regardless of federal reform. Currently, these companies are well-positioned to take advantage of the growing cannabis industry. As we close out the week let’s take a closer look at 2 top marijuana stocks for your watchlist in July.
Best Marijuana Stocks To Watch
TPCO Holding Corp.
TPCO Holding Corp. is a vertically integrated cannabis company with one of the largest operational footprints in California. Known as The Parent Company, TPCO is composed of direct-to-consumer platform Caliva and hemp manufacturer Left Coast Ventures. The company has a global icon and entrepreneur Shawn Jay-Z Carter as Chief Visionary Officer and brand strategist. Currently, the company houses over 17 brands offering over 250 SKUs in a variety of forms of different cannabis products. Also, TPCO is has established Social Equity Ventures a platform with $10 million in funding. The company will make an annual contribution of at least 2% to rectify cannabis prohibition and diversify the business leadership and workforce in the cannabis industry.
In its latest earnings, TPCO delivered its first quarter of 2021 results with consolidated net sales of $39.9 million and adjusted net sales of $46 million. At that time, the company maintained a leading balance sheet with $281 million in cash. In the first quarter of 2021, TPCO saw a gross profit of $7.2 million or 18% of net sales. In July the company announced it would terminate a $50 million strategic investment of Glass House after the company merged with Mercer Park Brand Acquisition Corp.
GRAMF stock closed on July 8th at $5.40 down 46.64% year to date. In February GRAMF stock reached a high of $13.96 and has declined 13.18% in the last 30 days. According to analysts at Market Beat GRAMF stock has a consensus price target of $12.50 per share. This forecast would represent an increase of 131.5% from its last trading price. For this reason, GRAMF stock is a top cannabis stock to add to your watchlist right now.
Charlotte’s Web Holdings, Inc.
One of the market leaders in Hemp CBD wellness products in the US is Charlotte’s Web Holdings, Inc. As it stands the company has held its leading industry position in the US market for quite some time. Charlotte’s Web has premium quality products that are made with American farm-grown hemp genetics and manufactured into hemp extracts. In the US market, the company is the number one CBD brand with distribution through more than 22,000 retail locations across the nation. Recently, Charlotte’s Web released its first-quarter 2021 earnings with consolidated revenue of $23.4 million. This is an increase of 9.1% compared to the $21.5 million in Q1 2020.
Additionally, the company’s, DTC eCommerce sales increased 14.5% from the prior year. Relatively speaking, these eCommerce sales have contributed 68.9% to first-quarter revenue. In June, the company appointed former Canopy Growth executive Tim Saunders to the board of directors. This follows another new appointment of Wes Booysen as Chief Financial Officer. Last month Charlotte’s Web made an exclusive multi-year agreement to be available at 140 plus Life Time Athletic Clubs and premier events across the US.
CWBHF stock closed on July 8th at $3.4029 up 3.11% year to date. Down 25.86% in the last 30 days In February, the stock reached a high of $7.00. According to analysts at Tip Ranks CWBHF stock has a 12-month average price target of $5.00 per share. This would represent an increase of 46.93% from its last trading price. As we head into a new era of cannabis industry growth in the US CWBHF stock is a top pot stock to watch in July.