Top Cannabis Stocks For Q4 2021
When it comes to marijuana stocks there are some also considered meme stocks to Reddit and Robinhood investors. For the most part retail investors that use these platforms to either get investing information or as a trading platform helped propel some top cannabis penny stocks in 2021. In the first quarter of 2021, the cannabis sector saw significant upward momentum until mid-February. After that pot stocks have been declining in the market and are currently at some of the lowest market values, they have seen in 2021.
Now heading into September cannabis investors are waiting for the sector to show a reversal from this declining trend. So far in 2021 strong earnings have not delivered any upside in the market for the cannabis sector. Since the election, top marijuana stocks have seen gains on the possibility of federal cannabis legalization. Now heading into September, the one area that could produce short-term gains for investors in marijuana penny stocks.
For those investors not familiar with penny stocks these are any stocks trading under the $5 price point. For the most part, this area of the market is known to have substantial market volatility and is mainly traded by investors on a short-term basis. In many cases, investors use swing trading and day trading methods to produce returns trading top penny stocks.
Are Cannabis Penny Stocks Setting Up For A Rebound Right Now?
In the first quarter, top cannabis penny stocks rallied in the market the strongest but have now declined significantly. In the event, federal cannabis reform talks pick back in the 4th quarter of 2021 the cannabis sector could see significant upside from current levels. Before investing in penny pot stocks, it’s important to research the companies you are in before starting a position.
Getting familiar with how a stock performs in the market and the company’s earnings can help you find the best investments. At the present time, Reddit investment groups like Wall Street Bets have begun focusing on some of the top meme stocks that gained momentum before.
With some possible catalysts for cannabis stocks in the future, we could make a list of top marijuana penny stocks to close out in August. Investing in marijuana penny stocks gives the trader the ability to create a larger position with much less capital than higher-priced equities. Let’s take a closer look at 2 top marijuana penny stocks this week for your watchlist.
Top Marijuana Penny Stocks Before September 2021
Sundial Growers Inc.
Sundial Growers Inc. engages in the production and marketing of cannabis products for the adult-use market in Canada. Primarily, the company manufactures and distributes inhalable products, such as flowers, pre-rolls, and vapes. On August 12th Sundial reported its Q2 2021 financials with net revenue for the cannabis segment of $9.2 million. For the company’s investment fee revenue Sundial made $5.7 million and $3.7 million in profit from equity investments. In total the company saw net revenue of $18.6 million in Q2 2021. Specifically, this produced gross cannabis revenue of $12.7 million an increase of 8% sequentially. In Q2 2021 Sundial sustained a net loss of $52.3 million and an adjusted EBITDA loss of $0.2 million.
Words For The CEO
“Following Sundial’s restructuring in 2020, we have been able to rapidly reshape the business model to focus on a two-pillar strategy that we believe will position our shareholders for future success,” said Zach George, Chief Executive Officer of Sundial. “The first pillar is comprised of our core cannabis operations which are now vertically integrated with the acquisition of the Spiritleaf retail network. Our upstream cultivation results within our indoor modular facility continue to improve amidst the intentional reduction of activity and we are excited about targeted innovation that we plan to introduce later this year.”
SNDL stock is trading at $0.7729 on August 25th up 7.95% in the past five trading days. The stock has a 52-week price range of $0.138-$3.96 and is up 62.62% year to date. According to analysts at CNN Business SNDL stock has a 12-month median price target of $0.75 per share. In essence, this would represent a decline of 3.25% from its current trading price of $0.77. Earlier in 2021 SNDL stock saw significant upside when it gained notoriety as a meme stock with Reddit and Robinhood investors.
Cansortium Inc. is an MSO cannabis company focusing on providing the highest quality marijuana in the state of Florida. At the present time, the company has established operations in Texas, Michigan, and Pennsylvania. The company is expanding its presence in Florida and Pennsylvania fully funded by a recent debt and equity financing of $90 million. In July, the company opened its newest dispensary in Deerfield, Florida. Right now, Cansortium has 26 operational dispensaries in Florida giving it a sizable presence in the state.
The company expects to have a total of 27 operational dispensaries by the end of 2021. In addition, its brand the Fluent has produced a wide variety of premium dried flowers, edibles, and full-spectrum concentrates cartridges, and creams. On August 24th Cansortium released its Q2 2021 results with revenue up 24% year over year to $16.5 million. Additionally, the company reported an adjusted EBITDA of $5.2 million. Adjusted gross profits increased 24% to $10.7 million or 65.1% of revenue.
CNTMF stock is trading at $0.70 on August 25th down 6.49% in the last five days. The stock has a 52-week price range of $0.549-$1.35 and is down 16.28% in the last month. According to analysts at Tip Ranks CNTMF stock has a 12-month average price target of $1.30 per share. Currently, this would be a gain of 85.71% from its current trading level. With this in mind, CNTMF stock could be one of the best marijuana penny stocks for your list right now.
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