The past several weeks in the marijuana industry have been some of the most volatile that we’ve seen. With intra-day trading seeing double digit gains and losses, it has been difficult to peg where to invest within the cannabis space. During mid-week on the last week of November, cannabis stocks seem as though they are finding their stride and balance for the time to come.
One of the largest issues in the cannabis space is the rampant volatility that has gone on. Marijuana is still considered to be an extremely infant market as large trading has only gone on for around a year or two. This coupled with the fact that marijuana predictions show billions in revenue increase in the coming year alone means that it doesn’t look like this volatility is slowing down anytime soon. Within the industry, however, several stocks have been able to perform above expectations as they offer large amounts of the physical product whose value can be pegged to a number.
One of the benefits of large fluctuations in price is that there is money to be made and subsequently lost. This is one of the reasons so many day-traders have decided to enter the marijuana stock space. With this, however, comes the risk of investing in any industry which should be of note. For this reason, investors who consider themselves to be more conservative should look at ancillary services for a safer and less volatile bet in the cannabis space.
Tidal Royalty Corp. (OTC:RLTY) has maintained a steady pace throughout its six months of being traded. The past month has been quite solid for the company with steady gains starting in mid to late October. Tidal Royalty presents themselves as one of the best options for starting a marijuana grow space. They are able to offer all of the services that can often be difficult to procure or deal with on ones own.
The company is also able to maintain a steady profit stream that is also highly predictable due to a series of cemented contracts. In addition to this, most of the royalty deals they have are set for the long term which means that steady growth could potentially be expected. At the least. Tidal Royalty represents a more stable way to invest in the cannabis space.
Origin House (NASDAQOTH:ORHOF) holds slightly higher amount of volatility than Tidal as they are a producer of the raw cannabis plant. Trading for the business only began only a few weeks ago as the company changed their identity to better reflect the services they offer. The company states that their mission is to become the “Preeminent global house of cannabis brands.”
Since that time however, Origin House has been able to outperform most players in the stock market as a major distributor of cannabis products around Canada and the U.S. The company is currently ranked as the top distributor of marijuana products in all of California. With as much as 130 products across 70% of dispensaries in California, Origin House has one of the largest exposures to an equally large market. The distribution business model is one of the most stable in the industry because it allows for a large amount of demand to fuel business. With California and Canada quickly proving their ranks amidst the larger cannabis industry, Origin House should continue to be viewed as one of the major strongholds of the marijuana stock market.
The recent bounce back in prices upwards of 5% has helped to show investors a new light for cannabis stocks. With so much potential for the future of the industry, any hint of stability in the market is one that will likely help to bring in even more investors.
Pursuant to an agreement between an affiliate of MAPH Enterprises, LLC (owners of MarijuanaStocks.com), Midam Ventures LLC and Tidal Royalty Corp, Midam is being paid $150,000 for a period of 30 days beginning October 1, 2018 and ending November 1, 2018. We own 0 shares of Tidal Royalty Corp. We may buy or sell additional shares of (TDRYF/RLTY.CN) in the open market at any time, including before, during or after the Website and Information, to provide public dissemination of favorable Information about Tidal Royalty Corp. Please click here for full disclaimer