Will Marijuana Stocks Be Hurt By Another Pandemic
As of now, many marijuana stocks are facing another drop in the market. This past Monday the cannabis sector was hit by a significant drop in trading. The open on July 19th was not the best start to a new week of trading. Yet even with concerns about when the next bounce will happen another buying opportunity has emerged.
Currently with the entire cannabis sector down now is a great time to find the best marijuana stocks to buy. Right now cannabis stocks that normally trading at higher prices are showing good entry points. Once the sector begins to show better trading it will give investors the chance to see a solid return on their investment. Now part of the reason this drop has taken place is because of fears of a new pandemic.
In recent reporting, a new strain of the coronavirus called the Delta variant has investors on the run. Meaning shareholders and investors have now gone back to feeling unsure about the future. Back at the start of this recent Covid19 pandemic many people who invested in cannabis were not sure of how things would be. Yet during this time of the initial pandemic, cannabis businesses were deemed essential, and operations were left open.
With people home and not working it created a big demand for cannabis. Back in 2020 due to the increased cannabis sales some companies reported record-breaking sales. As well with continued success, some marijuana businesses were able to further expand its operation. However, some may feel things could be different if for any reason states go back into quarantine. Although luckily that has not happened yet as time passes things may soon start to pick for marijuana stocks. Especially with the potential of passing federal cannabis reform in the works.
Top Marijuana Stocks In The Market
Sundial Growers Inc.
Sundial Growers Inc. cultivates, manufactures, and provides cannabis-based health and wellness solutions, and derivative products. The company holds licenses in 19 jurisdictions in the United States and the European Union. It operates cultivation facilities, manufacturing facilities, and retail dispensaries. Looking back over the last 2 months in the market and SNDL stock has been working on sustaining better trading. The start of trading in May for SNDL stock began on the downside.
For the first half of the month, the company has difficulties pushing up in the market. It wasn’t until the start of the 2nd week of May when SNDL stock started to look better. From May 13th to 28th the company was able to close out May on the upside with some upward movement in the market. This upward momentum continued moving into June. Yet right after the 3rd of June, the company started to descend in the market.
Even with some volatile trading in June that led to small upticks SNDL stock dropped even more. Currently in July Sundial is still facing the same issues in the market. SNDL stock is faced with the challenge of trying to find more momentum in the market that will ultimately lead to better trading. As July is almost gone SNDL stock could see better market performance as trading in 2021 continues.
Columbia Care Inc.
Columbia Care Inc. cultivates, manufactures, and provides cannabis-based health and wellness solutions, and derivative products. The company holds licenses in 19 jurisdictions in the United States and the European Union. It operates cultivation facilities, manufacturing facilities, and retail dispensaries. Trading in May for CCHWF stock started out well for the first few days of May. Yet right after the 3rd of May CCHWF stock began to drop in the market. Now from the middle of the month to the end of May, there were some upticks in trading.
Yet it was not enough to reach more sustainable trading. The entire following month was a giant loss for the company. The whole month of June CCHWF fell even further in the market. Not one time during June was the company able to see any rise in trading to show some kind of life. Moving into the following month the company was still trying to find better trading momentum. The first week of July CCHWF was still down but was able to go on a short run that helped shareholders see some gains. From July 6th to the 14 the company saw a nice pick up in trading.
During that time CCHWF stock saw gains of 17 percent unfortunately the company was not able to further its climb. Once CCWHF stock reached its current high point for July it soon fell and remains down still. The hope among investors is that the sector-wide scare of another pandemic doesn’t impact the company. As well as any other marijuana stock to watch in 2021 and beyond. Yet only time will tell what will happen with marijuana stocks as trading continues in the sector.