Canadian Cannabis Stocks In 2021
Are you looking for top marijuana stocks to buy before September? Currently, the best cannabis stocks to invest in have begun showing some upside this week. For the past six months, the cannabis sector has been declining in market value. This has left many top pot stocks trading at some of their lowest price points in 2021. On the other hand, leading cannabis companies have been delivering strong revenue growth in this latest round of earnings.
Although this has not affected how pot stocks trade in the market it does significant growth in the cannabis industry. One area that has seen significant declines in the market for the last several months is top Canadian marijuana stocks. In Canada, cannabis sales continue to show growth in the market in 2021. During June Canadian cannabis sales increased 58.5% to a record C$318.7 million.
In general, most leading Canadian cannabis companies have established entry into the US cannabis market once they are able to. Currently, the hold-up in Congress for federal cannabis legalization has taken its toll on the cannabis sector. Earlier this year many retail investors jumped into cannabis stocks with the belief they would pass federal cannabis reform quickly. Now after eight months of waiting more investors have found value in other areas of the market.
Best Canadian Marijuana Stocks Before September 2021
With the markets at new highs and marijuana stocks at yearly lows, it could be time to make a list of top marijuana stocks before September. Before investing in the cannabis sector, it’s important to do your own due diligence before investing. Researching a company’s financials and studying how the stock performs in the market can help you make the most gains on your positions. In general, the best marijuana stocks to invest in are known for having significant market volatility. This has attracted many short-term investors who use swing trading and day trading methods to trade pot stocks.
In recent trading, these Canadian cannabis stocks have begun to see some upside in the market. Although it seems US federal cannabis reform is on the back burner for now the market continues to grow. In the future federal cannabis legalization could be a major catalyst for top Canadian marijuana stocks. Whether it happens this year or the next some form of federal legislation could be implemented soon. Let’s look at 2 top Canadian marijuana stocks for your list before September 2021.
Top Canadian Cannabis Stocks To Watch Right Now
Canopy Growth Corporation
At the present time, Canopy Growth is one of the largest producers and distributors of cannabis and cannabis-derived products in the Canadian market. In general, the company sells cannabis and hemp-derived products in Canada, the US, and Germany. Recently, the company made a US distribution agreement with Southern Glazers Wine & Spirits for a CBD beverage portfolio. Additionally, in the Canadian market Canopy increased its brand portfolio with the acquisition of one of the countries premium cannabis brands The Supreme Cannabis Company, Inc.
In August Canopy released its first-quarter fiscal 2022 financial results with 23% growth in Q1 2022 compared to Q1 2021. Specifically, the company is reporting net revenue of $136 million in Q1 2022 driven by strong double-digit growth across Canada. Canopy reported total net cannabis revenue of $93 million in Q1 2022 an increase of 17% from the prior year. In addition, other consumer products revenue was $43 million. Currently, net earnings in Q1 2022 are $390 million of which $518 million was driven by other income totaling $581 million during Q1 2022. The company saw an adjusted EBITDA loss in Q1 2022 of $64 million an improvement from Q1 2021.
CGC stock closed on August 24th at $17.76 down 9.58% in the last month. The stock has a 52-week price range of $13.83-$56.50 and is down 28% year to date. According to analysts at CNN Business CGC stock has a 12-month median price target of $20.18 per share. Currently, this would be a 13.64% upside from its last trading price of $17.76. As the cannabis sector begins to improve CGC stock could be one of the best Canadian cannabis stocks to add to your list this week.
OrganiGram Holdings Inc.
In Canada, OrganiGram Holdings Inc. is one of the leading licensed producers of cannabis and cannabis-derived products. Specifically, the company is known for producing high-quality, indoor-grown cannabis products to both the medicinal and recreational markets. Generally, Organigram is strategically developing its international business partnerships increasing the company’s presence in the global market. In the meantime, the company is also growing its wholesale shipping of cannabis and sells products online. Currently, OrganiGram has produced 84 new SKUs since July 2020 as a part of revitalizing its products portfolio. The company launched Big Bag o’ Buds an indoor-grown strain-specific dried flower in 28g format.
On August 25th the company announced the launch of SHRED’ems a high-quality and boldly flavored lineup of cannabis-infused gummies. Organigram reported its third-quarter fiscal 2021 results with gross revenue up 51% sequentially to $29.1 million. The company grew its adult-use recreational net revenue by 40% sequentially to $16.8 million in Q3 2021. As of now the company expects sequentially higher revenue and improved adjusted gross margins in Q4 2021. Also important, the company expects to launch more than 20 new SKUs before the end of Q4 2021.
OGI stock closed on August 23rd at $2.65 up 7.72% in the past five days. The stock has a 52-week price range of $1.01-$6.45 and has gained 99.25% year to date. According to analysts at Tip Ranks OGI stock has a 12-month average price target of $3.69 per share. In essence, this would represent an upside of 39.25% from its last trading price of $2.65. With this in mind, OGI stock could be a top Canadian marijuana stock for your watchlist right now.