Big-name marijuana stocks have remained at the forefront of investor’s minds throughout the past few years. The major reason behind this is simply that they are the most forward-facing. They may be large pot stocks, but that does not always guarantee growth. In fact, a lot of the potential in the marijuana industry tends to bee in places that one would not always think.
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But, it is worth looking at these large pot stocks, to determine where the cannabis industry is headed in the next few months. It’s also worth mentioning that there is little to no accuracy in any predictions made for the short term future. Because of the coronavirus, markets seem to be very much up in the air. This means that we don’t really know where things are headed next month or even next week.
Because of this uncertainty, it is best to think of investing as a long term practice rather than short term. Of course, if you are a trader that works off of swing trading, short term investing may be the right strategy. But for others who don’t trade daily, this may not be the best option. With all that said, these two pot stocks present interesting cases for investors if they are able to survive the short term. This survival is predicated upon having ample free cash, as well as a long term strategy.
A Big Name Pot Stock Turned Penny Stock
Aurora Cannabis Inc. (ACB Stock Report) was once a cannabis stock worth over $10. But, in the past six months, it has dropped by almost 80% in value, ending up at around $0.75 as of April 13th. In the past month though, it has been able to climb in value by almost 10% which may not seem like a lot, but given its past performance, it is substantial. The company has a lot going for it in terms of adversity and challenges ahead. For one, it is working on a strategy to help bring profitability into the picture within the next year or so. For now, though, it seems as though we are very far away from that.
Recently, it reportedly cut as many as 500 jobs from its roster while also idling massive amounts of cannabis production as well as the shutdown of construction of several facilities. The basis for this was and has been cost-cutting, but it seems as though the company is in need of more than just some basic finance restructuring. The company has a lot to work on for its balance sheet in order to seem like a solid pot stock to watch for investors. But, anything is possible in the future and Aurora still does hold a position as one of the largest cannabis stocks in the industry. So with that notion in mind, the company does remain relatively interesting.
A Leading Marijuana Stock With Real Potential
OrganiGram Holdings Inc. (OGI Stock Report) is a leading marijuana stock that has remained that way for quite some time. The company has definitely seen better days that those of the past few weeks but it does have a lot going for it moving forward. With the cannabis market as a whole scheduled to see as much as $50 billion within the next year, OrganiGram could receive a large portion of market share. The company has seen its valuation shift in the past few months but it did not have to do with its performance as a company. Rather, since it is one of the larger pot stocks, it often gets grouped in with the overall volatility levels that sweep thee whole market. 
One of the major factors that it has going is its method of growing cannabis. The company uses a tiered system that allows it to grow more cannabis per square foot than most other competitors in the cannabis market. Because of this, the company has received quite a lot of notoriety in the past year from investors around the market. Moving forward, it continues to be an interesting pot stock to watch.
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