2023-05-08 11:30:01 ET
Best Cannabis Stocks To Invest In For 2023
Do you want to invest in the top marijuana stocks while they rise in May? Bipartisan US House and Senate senators revived the SAFE Banking Act this month, which has rekindled the cannabis sector. One industry that might offer short-term benefits for novice investors is cannabis penny stocks. A penny stock is any stock that is traded for less than $5. Despite the industry’s well-known high level of market volatility, short-term investors might nonetheless anticipate generating sizable returns.
The marijuana market is predicted to continue growing in the future, just as it has in recent years. Many individuals think marijuana has a lot of medical and recreational purposes, and it might grow into a highly profitable industry. However, given that the marijuana business is anticipated to expand at a compound annual growth rate of at least 25% until the year 2030, many investors are searching for investment options.
The American cannabis market is one industry that will expand significantly. Investors can profit from the market’s momentum by utilizing the sector’s rebound. Below is a list of the top 3 marijuana stocks to watch in May .
Top US Marijuana Stocks To Watch 2 nd Week Of May
- Green Thumb Industries Inc. ( OTC: GTBIF )
- Curaleaf Holdings, Inc. ( OTC: CURLF )
- TerrAscend Corp. ( OTC: TRSSF )
Green Thumb Industries Inc.
A significant player in the cannabis consumer packaged goods (CPG) market in the US is Green Thumb Industries Inc. Green Thumb currently operates 77 stores throughout 15 states. GTI will soon have 111 retail licenses, with more on the way. In accordance with the conditions of the first agreement with the privately held Cookies Brand, GTI will open a Cookies on the Las Vegas Strip in 2021. After successfully acquiring Dharma Pharmaceuticals, Green Thumb has announced the opening of its marijuana business in Virginia. The business entered the Minnesota market by acquiring Leafline Industries. The company unveiled its 79th Rise location in April.
Revenue for the first quarter of 2023 from Green Thumb increased 2.4% year over year to $248.50 million in May. When compared to the first quarter of 2022, overall retail revenue increased by 9.4%. On a base of 73 locations, first quarter 2023 comparable sales (stores open at least 12 months) climbed 6.3% over the same period in the previous year. Gross sales of consumer-packaged goods grew 4.3% from the first quarter of 2022. In addition, compared to last year’s period, the gross profit for the first quarter of 2023 was $124.7 million, or 50.2% of revenue, as opposed to $122.9 million, or 50.7%. Price compression was the leading cause of the fall in gross margin.
GTBIF Stock Performance
On May 5 th, GTBIF shares finished at $8.58, up 20.51% in the trading month. Currently, the stock has a 52-week price range of $6.60-$16.50 and is down 0.69% year to date. According to analysts at CNN Business, GTBIF stock has a 12-month average price target of $15.45 per share. In this case, this would represent an increase of 80.13% from its last trading price of $8.58.
Curaleaf Holdings, Inc.
Curaleaf Holdings, Inc., a multi-state cannabis merchant with 148 retail locations around the country, manufactures packaged cannabis products. Medical marijuana products are being legally promoted in Germany by Adven GmbH, a completely owned subsidiary of Curaleaf International. Curaleaf’s Select is one of the most well-known brands in the nation. Curaleaf purchased Tryke Companies in November to expand into three more states: Arizona, Nevada, and Utah. On December 7, a groundbreaking collaboration in cannabis education was revealed by the Cannabis Sommelier Certification Program, Ganjier, and the Grassroots brand.
On May 1st, Curaleaf released financial 2022 results for the fourth quarter. In particular, the business established the fiscal year 2022 records for revenue and adjusted EBITDA of $1.34 billion and $305 million, respectively, up 17% and 12% from the previous year. Additionally, the business generated a $579 million gross profit with a gross margin of 43%. Curaleaf Holdings, Inc.’s net loss was $370 million, or $0.52 per share. Overall, the business generated $352.5 million in net revenue for the fourth quarter of 2022, an increase of 4% from the previous quarter and 14% from the previous year. The business suffered a net loss of $260.3 million, or $0.36 per share, in the fourth quarter of 2022.
CURLF Stock Performance
On May 5 th , CURLF shares closed at $2.80, up 10.67% in the past month of trading. The stock is currently trading in a 52-week range of $2.19-$7.90, down 34.84% year to date. According to analysts at CNN Business, CURLF stock has a 12-month average price target of $5.05 per share. In this case, this would represent an upside of 80.20% from its last trading price of $2.80.
TerrAscend cultivates and distributes marijuana in the United States and Canada for medical and recreational reasons. The corporation, which includes operations in Pennsylvania, New Jersey, and California, is a significant cannabis grower in the US. Production and sales of artisan cannabis items and hemp and cannabis-infused goods are the company’s main objectives. Under the Kind Tree brand, TerrAscend has produced a range of interests in Maryland. The Kind Tree brand’s product line, now grown in Maryland using 15 different flower kinds, will soon include vapes and half-gram pre-rolls.
TerrAscend announced fourth quarter 2022 net revenue records of $69.0 million in March, an increase of 50.3% compared to the prior year and 4.2% compared to the prior quarter. The gross profit margin was 44.6%, down from 47.0% in the third quarter of 2022 and 49.1% in the fourth quarter of 2021. A GAAP net loss from continuing operations of $2.0 million was reported, as opposed to net losses of $1.2 million in Q4 2021 and $300.6 million in Q3 2022.
Additionally, overall net revenue for the fiscal year 2022 climbed by 27.6% to $247.8 million. In contrast to the GAAP Net Loss from Continuing Operations in 2099.4 million, net income in 2021 was $15.7 million. For the Company’s Michigan division in 2022, a non-cash impairment charge of $311.1 was made against goodwill and intangible assets. TerrAscend and Cookies expanded their collaboration in April to deliver the best genetics to Maryland. The company is scheduled to release its first quarter 2023 results on May 11 th after the close.
TRSSF Stock Performance
TRSSF stock closed at $1.81 on May 5 th , up 24.83% in the past month of trading. Currently, the stock has a 52-week price range of $1.00-$4.19 and is up 60.18% year to date. According to analysts at CNN Business, TRSSF stock has a 12-month average price target of $2.10 per share. In this case, this would represent an upside of 16.09% from its last trading price of $1.81.
Top US Pot Stocks To trade In May 2023
Many things are projected to happen in the next few months that could increase the value of these marijuana stocks in 2023. Examining their financials and press releases may make it easier to identify the best cannabis businesses. To benefit from the recent market volatility, many seasoned traders are actively putting short-term wagers in the leading cannabis companies. Using technical indicators and chart patterns, choose the best entry and exit criteria before beginning a trade. You can raise your chances of making lucrative trades by actively looking for favorable market conditions. These could be some of the top US cannabis stocks to watch in 2023 .