It’s expected that between 2019 and 2027, the global marijuana industry will grow at a compound annual growth rate of 18.1%. By 2027, the market is expected to be worth $73.6 billion. Given the big potential for growth, marijuana stocks have been in focus.
However, marijuana stocks have been on a decline since March 2019, thanks to slower-than-expected growth and regulatory headwinds.
Even with near-term challenges, the outlook for the industry remains bright. As marijuana stocks bottom out, it’s a good time to accumulate some quality stocks.
Let’s have a deeper look at three names in particular:
3 Marijuana Stocks to Buy: Aurora Cannabis (ACB)
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Like other marijuana stocks, ACB stock has been on a sustained decline in the last one year. However, I believe that there are several positive triggers on the horizon.
One of the biggest challenges for Aurora Cannabis has been the high rate of cash burn. This has translated into equity dilution and value erosion. With the company working on the business transformation plan, the cash burn is likely to decline significantly in the coming quarters. The company is also targeting positive adjusted EBITDA by the first quarter of 2021.
In December 2019, Aurora Cannabis initiated the rollout of cannabis 2.0 products. The products include edibles, vape pens and other derivatives. These…
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Source: https://mmpconnect.com/3-marijuana-stocks-still-worth-your-time/
