With cannabis stocks beating the stock market by a whopping 221% this year, the industry is riding a high. The United States Marijuana Index has gained over 160% in the last 12 months. With legal cannabis spending expected to rise to $32B in 2022, and Canada set to legalize cannabis usage tomorrow, it seems like a good time to invest in the world’s most popular recreational drug.
Here, we look at the top 5 marijuana stocks and their performance this month.
Marijuana stocks rallied yesterday after Canopy Growth [CGC] announced its acquisition of hemp company Evergreen. This acquisition will most likely help Canopy to expand into consumer products.
Shares of Canopy Growth surged 14% yesterday to close at $56.89.
Market Cap: 13.09B
Gain in Oct.: 17%
Total Gain in $ for 2018: $7.6B
Tilray [TLRY] was listed on NASDAQ in July this year and has been volatile since its IPO. The stock rose 11.7% yesterday to close at $165.64. Tilray was the first cannabis company to be listed on a major US exchange.
While Tilray has not ventured into recreational sales, it is a major player in the medical cannabis space. Tilray’s subsidiary (High Park Holdings) announced three new brands for the Canadian markets.
Market Cap: 15.4B
Gain in Oct.: 15%
Total Gain in $ for 2018: $13.3B
Shares of Cronos Group [CRON] climbed over 19% yesterday to close trading at $11.74. The company announced a partnership with a tech institute in Israel where researchers will look at the potential advantages of using cannabinoids products for skin and health related diseases.
Market Cap: 2.1B
Gain in Oct.: 5.6%
Total Gain in $ for 2018: $720M
MariMed [MRMD] has been one of the most attractive penny stocks. MariMed is traded over the counter and has risen from $0.37 to $4.86 in the last one year. MariMed reported revenue of $5M in the first half of 2018 and managed to generate impressive operating profits of $1.1M.
Market Cap: 948.81M
Gain in Oct.: 30%
Total Gain in $ for 2018: 814M
The stock rose a significant 11% yesterday to close trading at $11.68.
Market Cap: 11.2B
Gain in Oct.: 22%
Total Gain in $ for 2018: 3.9B
CNBC: Here’s Why WeWork Wants To Go Public
News broke recently that WeWork’s going public in September. In this video, CNBC breaks down why they’re going public.
Before you watch, though, here’s some context.
WeWork’s recent S-1 filing — the paperwork you file with the SEC right before you go public — had the entire internet up in arms, including ourselves, trying to decode how the heck WeWork justifies its insane valuation.
Considering, ya know, IWG, a direct competitor, has nearly double the revenue, five times the members, is $2.5B ahead on the bottom line and…well, you can sort of see where this is going.
Despite earning an insane $47B valuation this year, it’s bleeding dough. Yes, WeWork grossed $1.8B in 2018…but it also lost $1.9B.
Be that as it may, WeWork is going public this year (via parent company “The We Company”), the latest in a string of high-profile tech IPOs in 2019.
And speaking of tech. Despite numerous “tech” mentions in the S-1, critics are claiming WeWork is little more than a real estate company.
As far as the We losses go, CFO Artie Minson told CNBC that investors need not worry about those grim financials, but instead to look at WeWork’s losses as “investments” that will lead to greater cash flow. (Which is very possible.)
And even if short-term losses eventually unearth long-term cash flows, will they be enough to justify its lofty valuation…and even loftier ambitions?
While we’re waiting for time to tell on WeWork’s future, if you’re looking to raise your startup game right now, go check out our content partner More Labs’ brand-new drink Aqua+. (Yes, the same More Labs behind this drink that broke the internet.)
Video: Compound Interest, Explained
3 Ways To Invest From Your Smartphone For Under $5
The numbers say 80% of millennials don’t invest in stocks.
Reason? Half say they don’t have money, one-third says it’s too early and another third says they don’t know how.
In addition to that, there’s demographic gap. “The average age of a financial advisor is 55,” said Douglas Boneparth, a New York City-based financial planner. “There are more financial advisors over the age of 70 than there are under 30.”
Despite these beliefs, you don’t really need much money, nor experience, to get started. (Just look at our fearless co-founder Odunayo Eweniyi and what she’s pulled off here)
Be that as it may, here are three ways to get started for $5 or less.
What: A micro-investment app (iOS and Android) with over 30 ETFs according to industry, sector and risk tolerance.
How it works: Download the app and choose your investment.
Minimum investment: $5
Cost: Fees range from $1 a month for accounts under $5,000 to 0.25% a year.
“We help people who don’t have a lot save money on a weekly basis,” CEO and co-founder Brandon Krieg said in one interview. “Stashers look like America, they look like people you meet every day: they are nurses and teachers and Uber and Lyft drivers.”
What: iOS and Android app.
How it works: Download the app and choose one of six index funds. When you buy, say a cup of coffee for $1.75, it rounds up the change to $2 and deposits the difference.
Minimum investment: $5
Cost: Just like Stash, fees range from $1 a month for accounts under $5,000 to 0.25% a year.
“We’re not trying to preach austerity to the client, because that’s a bummer,” CMO Manning Field says. “Some people will say, ‘Don’t have the cup of coffee.’ We’ll tell you to have the cup of coffee and invest along the way.”
What: A commission-free investment app (iOS and Android).
How it works: Download and start buying stocks.
Minimum investment: Whatever stock you want to buy.
And by the way, if you want to get a fast start on real estate, here’s Forbes’ list of nine REITs with yields between 8% and 10%.