Aphria Prime Candidate For Santa Claus Rally 2 High Quality Growth Stocks to Take Advantage of a Santa Claus Rally
As we near the end of the year and are mostly through the tax-loss selling period, it’s time to put the final preparations on our portfolios going into 2020.
There is still some uncertainty in world markets, but one thing that looks like it will give a boost around the world is a Santa Claus rally.
You may have heard or read before somewhere about a Santa Claus rally — a Santa Claus rally is a sustained increase in the markets during the last week of December and the first few trading days of January.
When tax loss selling officially ends, just before Christmas, it relieves some selling pressure the market has been feeling and invites buyers back into the marketplace.
When you couple this buying activity with low volume levels due to a number of people being off work for holidays in the last week of December and first week of January, it usually leads to significant gains to start off the year.
Two stocks that will be prime buy candidates ahead of this year’s potential Santa Claus rally are Aphria Inc (TSX:APHA)(NYSE:APHA) and Cineplex Inc (TSX:CGX).
Aphria
I believe that many of the pot stocks will get a boost heading into the new year, but I included Aphria on this list because it is one of the top companies in the cannabis space.
Like many of its peers, it’s been sold off dramatically in 2019, with the stock currently sitting down more than 55% off its 52-week high.
If you’re looking for quick gains in pot stocks like we saw a few years ago, you’re out of luck, but for long-term investors willing to wait it out, the pot stocks and especially the top ones like Aphria offer huge potential down the line.
Since day one, Aphria was built up conservatively and with strategic investments to put it in the best position to become a global leader in the cannabis industry.
It’s focused on building up its technology and brands, two main factors it believes will differentiate itself from the rest of the licensed producers.
Aphria still has $464 million in cash and equivalents too, giving it lots of liquidity and ability to be flexible when it comes to investing in the future.
It’s one of the largest and is the best positioned Cannabis stock going forward, offering huge upside for investors.
https://www.fool.ca/2019/12/06/2-high-quality-growth-stocks-to-take-advantage-of-a-santa-claus-rally/
GLTA
CentreIce