RE:RE:RE:DOOM and GLOOMAgreed Quin, this sector is still in it's infancy..the Cdn side is way oversized for the Cdn marketplace and would never realize it's growth potential without the US marketplace, of which has been the plan ever since Constellation invested and started building the company to include the US market and beyond. The move out of Cdn retail store frontage will focus those assets on the massive US retail market as legalization stateside begins to take hold and expand.
The SP is being manipulated with the hyper shorting this new industry allows for as it starts to take root and sales/ revenues are generated from it's core market area, of which includes both sides of the 49th. As the US legal market takes hold and generates the returns this company is planned and built for, the correct portion of assets, where and when, will continue to be a work in progress. Much the same as .COM has found it's ground and growth.
As you point out the US has a mess on it's collective plate and the legal bud industry is maybe the most negatively impacted industry stateside today...mainly political as the Dems are more focussed on power and control as their goal instead of allowing a legal bud sector to start and flourish. They were fighting the big fight in the 60's and going forward a bit until we get to the disaster we see today, on every front. Of which is about to change as the path to the bottom Dems and pom pom Biden are about to be severely corrected and downsized in the governance of the US going forward.
So unless the left is successful in turning the US into the completely failed state they are on track to make reality, not only the bud sector but the folks and the country will be changing course back to prosperity and the brightest of futures for all that are lucky enough to be a part of this rebirth going forward.
Biden couldn't run and win dogcatcher going forward, along with most of the rest of the Dems there today...the polls and news of the state of affairs today still remain on the dark side under the control of the 'state control' Dems and complicit fake media. The folks will be at the voting booth this year and in '24 in droves and all of this failure and suffering will be changed and corrected going forward but as it will take a little time, the US will rebound quicker than most imagine. With Senate and House back in adult hands in Nov the morph back to prosperity and a solid, positive future along with those that own Canopy and other blue chip stock going into this renewed, brighter than ever future. JMHO...Opt
quinlash wrote: Retail investors live under a rock when it comes to understanding the big picture as they tend not to look at the overall performance of a sector or the macro-level economic environment.
Since Covid and the out-break of the Ukranie war the S&P as well as the DOW have been getting beat up pretty hard. That means that stocks are soft at the moment in all sectors, not just Cannabis. In every down-turn there is always a sector and a handful of stocks that perform well, some extremely well. In Covid it was big-pharma as that sector was expected to benefit the most from the virus. Miltrary Defence stocks moved up on the outbreak of war... no surprises on either of those.
Cannabis stocks trend up well each and every time the US Discusses progressing legalization or de-criminializing the substance. We seen that just last week when Biden said he would pardon minor offences.
The US-Mid-terms are right around the corner in Novemeber. I am willing to bet that the topic will be hot again any day now or over the next couple of weeks and these stocks will jump again and (depending on what is stated) the sector will be performing well from that time forward for an extended period.
JMHO
Q
- Long on Cannabis