Post by
quinlash on Jun 21, 2024 11:13am
The US will Legalize Cannabis
When Canada Legalized cannabis back in 2018 it was largely expected that the US would follow shortly afterwards and the stocks were trending around their record highs. This did not happen and many lost interest in the stocks and exited.
When Biden was elected in 2020 he has campaigned on a promise to progress Cannabis and again the stocks ramped up to their highs of the period. Again, notable progress was not seen and investors exited positions
In 2024 the DEA and HHS have been directed by the US Fed to progress Cannabis legalization ASAP which, at the speed of government policy change, is slower and longer than the attention span of the average investor.
Currently we are waiting on feedback from the DEA in regards to rescheduling cannabis to a schedule 3 drug which will move it to a less regulated substance.
Speculation now is that progress will actually be seen due to it being an election year and the Biden administration will use cannabis legalization as a means to win votes.
Tilray already has sales of product into the US in the form of medical cannabis and it's line of craft beers. Tilray has also announced it's plans to acquire another company that will further enable it's launch into the US.
Tilray will be reporting its 2024 year end report in July where it can be expected to show net sales in the high 700 to low 800 million USD dollars / apx 1 Billion Canadian. Fintel estimates the Q4 numbers alone will be apx 225 million USD.
The report will likely not be a EPS positive report however it will be a further confirmation that the company is growing well and on track to be one of a very few cannabis companies to successfully run the gauntlet of the markets and come out on top.