This was a strange week for cannabis stocks, as major indices experienced a plateau, spiking Tuesday and tumbling Thursday.
The United States Marijuana
Index, which tracks 15 of the largest marijuana stocks in the U.S., ended the week down 4.1 percent, while the
North American Marijuana Index, which also
includes Canadian stocks, posted gains of 2.1 percent.
The Horizons Marijuana Life Sciences Index ETF (OTC: HMLSF) lost roughly 1 percent over the five days, while the ETFMG Alternative
Harvest ETF (NYSE: MJ) tumbled 3.8 percent.
“The cannabis market must have gone on spring break this week,”
420 Investor Alan Brochstein joked.
Here are some of the top marijuana stocks in U.S. exchanges and how the performed this week:
-
22nd Century Group Inc (NYSE: XXII): down
11.1 percent
-
Aphria Inc (OTC: APHQF): up 4.2 percent
-
Aurora Cannabis Inc (OTC: ACBFF): down 5
percent
-
Cannabis Sativa Inc (OTC: CBDS): up 3
percent
-
CannTrust Holdings Inc (OTC: CNTTF): down
1 percent
-
Canopy Growth Corp (OTC: TWMJF): up 4
percent
-
Cronos Group Inc. (NASDAQ: CRON): down
15.5 percent
-
GW Pharmaceuticals PLC- ADR (NASDAQ: GWPH): up 1.9 percent
-
Hiku Brands Company Ltd(OTC: DJACF): down
5.2 percent
-
India Globalization Capital, Inc. (NYSE: IGC): down 8.3 percent
-
MedReleaf Corp(OTC: MEDFF): down 0.4
percent
-
Scotts Miracle-Gro Co (NYSE: SMG): down
2.8 percent
-
THC Biomed Intl Ltd (OTC: THCBF): down
11.6 percent
-
Zynerba Pharmaceuticals Inc (NASDAQ: ZYNE): up 2.4 percent
In The News
Cannabis industry women’s networking organization Women Grow met with Congressman Tom Garrett (R-VA) on
Washington D.C.’s Capitol Hill and shared some insights into the conversation with Benzinga.
“Garrett’s support for Cannabis legalization is connected to his commitment to justice, individual liberty and economic
opportunity,” Women Grow EVP Gia Moron said. “As a freshman Congressional Member, he introduced HR 1227, ‘Ending Federal
Marijuana Prohibition Act of 2017,’ which would remove cannabis from the federal list of controlled substances entirely and allow
states to regulate without the federal government’s interference.”
Cannabis-focused blockchain company Paragon announced it secured its first co-working space in Los Angeles,
California. The cannabis-business-focused WeWork-style location is being fully paid in cryptocurrency. Inauguration is scheduled
for July 1.
“We are excited to open the doors of Paragon Space, a fairly priced, collaborative and safe environment where cannabis
entrepreneurs can flourish,” Paragon’s founder and CEO Jessica Versteeg, a former Miss Iowa turned
cannabis entrepreneur, told Benzinga.
In an earnings-heavy week, General Cannabis Corp (OTC: CANN) posted an $8.2 million loss for 2017, reducing its losses by 19 percent
year-over-year. On a per share basis, the net loss came in at 40 cents per share, on revenue of $3.5 million, up 18 percent
year-over-year.
Arena Pharmaceuticals, Inc. (NASDAQ: ARNA) reported a fourth quarter loss of 35 cents per share on revenue of $15.4
million.
Zoned Properties Inc (OTC: ZDPY) reported
fourth quarter revenue of $533,000, versus last year’s $543,000.
On the raises front, High Hampton Holdings Corp (OTC: HHPHF) announced the closing of a $19 million private placement deal.
Aurora Cannabis said it will be added to the S&P/TSX Composite Index on Monday, March 19. The closing of
the CanniMed Therapeutics Inc (OTC: CMMDF)
acquisition has made the company the second-largest Canadian licensed producer in terms of sales, almost stepping on the heals of
industry behemoth Canopy Growth.
American Green Inc (OTC: ERBB) announced it
offloaded the ownership of the town of Nipton, California.
“The American Green rally last August is a great lesson for investors not to fall for the hype,” Brochstein said, characterizing
the sale as an even that can be described “only as a sketchy deal with another penny stock. As always, it pays to go beyond the
press release. It was very obvious to anyone who did basic due diligence of the company that the transaction was silly at
best.”
Terra Tech Corp (OTC: TRTC) announced
a 1:15 reverse-split that had been pre-approved by the board last year.
“While it was long expected that Terra Tech would eventually do a reverse-split, the market was surprised by the sudden action
to do so this week,” Brochstein said. “More often than not, reverse splits are negative, and that is certainly the perception with
this one, but I believe the move will prove helpful over time and is likely more shareholder-friendly than just boosting the
authorized shares.”
Learn more about these news, and others on Acreage Holdings, CannaRoyalty and WeedMaps with our partners at Green Market
Report’s Marijuana Money:
Interesting Data
A report by Arcview Market Research, in partnership with BDS Analytics, says that sales of legal cannabis in “key South American
markets” is expected to surge from just $125 million in 2018 to $776 million by 2027, with Brazil and Argentina leading in terms of
spending.
Source: ArcView Market Research/BDS Analytics
According to the U.S. Centers for Disease Control and Prevention, opioid prescription and addiction overdoes have killed more
than 64,000 Americans in the 12 months ending January alone, marking a 21 percent year-over-year surge. For perspective, roughly
65,000 Americans died during the wars at Vietnam, Iraq and Afghanistan combined.
Responding to these alarming statics, and in an attempt to generate viable solutions to curtail the destruction, people from
very diverse backgrounds have come together to give birth to Helping End the Opioid Epidemic (HEOE). Based off La
Clinica, in Gardner, Colorado, the program is working on developing a rural health care model to assist in preventing
opioid-related overdoses, while increasing access to treatment for those suffering from opioid use disorder in the Huerfano, Pueblo
and Las Animas counties.
“HEOE believes it is of merit to incorporate observational studies determining the effectiveness of cannabis to reduce patient
usage of opioids, therefore reducing the potential for overdose,” HEOE Vice President Kyle Dijon Hill told Benzinga. “The proposed
pilot program would utilize telemedicine and home healthcare to reduce costs and increase access for opioid addiction treatment in
rural communities. La Clinica would be a hub treatment center offering a variety of services ranging from group counseling sessions
to various non-conventional treatment options such art and equine therapy. For additional information on HEOE please
contact HEOEoutreach@gmail.com.”
It's estimated federal cannabis tax revenue in the U.S. could exceed $105 billion for the 2017-2025 period, according to New
Frontier Data, with annual taxes of more than $14 billion by the end of the first quarter of this century.
A few people reached out to Benzinga asking about Delta-8 THC, which is different from the widely known Delta-9-THC. We reached
out to one of the few companies that extracts Delta-8 THC from cannabis, Oregrown, and asked them about the
cannabinoid’s therapeutic properties.
“Delta-8's less intoxicating effects are very attractive to those who find that Delta-9 causes anxiety,” Oregrown founder Aviv
Hadar told Benzinga. “In addition, Delta-8 is shown to help with nausea, relieve pain, suppress appetite, and more.”
Events Calendar
- March 29: New Jersey gets its second NJ Cannabis Symposium, focused on the intricacies of finance,
banking, taxation and investments and how these apply to the state’s expanding cannabis industry. Sponsored by Benzinga, the
event features the following panelists: Javier Hasse, Al Foreman, Cynthia Salarizadeh, John Kagia, Gary B. Rosen, Ellie O. Siegel
and Tahira Rehmatullah. Register for the event following this link.
Use promo code “BENZINGA” to save $50 on tickets.
- April 9: CNvest: Terps and Tech is an investor gathering focused on cannabis science and technology
companies in San Jose, California. Check out the 16
cannabis science and technology startups that made it to the final round of the pitch contest.
Picture by Javier Hasse.
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.