The shares of numerous well-known and unknown cannabis companies have had a dramatic year 2019. Price losses of over 50% are not uncommon. What costs only half today may have become twice as attractive. Due to the large number of cannabis companies listed on the stock exchange, this is the time for investors who are planning a new investment.
Emergence of a market
Among the well-known companies in the cannabis industry are
Aphria (TSX: APHA),
Aurora Cannabis (TSX: ACB),
Canopy Growth (TSX: WEED) and also
Cronos Group (TSX: CRON). In the past year new names also came onto the market, but in connection with the
price losses of the big players they received little attention or suffered collateral damage.
So, it may be more worthwhile than ever to put newcomers like
EXMceuticals (CSE: EXM) on the watch list. The
cannabis market is in the development phase and in the course of this, changes in legislation around the globe as well as in the product range will be visible.
Education and pioneering work
The large companies such as Aphria and Cronos Group have done a lot of pioneering work in their home country Canada and in many other regions around the globe in recent years. Although the
cannabis plant is an ancient remedy, the worldwide wave of legalization has made extensive educational work necessary for politicians, medicine and potential customers.
The
confidence in new therapies does not come overnight and it requires a lot of understanding and patience to build a market for a new product universe.
EXMceuticals is building a team of experts
Compared to Aphria and Cronos Group, EXMceuticals is still in a development phase. CEO Jonathan Summers has announced numerous new additions to the team in recent months to
develop the operational business with experts who have both experience and an established network.
Although EXMceuticals is headquartered in Canada, due to a shell acquisition, the operational business is located in
Europe and Africa.
Entry level at low
Aphria is valued at CAD 1.8 billion market capitalization at a stock market price of CAD 7.02. The shares of
Cronos Group changed hands most recently at CAD 11.27 and are valued at CAD 3.9 billion.
EXMceuticals is still a lightweight with a market capitalization of 16.5 million CAD at a price of 0.45 CAD, but there is still the opportunity to enter at a low valuation level in order to profit from further developments. As is well known, the profit lies in purchasing.
CONFLICT OF INTEREST & RISK NOTE
We would like to point out that Apaton Finance GmbH, the owner of news.financial, as well as partners, authors or employees of Apaton Finance GmbH may hold shares in the aforementioned companies and that there may therefore be a conflict of interest. Further details can be found in our ´
Conflict of Interest & Risk Disclosure´.