High Rollers: Here Are 5 Marijuana Stocks You Wish You’d Invested In
Colorado and Washington have had their legal marijuana policies in place for more than six months at this stage, and the industry is beginning to take shape. In any gold rush situation, such as the legalization of a product in incredibly high demand, there are companies that earn big and those that fall flat on their faces. Through 2014 we’ve seen more than a few blunders, but most of the marijuana world appears to be trending up. Here are five weed firms you wish you invested in earlier this year.
Cannabis Sativa Inc (OTCBB:CBDS)
YTD Return: 1,250 percent. This company has been a big gainer so far in 2014, but the company’s future has been regarded with even more optimism in recent days after former presidential candidate Gary Johnson was named as the company’s new CEO. The only problem with Cannabis Sativa, and many of the other companies on this list, is that it has yet to make a profit, and it doesn’t even plan to; not until Marijuana is properly (and that means Federally), legal.
GreenGro Technologies, Inc. (OTCMKTS:GRNH)
YTD Return: 522.7 percent. GreenGro Technologies, Inc. is a marijuana consultancy business that provides help with the construction and management of weed dispensaries and nurseries. The company keeps itself at arms length from the actual selling of the drug making it more of a safe bet on the growth of the entire industry.
The fact that the company has been around for much longer than its competitors (GreenGro has been public since 2003) makes it seem like a safer bet, but its massive rise in value in the last year means it backs its valuation with no profit and could be subject to huge volatility.
GW Pharmaceuticals PLC (NASDAQ:GWPH)
YTD Return: 122.6 percent. This company makes its money marijuana pharmaceuticals, a business that hasn’t been booming like the smokable side of Cannabis. One of its products, Sativex, is already used to treat multiple sclerosis, while the company has other offerings that may alleviate the side effects of serious illnesses such as epilepsy.
GrowLife (OTCMKTS:PHOT)
YTD Return: -31.8 percent. Growlife isn’t a direct bet on marijuana legalization, though that may be more attractive to some investors. The company produces popular fertilizers which are used for the cultivation of cannabis plants. The company has seen its value collapse in recent months, but the lucky few who got out before April were able to clear massive gains on their investments in the company.
Cannabis Capital Corp (OTCBB:CBCA)
YTD Return: 499.5 percent. This company’s name and business description diverge completely, but the company’s stock market success demonstrates just what it’s like to live in the Green Rush. The company is apparently going to open a single healing and therapy clinic in Carson City, according to its Google Finance profile. It’s now worth about $1.5 billion before opening the clinic.
The company’s website explains that it is, in fact, a private equity firm specializing in cannabis investments. Given the industry’s apparent success in 2014, the company’s returns may be good enough to justify the massive increase in value.
Disclosure: Author represents that he has no position in any stocks mentioned in this article at the time this article was submitted.