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…As recreational legalization in Canada approaches this summer, these companies have plans to meet the upcoming demand. If marijuana continues its rally, the Canadian marijuana stocks on our list could see strong returns in both the short and long term.
The original article has been edited here for length (…) and clarity ([ ]) by munKNEE.com – A Site For Sore Eyes & Inquisitive Minds – to provide a fast & easy read.
1. CannTrust Holdings Inc. (TSX:TRST)
Pharmaceuticals
CannTrust’s 50,000 square foot production facility, located in Vaughan, Ontario, uses hydroponic technology to produce at an annual capacity of 3,600 KG. Furthermore, CannTrust has set aside a 46-acre property, where it plans to ramp up production capacity with a 430,000-square foot expansion.
- Market Cap: $832.2 Million
- 1 Month Total Return: 6.0%
- 3 Month Total Return: 25.9%
- EBITDA Growth – Next Year/This Year: 2554.5%
- Peer Average EBITDA Growth – Next Year/This Year: 488.1%
2. MedReleaf Corp. (TSX:LEAF)
Pharmaceuticals
MedReleaf currently produces 7,000 KG/year out of a 55,000 sq. ft. facility in Markham. The Company started to produce 5,600 KG/year out of a 210,000 sq. ft. facility in Bradford in October. The Company plans to expand its Bradford facility to reach 28,000 KG/year from it by August 2018. The Company has partnered with Shoppers Drug Mart to sell medical marijuana.
- Market Cap: $1,992.5 Million
- 1 Month Total Return: 26.4%
- 3 Month Total Return: 26.1%
- EBITDA Growth – Next Year/This Year: 1487.6%
- Peer Average EBITDA Growth – Next Year/This Year: 488.1%
3. Hydropothecary Corp. (TSXV:THCX)
Pharmaceuticals
With an operational 50,000 square foot facility, Hydropothercary also aims to scale up 250,000-square feet with an expansion that is expected to come online by Q2/2018. Hydropothecary closed a $69M offering of convertible debentures in November to fund its expansion plans.
- Market Cap: $651.0 Million
- 1 Month Total Return: 7.1%
- 3 Month Total Return: 35.3%
- EBITDA Growth – Next Year/This Year: 831.3%
- Peer Average EBITDA Growth – Next Year/This Year: 488.1%
4. Aphria Inc. (TSX:APH)
Pharmaceuticals
Aphria’s flagship greenhouse production facility is located on a 169-acre property in Leamington, Ontario. The Company currently produces 9,000kg and plans to expand its production facility to add an additional 90,000kg.
- Market Cap: $2,247.3 Million
- 1 Month Total Return: -1.2%
- 3 Month Total Return: 18.1%
- EBITDA Growth – Next Year/This Year: 763.2%
- Peer Average EBITDA Growth – Next Year/This Year: 488.1%
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1. Aurora Cannabis Inc. vs. Canopy Growth Corp.: Which Marijuana Stock is More Attractive?
The top spot in the Canadian cannabis industry belongs to Canopy Growth Corp. but some competitors, such as Aurora Cannabis Inc., have the scope, scale, and differentiation to take on the market leader. Of these two which stock is more attractive?
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Being able to sell products at a high margin is a good sign of efficiency. Doing so leaves more cash to dedicate to other expenses and service debt obligations. Identifying undervalued companies with strong gross margins in the young marijuana industry is important, given the upcoming Canadian legalization of marijuana for recreational purposes in 2018. Today we have identified 4 Canadian marijuana stocks that have underperformed their peers despite healthy gross margins.
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Investing in marijuana-related stocks is a high-risk, high-reward game due to all the uncertainties surrounding the legalization of the drug. Companies that do succeed, however, have potential to bring large capital gains. That being said we have identified five Canadian marijuana stocks with the biggest upside potential, according to consensus analyst price targets.
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6. Is One of These 5 Junior Marijuana Stocks Ripe For Acquisition?
The search is now on for the next junior marijuana stock that is ripe for acquisition. Will it be one of the 5 we’ve identified based upon their high revenue growth profiles?
7. MAJOR Revenue Growth Expected From These 5 Marijuana Stocks in 2017
The following 5 marijuana stocks are expected to experience anywhere from 188% to 5,338.8% (yes, 5,338.8%!) in revenue growth during the upcoming year.
8. Wild Volatility: These Marijuana Stocks Provide Great Day-trading Opportunities
With intraday fluctuations of up to 80% – yes, 80% – the Canadian marijuana stocks on our list create significant day-trading opportunities for those so inclined.
9. Could These Marijuana Stocks Continue Feeling A Buzz From the Recent Election Results?
With operations in the U.S. or a high probability of expanding there, the Canadian marijuana stocks on list are likely going to continue to feel a buzz from the recent U.S. election.
10. The Medical Marijuana Industry: Where It’s Legal & How to Invest In It
Within the last six years ago, the number of Americans who support legalizing medical marijuana has risen from 70% to 90% according to polls by Quinnipiac and Gallup. Those who support overall legalization has risen from 46% to 54%. Let’s explore some of the recent news and changes to the marijuana industry that could impact the industry’s growth and accessibility for investors.
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