Best Cannabis Stocks To Watch During Current Volatility
Are the best Canadian marijuana stocks for September a wise short-term investment? Currently, there are a number of potential drivers for top cannabis companies. Several pieces of cannabis reform legislation in Congress could win support in the upcoming months. If so, it might serve as a catalyst for the top marijuana stocks for the remainder of 2022. This year, the value of Canadian marijuana stocks has fallen dramatically. Throughout the first half of 2022, Canadian marijuana stocks saw a dramatic decline in value. The Canadian cannabis business might be one of the first sectors of the marijuana industry to profit from any momentum.
Market value has been significantly impacted by the US federal cannabis legalization delays, and LPs are currently struggling to make a profit in Canada. Investors are interested in Canadian cannabis companies since they are listed on major US stock markets. Therefore, any industry development can start with Canadian cannabis companies before moving on to the rest of the market. Let’s take a closer look at three of the top Canadian marijuana stocks for your October list.
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Top Canadian Cannabis Stocks For October
- Tilray Brands, Inc. (NASDAQ: TLRY)
- Cronos Group Inc. (NASDAQ: CRON)
- OrganiGram Holdings Inc. (NASDAQ: OGI)
Cannabis consumer packaged goods (CPG) company Tilray, Inc. operates in countries all over the world, including the US, Canada, Europe, Australia, and Latin America. The company has established a reputation for being a market leader in Canada and one of the top cannabis companies worldwide. To expand its business, Tilray is getting ready to enter the US market. Tilray was the first business to grow and market medical marijuana in Germany. The company claims that there is a sizable market for CBD-infused meals and beverages in the US and Canadian markets. In 2021, Tilray and Great North Distributors made the decision to work together to help the growth of Canada’s legal marijuana market.
Tilray announced the fiscal year 2022 financial performance that set records at the end of July. To be more specific, revenue increased by 8% to $153 million in the fourth quarter of 2022, and by 22% to $628 million overall in net revenue. The company forecasts that its operating business divisions would generate positive free cash flow and Adjusted EBITDA of between $70 and $80 million in FY2023. It’s interesting to note that Tilray reported a net loss of $457.8 million in the fourth quarter versus a profit of $33.6 million in the same period the previous year. In February, the company began selling medical marijuana products in Malta.
By purchasing the vast majority of the convertible notes issued by MedMen, Tilray has strengthened its position in the US cannabis market. Southern Glazer’s Wine & Spirits will offer CBD beverages in the US, the firm declared on August 3. Tilray will announce the first quarter of fiscal 2023 financial results on October 7, 2022.
TLRY Stock Performance
On September 23rd the shares of TLRY closed at $2.72, down 14.73% in the past five trading days. The 52-week price range for the stock is $2.65-$13.95 and is down 61.31% year to date. According to CNN Business experts, TLRY stock has a 12-month consensus price objective of $4.00 per share. This represents a 47.06 percent increase over the previous trading price of $2.72.
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Cronos Group Inc.
Cronos Group Inc., one of the biggest cannabis distributors in the world, operates on five continents. The cannabis brand Cronos has nothing but positive reviews from Canadian consumers. Cronos also revealed the $110.4 million it shelled out for a 10.5 percent stake in PharmaCann. The legalization of cannabis on a federal level in the US will have an impact on the acquisition, among other things. The deal would also include PharmaCann’s six manufacturing facilities in addition to its 23 dispensary locations. Earlier this year, the company launched a brand-new line of cannabis candies in two flavors. Adult consumers certainly love these novel sweets, according to a survey. In June, the company and Geocann joined together to employ the VESIsorb delivery technology for faster absorption.
The company released its second quarter 2022 results on August 9. Net income for the entire business increased by 48% to $23.1 million from the previous year. Gross profit grew from $19.9 million to $4.1 million in the second quarter of 2022. The key element causing the improvement year over year was the absence of inventory write-downs during the current quarter. A $31.0 million rise brought adjusted EBITDA to $(18.8) million in the second quarter of 2022. Israel’s net sales increased by 212% from the prior year’s Q2 to $7.2 million. The business and Geocann teamed together in June to use the VESIsorb delivery technology for quicker absorption.
CRON Stock Performance
On September 23rd CRON stock closed at $2.86, with a 52-week price range of $2.57-$6.79. CRON stock has a 12-month consensus forecast price target of $3.87 per share, according to CNN Business analysts. This projection represents a 34.35% increase over the stock’s most recent trading price of $2.86.
OrganiGram Holdings Inc.
OrganiGram Holdings Inc., a Canadian business, is well recognized for its cannabis- and cannabis-based products. The business is well known for generating high-quality marijuana that may be smoked both for leisure and medical purposes. Organigram is expanding its most important international contacts in order to solidify its position in the global cannabis sector. The business of distributing wholesale cannabis to customers is expanding quickly for the corporation. SHRED’ems Gummies, the premium addition to Organigram’s SHRED product line, are currently available. The Edison JOLTS are also the first tasty, powerful THC edible extracts in the country.
In July, the business released its financial 2022 third-quarter results. From Q3 F2021 to Q3 F2021, the gross revenue rose by 90% to $55.2 million. Furthermore, the business’s net sales have been growing at a record rate and have now surpassed $38.1 million, which is a record-high sum. This represents an increase of 20% over Q2 Fiscal 2022 and an increase of 88% over the $20.3 million and $31.8 million of the equivalent quarter the prior year. In the third quarter of fiscal 2022, the company rose to third place among Canada’s licensed producers with a 7.8% market share. In June 2022, the Company will hold an 8.5% share of the market for adult recreational usage.
OGI Stock Performance
OGI stock closed at $0.8914 on September 23rd down 9% in the past month of trading. The stock has a 52-week price range of $0.8710-$2.55 and is down 49.06% year to date. According to analysts at CNN Business OGI stock has a 12-month median price target of $1.77 per share. In this case, this would represent an upside of 96.68% from its last trading price of $0.8914.
Trading Canadian Pot Stocks Short Term In Q4 2022
The current market volatility may make it challenging for investors to begin long-term investments. Considering the high amount of price volatility in Canadian LPs, they may be a better choice for short-term investments. Cannabis penny stocks are thought to have a higher risk-to-reward ratio. You should conduct your own research about the company before investing. Press releases and financial reports from a company may offer details on the leading companies in a specific industry. Using technical indicators and learning more about chart patterns may improve your trading performance. These could be the best Canadian marijuana stocks to keep an eye on right now as investors brace themselves for greater volatility in 2022.