Best Cannabis Stocks And Current Volatility In The Cannabis Sector
This week the best marijuana stocks to watch have seen an increase in volatility as they begin to see an upside. Since reaching highs in February 2021 the cannabis sector has been experiencing declines in market value as the year progressed. This year the top cannabis stocks have directly been affected by federal cannabis reform and the delays in passing any legislation. As it stands a new version of the NDAA does not include marijuana banking reform in its current state.
In general, the Senate has not passed any formal cannabis reform in 2021. This has negatively impacted the cannabis sector in the market and continues to add extra strain to smaller mom-and-pop cannabis companies that are not allowed to bank regularly like other businesses. It is highly unlikely leaders in the Senate will pass any federal marijuana reform this year leaving the cannabis sector trading near their lowest values of 2021.
But many analysts are forecasting upside from current trading levels for top pot stocks to watch. One area of the market that active traders take advantage of while there is volatility in marijuana penny stocks. Penny stocks are any stocks that trade under the $5 stock price. In general, this area of the market is considered higher risk and many investors prefer trading here on a short-term basis. Using day trading and swing trading techniques active traders can secure profits daily.
Finding The Top Pot Stocks To Invest In Right Now
Before investing in cannabis stocks, it’s always important to research a company thoroughly before starting a position. Researching a company’s earnings reports and analyzing how the stock performs in the market can help you achieve better returns on your investments. Although the cannabis sector has not performed well this year in the market many leading cannabis companies have delivered strong revenue growth in 2021. Let’s look at 2 top marijuana penny stocks for your watch list to end the year.
Top Cannabis Penny Stocks Right Now
Gage Growth Corp.
First up, Gage Growth Corp. provides branding and support services to affiliated licensed operators that produce, distribute, and sell cannabis and cannabis-related products in Michigan. In general, the company offers medical and adult-use cannabis in the state and was formerly known as Wolverine Partners Corp. Its portfolio includes the city and state approvals for 19 Class C cultivation licenses, three processing licenses, and 15 provisioning centers. Earlier this year, Gage announced it will bring the iconic cannabis brand COOKIES to the Canadian cannabis market. As it stands, COOKIES is one of the best-known cannabis brands in the world and has one of the largest footprints in the industry.
On November 29th Gage reported its third-quarter 2021 results with revenue of $27.2 million up 119.6% year over year. Specifically, the company saw gross margins of 36.5% and ended the quarter with $17.7 million. The company announced an exclusive partnership with multi-platinum selling artist Wiz Khalifa’s brand. Specifically, Gage will develop and launch a line of Khalifah Kush premium cannabis products in Michigan. In November the company announced that the Ontario Superior Court of Justice issued the final approval for TerrAscend Corp. (OTC: TRSSF) to acquire GAGE.
GAEGF stock closed on December 7th at $1.63 down 9.44% in the past five trading days. Currently, the stock has a price range of $1.41-$3.00 and is down 27.88% in the past six months. According to analysts at Stock Invest GAEGF stock is expected to fall 6.01% during the next 3 months. As the volatility continues for top pot stocks GAEGF stock could be a top marijuana penny stock to add to your list before next year.
Cansortium Inc. is a leading cannabis company focusing on providing the highest quality cannabis in the state of Florida. At the present time, the company has established operations in Texas, Michigan, and Pennsylvania. This year, the company is expanding its presence in Florida and Pennsylvania fully funded by a debt and equity financing of $90 million. Recently, the company opened a dispensary in Fruitland Park, Florida. As it stands, Cansortium has 27 operational dispensaries in Florida giving it a sizable presence in the state. The companies brand Fluent has produced a wide variety of premium dried flower, edibles, and full-spectrum concentrates cartridges, and creams.
On November 30th the company released its third-quarter 2021 results with revenue of $15.6 million and Adjusted EBITDA of $4.9 million. In specific Florida, revenue increased to $13.1 million. As a result, the company produced an Adjusted gross profit of $9.8 million or 62.7% of revenue. Fluent by Cansortium expanded its Florida cultivation with new greenhouse facilities in Homestead and Sweetwater.
CNTMF stock closed on December 7th at $0.708 down 5.09% in the past five trading days. Currently, the stock has a 52-week price range of $0.45-$1.35 and is up 2.96% in the past five trading days. According to analysts at Market Beat CNTMF stock has a consensus price target of $1.20 per share. In this case, this would represent an upside of 69.5%.