Best Cannabis Stocks To Watch This Week
Are you looking for top marijuana stocks to buy during the current Santa Claus rally? In December most of the cannabis sector has fallen to the lowest trading levels seen in 2021. This is mostly due to Congress failing to pass federal marijuana legalization this year. In the first quarter top cannabis stocks rallied around the notion that we would see the end to cannabis prohibition this year.
As the year progressed and it became apparent that the Senate would not accomplish federal cannabis reform of any kind this year the cannabis sector declined substantially. Although this year’s market volatility is nothing new to cannabis investors it could be daunting to new investors. One way many cannabis investors take advantage of these price fluctuations is by trading marijuana penny stocks. Penny stocks are any stocks that trade under the $5 threshold and are known to be a higher-risk investment.
Because of this many active traders prefer to invest in them on a short-term basis. Using day trading and swing trading techniques active traders can make profits with daily price swings in cannabis penny stocks. With pot stocks trading at much lower levels heading into 2022 this could be an opportunity for new investors to get in on the ground floor before federal cannabis reform takes place sometime in the future.
Finding Penny Stocks Before 2022
Before investing in cannabis stocks, it’s important to do your research on a company and the stock’s performance. Researching a company’s earnings and press releases can help you find the best-performing companies in the industry. In addition, following how a stock moves in the market can allow you to establish the best entry point for your position. These factors will help you become a successful trader and help you make better investment decisions. As we head into a new year let’s look at 2 top marijuana penny stocks for your 2022 watchlist.
Best Marijuana Penny Stocks Under $2 For January 2022
TPCO Holding Corp.
At the present time, TPCO Holding Corp. is one of the largest cannabis companies in California. TPCO members include Shawn Jay-Z Carter, an icon and entrepreneur, as well as Caliva, a direct-to-consumer platform, and Left Coast Ventures, a hemp producer. Carter is TPCO’s Chief Visionary Officer and Chief Brand Strategist. Troy Datcher was appointed as the company’s new Chief Executive Officer in August. Datcher’s hiring is the first time a Black CEO has overseen a big publicly traded cannabis company in the United States. The company purchased Coastal Holdings Company, LLC in October, expanding its retail network to 11 locations and six delivery depots.
TPCO reported net sales of $39.7 million and a gross profit of $6.1 million, or 15% of revenue, for the third quarter of 2021 on November 15th. In addition, the company lost $16.2 million in Adjusted EBITDA in the third quarter. At the conclusion of Q3 2021, the company had $206.7 million in cash and equivalents. In November, Tiffany McBride was named Managing Director, and Kerry Arnold was designated Chief People Officer at Social Equity Ventures.
GRAMF stock is trading at $1.39 on December 28th down 74.87% in the past six months. Currently, the stock has a 52-week price range of $1.26-$13.962 establishing this low in today’s trading. According to analysts at Tip Ranks GRAMF stock has a 12-month average price target of $8 per share. In this case, this would represent an upside of 475.54% from its last trading price of $1.39. As we close 2021 GRAMF stock could be a top marijuana penny stock to watch in 2022.
Charlotte’s Web Holdings, Inc.
Next on the list is Charlotte’s Web Holdings, Inc one of the market leaders in Hemp CBD wellness products in the US. Primarily, the company has held its leading industry position in the US CBD market for years and continues showing growth. In specific, Charlotte’s Web has premium quality products made with American farm-grown hemp genetics. To highlight, the company manufactures this into hemp extracts and has the number one CBD brand in the US. Charlotte’s Web has distribution through more than 22,000 retail locations across the nation. In October the company announced retail expansions in California following the passing of Assembly Bill 45.
Charlotte’s Web-delivered its third-quarter 2021 results with net revenue of $23.7 million compared to $25.2 million in Q3 2020. In general, the company saw gross profit increase to $14.9 million and operating expenses decrease 15.6% year over year. The company had an Adjusted EBITDA loss of $2.8 million compared to a loss of $6.7 million in Q3 2020. In addition, the company expanded its #1 market share across every channel. Also, Charlotte’s Web commenced its new distribution in Q4 2021 with retail partners in California.
CWBHF stock is trading at $1.1265 on December 28th down 21.16% in the past month. The stock has a 52-week price range of $0.999-$7.00 and is down 65.91% year to date. According to analysts at CNN Business CWBHF stock has a 12-month median price target of $3.46 per share. In this case, this would represent an increase of 207.38% from its current trading price.