Marijuana Stock Investing In 2022 Here’s What You Need To Know
When it comes to top marijuana stocks 2021 had its fair share of challenges. Yet from November 2020 to early 2021 the sector saw solid upward consistency. Shortly after mid-February, the majority of marijuana stocks all saw substantial drops in trading. Like many other sectors, the pandemic didn’t badly affect how cannabis stocks traded. It was the lack of legislation both state and federal. Failure to pass federal reform is was the dominant factor in this year-long drop in trading.
Now for some context back in 2020 federal reform was voted on and failed each time in the Senate. Yet this news didn’t always badly impact the sector. This was because the cannabis industry was still young and not as regulated. So if a new state went legal or a company released good news it would resonate well for the entire sector. Despite prohibition still being present in the United States.
What some feel makes things different in 2021 is how far state-level reform has come. Meaning more than half of the U.S. has legalized cannabis in some form. This helped many prospects to see the bigger picture with investing in legal cannabis. Except marijuana is still federally illegal. Now with all the failed attempts and ongoing battle investors have grown with skepticism about investing in cannabis stocks.
This skeptic mindset also led to uncertainty and added to parts of this current downtrend. Now however many are starting to regain a bit of hope with the volatile price swings in the last several months. These small pops in the sector can be interrupted as a sign that better days of trading may lie ahead in 2022.
Marijuana Stocks Investing In 2022
Furthermore, this optimistic outlook comes from the increased bipartisan support for ending prohibition. Which many investors and shareholders believe will create a big run for marijuana stocks. Now, this is just speculation but with how low the sector is many have been looking for the best marijuana stocks to buy for 2022. This buying frenzy is all in preparation for any significant jump in the market. Still, as you keep an eye on the sector always have a plan. As well-doing your research on each possible investment. So with the new year quickly approaching many are remaining patient with high hope. The marijuana stocks to watch below are just some options to keep on your radar
Top Marijuana Stocks For Your 2022 Watchlist
Glass House Brands Inc.
Glass House Brands Inc. cultivates, manufactures, produces, and retails cannabis. It offers cannabis products under the Glass House Farms, Forbidden Flowers, and Mama Sue brands. In recent news, the company was advised by Feuerstein Kulick on a Senior Secured Term Loan for up to US$100 million. The Initial Term Loan has a variable interest rate currently set at 10% per annum. And in no event shall be more than 12% per annum.
The gross proceeds of the loan will be used to fund the phased retrofit of the Company’s approximately cultivation facility. Which is currently under renovation in Camarillo, California, and for general corporate purposes. The Initial Term Loan shall be repayable in monthly installments beginning on December 1, 2023. This will be at an aggregate amount equal to 1.25% of the original principal amount of the Initial Term Loan.
Harborside Inc. engages in the cultivation, manufacture, distribution, wholesale. And retail of cannabis and cannabis products for the adult-use and medical markets in California. It owns and operates three retail dispensaries under the Harborside brand. These are located in Oakland, San Jose, and San Leandro, California. As well as a dispensary under the Terpene Station brand name located in Eugene, Oregon. To which manages and operates a dispensary under the Harborside brand.
At the end of November, the company released its Q3 2021 earnings. During this time the company’s total gross revenue was $17.9 million. This was 10.4% higher sequentially than the previous quarter. Also, Harborsides Adjusted EBITDA(1) was $1.5 million. This made for a 28.2% higher sequentially than the previous quarter. Harborside as well completed the acquisition of Sublime. Which included “Fuzzies”, California’s award-winning infused pre-roll brand, for $43.8 million.
The company also announced a strategic research agreement with Utah State University. In addition to completing its acquisition of Accucanna LLC (“Accucanna”). Which is a Desert Hot Springs retail dispensary license holder. As well as a real property related to the Desert Hot Springs dispensary. Another highlight is the company’s new retail partnership with the premium brand RNBW. The company has a lot in the pipeline. So with all this in the works 2022 could be a good year for this marijuana stock to watch.