| Hello John,
The tidal wave of legalization continues to sweep the United States and the world. Younger generations that have not been inundated with propaganda about "devil weed" realize that cannabis is usually the safer and healthier alternative to alcohol for recreational use. And unlike alcohol, there are many legitimate medical uses for the plant, ranging from treating anxiety, depression, inflammation, sleep disorders, epilepsy, and even cancer.
Two-thirds of Americans say the use of marijuana should be legal, reflecting a steady increase over the past decade, according to a new Pew Research Center survey.
The share of U.S. adults who oppose legalization has fallen from 63% in 2000 to 32% today. The percentage of people that believe it should be legal has risen from just 31% in 2000 to 67% today!
The trend is clear and the number of states and countries that legalize cannabis will only increase ahead.
How can you profit from this trend?
Many cannabis companies are growing like a weed (pun intended)! Quarter-over-quarter sequential growth is in the high double-digits and year-over-year growth is measured in hundreds of percentage points. And a number of these companies boast gross profit margins in excess of 50%!
We were early to invest in Canadian cannabis companies, first recommending Canopy Growth Corp (CGC) to our subscribers in 2017. We booked a profit of 451% on that pick just two years later!
We have since shifted our focus to an area of much greater opportunity than Canada. We currently hold several US multi-state operators (MSOs) and also focus on brand-builders, retailers and vertically-integrated models. The image below shows a relative valuation analysis that we ran for a handful of brand-builders in the cannabis space. The data is old, but it shows you the type of work that we do to identify the most undervalued companies and the greatest profit opportunities for Nicoya Research subscribers.
Subscribers have access to updated charts like this for brand-builders, US MSOs, and Canadian cannabis companies. We update the data each quarter as new financial information is released.
Cannabis stocks became over-heated at the start of 2019 and have spent most of the year in correction mode. In fact, many cannabis stocks are down 50% or more from their 2019 highs. We believe this presents an opportunity for investors to gain exposure to this rapidly-growing sector at deeply discounted prices.
Thus, we have been building a portfolio of oversold and undervalued cannabis companies over the past several months and expect many of these names to double in value over the next year or two! Demand will continue to increase as new jurisdictions legalize cannabis, new stores open, new products are launched and new medical use cases are discovered. The growth is just getting started.
If you would like to get our top picks in the cannabis sector, detailed research, trade alerts and more, I encourage you to subscribe to our High-Growth Speculator newsletter. You will also get our top picks is disruptive technologies and any other sectors that are demonstrating the type of growth levels we are witnessing in the cannabis sector.
Click here for instant access!
Cheers,
Jason Hamlin
Founder - Nicoya Research | 