The marijuana industry is made up of companies that either support or are engaged in the research, development, distribution, and sale of medical and recreational marijuana. Cannabis has begun to gain wider acceptance and has been legalized in a growing number of nations, states, and other jurisdictions for recreational, medicinal and other uses. Some of the biggest companies in the marijuana industry include Canopy Growth Corp. (CGC), Aurora Cannabis Inc. (ACB), and Tilray Inc. (TLRY). Many big marijuana companies have continued to post sizable net losses as they focus on investing in equipment to speed up revenue growth, which remains strong despite the pandemic-spurred economic downturn.
Marijuana stocks, as represented by the ETFMG Alternative Harvest ETF (MJ), have dramatically underperformed the broader market, providing investors with a total return of -47.2% compared to the S&P 500’s total return of 23.9% over the past 12 months. These market performance numbers and the statistics in the tables below are as of August 26.
Here are the top 3 marijuana stocks with the best value, the fastest sales growth, and the most momentum.
These are the marijuana stocks with the lowest 12-month trailing price-to-sales (P/S) ratio. For young companies that have not reached profitability, this can provide an idea of how much business you’re getting for each dollar invested.
|Best Value Marijuana Stocks|
|Price ($)||Market Cap ($M)||12-Month Trailing P/S Ratio|
|Village Farms International Inc. (VFF.TO)||CA$7.53||CA$425.3||2.0|
|Harvest Health & Recreation Inc. (HARV.CX)||CA$1.57||CA$576.1||2.1|
|Aphria Inc. (APHA.TO)||CA$6.05||CA$1,743||2.9|
These are the marijuana stocks with the highest year over year (YOY) sales growth for the most recent quarter. Rising sales show that a company’s business is growing. This is often used to measure growth of young companies that have not yet reached profitability.
|Fastest Growing Marijuana Stocks|
|Price ($)||Market Cap ($M)||Revenue Growth (%)|
|Neptune Wellness Solutions Inc. (NEPT.TO)||CA$3.39||CA$378.2||389.9|
|4Front Ventures Corp. (FFNT.CX)||CA$0.84||CA$425.4||348.9|
|Cresco Labs Inc. (CL.CX)||CA$9.14||CA$1,899||226.7|
These are the marijuana stocks that had the highest total return over the last 12 months.
|Marijuana Stocks with the Most Momentum|
|Price ($)||Market Cap ($B)||12-Month Trailing Total Return (%)|
|Trulieve Cannabis Corp. (TRUL.CX)||CA$27.45||CA$3.1||154.6|
|Planet 13 Holdings Inc. (PLTH.CX)||CA$4.82||CA$0.6||94.4|
|Green Thumb Industries Inc. (GTII.CX)||CA$19.00||CA$4.0||80.1|
|ETFMG Alternative Harvest ETF (MJ)||N/A||N/A||-47.2|
In recent years, more people are searching for alternatives to traditional pharmaceutical painkillers and opiate drugs. Now, they are reaching for natural, non-pharmaceutical products like CBD, the non-intoxicating cannabinoid found in cannabis.
One of the greatest supposed benefits of CBD is its potential to manage pain. For world-class athletes, this is proving to be a game-changer.
Cannabidiol (CBD) is one of over 120 compounds called cannabinoids that are found in the cannabis plant. CBD works within your body’s endocannabinoid system to help to regulate functions such as reducing pain and inflammation, heal injured bones, promoting better sleep and serving as an overall neuroprotectant.
It was these benefits and more that inspired Mike Kolb to found Xwerks, a health and wellness-focused brand dedicated to providing top-notch hemp-derived oils to supercharge athletic recovery.
“It started with wanting to create products that I wanted to use,” said Kolb. “I had a background in the supplement space but had not yet worked on the type of products I personally wanted to use. I started out creating a pre-workout product and we are now at seven products and plan to add more.”
Like many others, Kolb first learned about CBD through its ability to reduce seizures.
After CBD was removed from the banned substances list of both the U.S. and World Anti-Doping Agencies, it was clear to Kolb that CBD was the way of the future for optimal athlete recovery.
“It became pretty clear it could be greatly beneficial for athletes and once WADA cleared CBD for use in Olympic athletes, I knew I wanted to pursue launching our own CBD products.” Kolb said.
Elite CrossFit athlete like Xwerks brand ambassador Alex Anderson are living proof of how top-quality CBD products can positively impact performance and boost recovery.
While Xwerks is great for young, athletic and active people, that’s far from the only use someone could get from their line of CBD products.
“Our customers are typically 25-35 very active individuals looking to better recover from their workouts, but we do see some older/elderly customers using our CBD products for various reasons,” said Kolb. “My father and uncle, for example, both use it to help their arthritis.”
With study after study proving the effectiveness of CBD to help manage pain from issues like arthritis while improving bone health, quality of sleep and deterring neurodegenerative diseases like Alzheimer’s and multiple sclerosis, the cannabinoid can be a great choice for people of any age.
Another key part of the rise of CBD is its position as a non-addictive alternative to oft-prescribed opiates. Former pro athletes like retired NHL player Ryan VandenBussche, retired NFL linebacker David Ahrens and former NHL winger Riley Cote all advocate for CBD use for recovery and as an alternative to opiates, swearing by its healing effects and health benefits.
And that’s the key for Kolb. Despite some commonly held misconceptions about CBD, like that it’ll get you high or that it’s addictive, Kolb wants the public to know that his top-quality Xwerks products are more than just some “magic weed pill,” he said.
“It’s not a scary drug that will get you high and addicted,” said Kolb. “I have seen some push back from people associating it with marijuana and getting high or they think it might be dangerous like prescription pills.”
In addition to stand alone orders, Xwerks products are available wholesale to fitness enthusiasts interested in carrying them in their gym or store.
“Wholesale has been a big part of our growth,” said Kolb. “We have many new CBD wholesale customers but it’s also exciting that our existing wholesale customers selling our other products are now adding CBD to their lineup.”
As more research emerges about the benefits and uses for CBD, the sky’s the limit for what Kolb and his company can do in the coming years.