Investors in the stock market who were looking for an alternative share to add to their portfolio turned towards cannabis stocks. The industry’s rapid growth in the Canadian and American markets made these shares progressive on the stock market. As with most shares, however, they aren’t always on the green. In fact, last May was a rather worrying month for cannabis investors.
A recent report by the Global Cannabis Stock Index via New Cannabis Ventures says that shares in the industry fell by 2.3 percent to 104.89. It was quite a roller-coaster ride for the industry as the month started out well with cannabis stocks rallying forward. This isn’t the first time this year that the industry fell short though.
During the previous quarterly report released at the end of March, it was revealed the Global Cannabis Stock Index dropped by 24.5 percent at the start of the year. The following months were no better as its decline continued. The good thing is that it has not reached the lows set last October.
Despite the stagnant first five months of 2018 for cannabis shares, investors shouldn’t worry too much as there are still several companies that are able to showcase positive movement. Here are some companies in the cannabis industry that are still worth the investment.
PotNetwork Holdings, Inc.
POTN and its subsidiary Diamond CBD have maintained a consistently great market performance in the past year and until now. This is a good opportunity for investors as POTN‘s share is set to skyrocket anytime soon. The company’s strong performance on the stock market can be supported by the strong sales performance of Diamond CBD.
A recent press release reveals that Diamond CBD has earned more than half a million dollars through website sales. It is currently one of the highest year-over-year increase for POTN as it poses more than a 1,000 percent increase from May 2017’s sales.
Aside from a strong presence in the market, POTN also has secured itself the attention of socially responsible investors. Earlier this year, the company partnered with cause-marketing firm Exponential, Inc. (XPO2) for a few charitable projects.
The first was an outreach program in the Philippines, where both parties donated essentials to an impoverished area in the country. Then on April, POTN and XPO2 partnered with various African NGOs to conduct a few projects in Africa. Their most recent project was a tree planting exercise in Ngong Hills, with various groups such as Cara Project and Hekima Place participating.
Innovative Industrial Properties
Innovative Industrial Properties (NYSE:IIPR) looks for properties that are used for cultivating medical cannabis strains. IIPR then leases these properties back to their owners, who had trouble with licenses. Simply put, the firm is helping various growers get back to their business, thus assuring that the cannabis industry is always active.
Because of its unique and helpful service, IIPR manages to stay strong on the stock market despite not having any direct functions on the distribution of cannabis products.
OrganiGram (CVE:OGI) is one of the top distributors of medical cannabis in Canada. The company specializes in cultivating various strains of cannabis that would suit the needs of its customers. Part of what makes it such a formidable stock for investors is that it is a key player in one of the strongest cannabis markets in the world, Canada.
The company’s price movement has been reportedly strong as it recorded its 50-day rolling median average when it traded approximately 615,000 shares. Also, big things await for OrganiGram as there could be major improvements in the Canadian cannabis market this month, especially with the government looking to pass the Cannabis Act.
It may have been a weak May for various cannabis stocks, but it is worth noting that there are still others that remain progressive. If one is looking to explore the cannabis stock market, then he or she should try to add these stocks to his portfolio.