Is Investing in Marijuana Stocks a Bad Idea?

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With marijuana stocks growing at an increasingly rapid rate and many savvy and daring investors taking home big rewards from early investments… is there still money to be made investing in cannabis companies?

Or is investing in marijuana stocks a bad idea?

Many say that because the production costs of growing marijuana are so low and because the prices are set very high, that makes this a very lucrative business to invest in.

Yet on the flip side with increasing competition in the market it is likely that certain companies begin to undercut their competitors leading to a crash of the value of marijuana as a commodity.

What’s more with major volatility in marijuana stocks how do we know when the best time invest is?

And what companies are trustworthy and developing global brands?

These are all good questions and ones that need answers before investing in the industry.

However what is sure is that…

Publicly traded marijuana stocks are also on the up and up due to the changing politicization of marijuana as a substance.

And these changing conditions of cannabis becoming a legal substance both for recreational use and also for medical use, means that this is a commodity likely worth investing in before the market has already grown.

When marijuana becomes like tobacco it is likely that most of the growth gains that could have been realized will have been missed.

So for those interested in investing in marijuana, a good time to start research is now, and the sooner one can make an investment the better.

Provided the investment has been well researched and looks like it’s on the up and up.

Of course, there are uncertainties with investing in any market, but the ins and outs of cannabis can be quite tricky to navigate.

With the legalization of marijuana occurring around the world and notably in Canada and select states in the U.S., the industry has become more forgiving than ever.

Canada is considered to be the heath of cannabis stocks as they recently began allowing the use of recreational marijuana back on October 17th.

Yet still it is clear that in the US in any case marijuana is not a fully legal product, in fact it is federally illegal. This alone for many investors makes it a market that they feel is a bad idea investing in.

Many others of course see this as an opportunity to get in on the ground floor in a market that will ultimately become as big as alcohol and tobacco.

Perhaps even larger considering it will also have the medicinal side to it that can be exploited for even more growth in the sector.

GTEC Holdings, Inc. has been able to benefit greatly off of the new market on cannabis domestically. GTEC recently announced that their subsidiary, Alberta Craft Cannabis completed their first sales to CannMart Inc. Alberta Craft Cannabis or ACC is working alongside GTEC to begin producing extremely high-quality craft cannabis.

By 2022, the marijuana market as a whole is expected to reach as much as $32 billion while the U.S. market alone is scheduled to hit as much around $24 billion.

With these kinds of growth predictions and the wild and rampant growth in the marijuana stock already, it seems that there could be great gains for early investors in cannabis.

1 COMMENT

  1. No, I think it is a very good idea to invest in cannabis. Just look what’s happening this week as a perfect example; with Altria investing into Cronos Group that gives them the distribution they so badly needed and puts them in pole position to start producing like a tobacco company does and selling more canabbis earning more earnings for the company.

    I think that the pot stocks willl be some of the best performing stocks that we will see in future years.

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