Why These Five American Cannabis Stocks Have Produced Big Returns In 2019

Why These Five American Cannabis Stocks Have Produced Big Returns In 2019

As we wrap up what looks like will be the second consecutive year of decline for cannabis stocks, I find it interesting to observe that 5 of the 27 stocks on my Focus List at 420 Investor have produced double-digit gains despite tremendous headwinds. Regular readers should be familiar with 4 of them, as I have written about them over the past two years in this column.

Make no mistake, there have indeed been tremendous headwinds. The market has dropped 32.1% so far in 2019, following a 54.9% decline in 2018, with the current price of the Global Cannabis Stock Index testing levels not seen in more than 3 years:

While I am not much of a momentum chaser when it comes to investing, I have been around long enough to understand that when a stock can withstand a bear market, the company is probably doing something right, and that when the market turns, as I believe it is in the process of doing, the stocks can deliver big gains ahead. Further, I note that each of the 5 stocks that have prospered despite a weak overall market are down substantially from their 52-week highs.

– Read the entire article at Forbes.

Pass that dutch!
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