2 Top Marijuana Stocks to Buy in January

Marijuana stocks have been on fire lately. Many investors are hoping that a Democratic-controlled senate will steer the U.S. on the path to decriminalization — or even to legalization of the drug at the federal level. If — and it’s a big “if” — legalization did happen, it would create the world’s biggest cannabis industry with over $100 billion in annual sales.

In the past month, the Horizons Medical Marijuana Life Sciences ETF(TSX:HMMJ), a leading indicator of pot stocks, is already up over 12%. That’s just below the S&P 500’s 12.8% return over the same period. Given all the enthusiasm, let’s take a look at two of the best marijuana companies to choose from this January. 

 

1. Aphria

Aphria (NASDAQ:APHA) and medical cannabis company Tilray (NASDAQ:TLRY) will merge this year to form the biggest marijuana grower in the world, with nearly 900 million Canadian dollars in annual revenue. The combined entity is well positioned to expand into the U.S. cannabis market, with its line of beverages and cannabidiol (CBD) products available at tens of thousands of retail locations throughout North America.

During the fiscal second quarter of 2021 (ended Nov. 30, 2020), Aphria increased its sales by 33% year over year to CA$160.5 million. Simultaneously, its cash production cost per gram of cannabis fell 6% quarter over quarter to CA$0.79. After adjusting for changes in its convertibles’ fair value, one-time transaction costs, and share compensation expenses, the company posted a surprise profit of CA$0.01 per share.

It is quite remarkable for a pot grower to become profitable while it is expanding. The company’s free cash flow also improved by as much as CA$70 million over the past quarter.

Right now, Aphria sees significant demand for its Canadian pot business as well. It managed to sell approximately 26,730 kilograms of cannabis in Q2 2021, up from 20,880 kg sold in the previous quarter. Given the potential for its momentum to continue, I highly recommend marijuana investors pick up shares of Aphria, even while it’s trading at about eight times revenue.

2. HEXO

Pot grower HEXO (NYSE:HEXO) sports the largest market share in the Canadian province of Quebec. It, too, is eyeing the multi-billion cannabis opportunity south of the border. Currently, HEXO runs a joint venture with Molson Coors Brewing Company (NYSE:TAP) to develop its line of CBD-infused beverages. The partnership’s CBD sparkling water was just launched in Colorado.

Despite being a relatively new venture, its beverages are already wildly successful. HEXO now holds a 54% market share in Canada’s cannabis drinks industry, a title previously held by Canopy Growth (NASDAQ:CGC).

Back in the first quarter of 2021 (ended Oct. 31), HEXO’s beverage revenue totaled CA$3 million, a sizable increase over the CA$2 million it brought in during the previous quarter. Moreover, the company managed to break even in terms of gross profit, compared to a negative gross margin of 121% in the fourth quarter of 2020.

 

It also should be noted that HEXO is more than doubling its sales year after year and is very close to breaking even. Furthermore, its CA$150 million in cash more than offsets the company’s CA$59 million in debt and convertibles. Trading at about 9 times revenue, HEXO’s growth premium is well worth it. Investors should expect the company to break past its earnings estimate as it makes the most of its leading role with its pot beverage brands.

 

Here’s The Marijuana Stock You’ve Been Waiting For

A little-known Canadian company just unlocked what some experts think could be the key to profiting off the coming marijuana boom.

And make no mistake – it is coming.

Cannabis legalization is sweeping over North America – 15 states plus Washington, D.C., have all legalized recreational marijuana over the last few years, and full legalization came to Canada in October 2018.

And one under-the-radar Canadian company is poised to explode from this coming marijuana revolution.

Because a game-changing deal just went down between the Ontario government and this powerhouse company…and you need to hear this story today if you have even considered investing in pot stocks.

The Different Types of Medical Marijuana and Their Effects

If you’re new to medical marijuana, it helps to know that there are two strains of marijuana: Cannabis Indica and Cannabis Sativa. Established in the 18th century, these two classifications were made by scientists who noted definite differences in the two strains’ makeup and resin production, appearance, flowering time, flavor, and yields.

The Two Strains Explained
Cannabis professionals and many medical marijuana users claim that the two strains vary greatly in the effects they deliver and the symptom relief they provide. In the medical marijuana community, the Indica strain is known to provide a sedative effect, providing a full-body relaxation and calm. The Sativa strain, on the other hand, has an uplifting, energizing effect. For people suffering from chronic pain, multiple sclerosis, muscle spasms, fibromyalgia, or nausea, the Indica strain tends to provide the most symptom relief. For people with depression, ADHD, fatigue, or other mood disorders, the Sativa strain is the best option.

Is There Really a Difference?
Some scientists believe that there is no real difference in the effects provided by the two strains. They claim that the differing effects aren’t really rooted in reality, but in what the user expects the effects to be. Whether this claim is true or not is still up for debate, but what is known is that cannabis affects each person differently – regardless of the strain.
If you’re in San Bruno or elsewhere in San Mateo County and have a valid medical marijuana card, be sure to visit Elevated of San Francisco to learn more about how our cannabis products can help you find relief from your symptoms. Elevated serves patients by providing quality marijuana products and a personalized in-store experience.

A Short History on Medical Marijuana

Medical marijuana has been around since ancient times. The ancient Chinese talk about cannabis and its therapeutic properties for gout, constipation, rheumatism, and senility in old writings. In fact, Chinese Emperor and pharmacologist, Shennong, described using cannabis for medical reasons in a book published in 2737 BC.

Medical Marijuana in the United States
​Medical marijuana has always been considered a viable treatment option in the United States. Unfortunately, in 1937, the federal government outlawed its use in defiance of the American Medical Association. From that point, medical cannabis was only available to a select few through the Investigational New Drug (IND) program. Once part of the program, patients could receive up to nine pounds of marijuana a year.
For years, the American public was largely blocked from obtaining marijuana for medical use. It wasn’t until the 1990s that voters began demanding that the weed be legalized for medical purposes. California, through Proposition 215, became the first state to legalize medical marijuana in 1996. Since California’s bold move in the late ’90s, dozens of other states have followed suit and made medical marijuana legal.
Today, more than half of the US population has access to cannabis as a medical treatment. The sad news is that at a federal level, marijuana of any kind is still illegal. In October 2009, however, the federal government stated it would not penalize citizens who hold valid medical marijuana cards or the distributors who follow state laws.
If you live in San Francisco or Daly City and you hold a medical marijuana card, Elevated of San Francisco is the best marijuana dispensary in the area. Offering a wide array of cannabis products for both medical treatment and recreational use, every visitor is sure to find exactly what they’re looking for.

COMMENTS 5 Popular Uses for Medical Marijuana

As more and more states legalize marijuana, it appears that the popularity of alternative medicine is on the rise. In San Francisco alone, people turn to not only medicinal marijuana but also aromatherapy, crystal therapy, acupuncture and more to reduce pain, eliminate anxiety and fight the effects of aging. Medical marijuana is used in a host of situations, with the following five uses being among the most popular.

1. Reduce Nausea and Vomiting
Cannabis works in the body to dull the senses. When taken orally in pill form, it can reduce or eliminate nausea and/or vomiting associated with chemotherapy in cancer patients. In fact, studies show that medical marijuana actually works better than most FDA-approved medications given for this purpose.

2. Stimulate Appetite
For cancer and HIV-infected individuals, taking medical marijuana helps to increase appetite, which in turn stops weight loss.

3. Reduce Muscle Tension and Spasm
When medical marijuana with high THC levels is given to MS patients, it helps relax muscles and reduce spasms and tremors significantly. A liquid form of the drug containing THC and cannabidiol seems to be the most effective for this purpose.

4. Pain Reduction
People suffering from chronic pain associated with such ailments as MS, HIV, alcoholism, spinal injury, amputation, etc. find significant relief of their pain after using medical marijuana.

5. Trouble Sleeping
In addition to providing pain relief, people who smoke marijuana tend to have less anxiety and fewer instances of sleep problems such as insomnia. Furthermore, people who use marijuana report improved mood and overall well-being in general. If you are in the San Francisco Bay area and would like to know more about medical marijuana and how to get it, contact Elevated of San Francisco. The knowledgeable staff can help you manage your symptoms and find relief fast.