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Older article. One for the debate . Restrict access. Regulate potency, labelling, production and distribution standards, and educate. There's a class of babbling fools , that always want to announce there is no harms associated with the chemical. Notice in this article there is no charge for possession. Which leads me to believe this was legally accessed ACMPR . Lock up the meds and the cookie jar
http://www.cbc.ca/beta/news/canada/saskatchewan/toddler-overdoses-on-marijuana-cookies-rcmp-charge-dad-1.2962759
Ahhh. Since Oils have been made available, I smoke more than 50% less, because of the science of smoking. Old habits fair longer sometimes.
Y question about this study is where were they getting cannabis with acetone in it? That's a great scary read.
Medical or Die, that's his governing policy. Terrible
Thank you. It's all the semantics , and with the rate of headlines picking up, it could be good to read twice.
I like how quickly the Government clarified legislation will be tabled "in the spring of 2017", and that the season last until June 21.
I'm very curious how , with the recent level 3 recalls, the Feds, provinces and municipalities even tolerate dispensaries who have zero accountability? How can the two jive ?
Also a curiosity, there's a Health Canada pamphlet in each shipment of ACMPR Cannabis that warns against the health effects of smoking, vaping recommended. Without condoning Mettrums inexcusable use of unapproved pesticides, if I were a patient who had smoked the flowers in question, how could I then bring a law suit against Mettrum for using the product in the way it was recommended Not to use? Remember, we are consuming this chemical in all our fruits and veg we don't smoke and inhale, because it's otherwise safe to do so. Does that mean shishcabobbed red peppers and pineapple chunks may have the same caution? And can the industry ever be at a point where there is enough scientific evidence to say this Cannabis product is "safe " to smoke? Just a thought
Hi DD. I'm a bit confused about this headline. They were arrested last night? What is the Health ministers quote in relation to "days" after their arrest? I checked the global news article and no mention of the Health Minister?
Call TD Waterhouse and ask them to transfer you to the international trading desk. The price is about $196 per trade so make it count.
That would put Canopy in the top 100 companies on the planet. Wealth aside, think of the impact the company and its shareholders could make in the world. One of the D's , double eagle or Darious mentioned the charity of wealth, and beyond being foolish, there really is a lot of influence finances can have in this world. There's plenty of philanthropic examples. How many will Canopy produce?
Ok, conservative: $420 April 2024, after 2 reverse splits.haha
50 top 100 companies in the world 2015 were out of the US, 1 out of Canada.
Depending on how quickly the Global Cannabis tide turns, and how slow America is to react federally , Canopy can achieve a significant market cap based on its global investment footprint and innovation. Top 100.
Coming in at # 100 at 87 b with the lowest market cap 2015, was a Canadian financial Company, founded over 150 years ago. So if not bamboo shoot growth, perhaps just a mighty Red Wood Cross bread with Hemp, after 100 years, Real Cannabis Trees ! In 100 years Canopy is worth $420 Canadian, and a few heritage shares are still worth something . I hope this will continue to be a great company . Jokes and funny numbers aside
How about this: April 20, 2020 (4/20) Canopy is trading at $420.0 CND.
Let's be real. Legalization will Not happen before summer. Maybe he meant legislation. Oh the subtleties of The English language. After being tabled, the bill will be debated, accommodations made, retabled, and then sent to the senate for debate. Nothing shorter than a 4-6 month process in my opinion. And even then, this is only Federal. The provinces, many of them wouldn't even have begun their own processes, instead waiting for clear legislation from the Feds. Ontario and BC seem to be on the ball, so at best, first rec sales, between Jan - April 2018. Opinion
Spring 2017 begins March 20 , ends June 21st. Canopy y/e annual financial is due June 29, 2017. Parliament is on summer holidays June 24-September 17. Two monthly adjournment days in between. So, it is possible legislation is tabled anywhere from 3/20 - 6/21. My guess is, closer to the latter. Last years UN council happening right around 4/20 my have been just a great coincidence to the laws of attraction. I doubt the Liberal Party will be so intentionally tongue in cheek as to table legislation on 4/20 ( not with the stated and restated intentions of their policy mandate). April 20th , 2017 isn't a sitting day for parliament either.
http://www.parl.gc.ca/HouseChamberBusiness/ChamberCalendar.aspx?Language=E
My guess is, the Government takes the maximum amount of time available to table the legislation, in and around June 21st, right before they go on holidays, and leave the Bill on the Parliamentary table like a hot potato, or bag of chips, for the Country to munch on for a few months. Any sooner would be a gift and to me a surprise. The Task Force used all their time available, and then some, using a few more days to make a bilingual translation. With all the challenges presented in the Task Force recommendations, I assume the Government will take all the time available, in an attempt to be thorough in all aspects, and leave it there for the holidays. Leaving the final quarter of the year to hash it out after 9/17 re sitting of parliament.
Canopy can carve out market share globally in all Federally permissible regions, and U.S can sit back nd watch. Good Barriers
So, Bedrocan used to ship dosage vials with their oils that had a 10ml capacity. I normally use 1 mil each dose. Now the new vial has a 1mil capacity, with 0.1 mil increments.
Smart move. Reduce the risk of over dosage for first time patients. Good move Bedrocan.
I do agree. There r also some instant gratification expectations. A notable reflection on where Canada ACMPR is today. Let's say each lot is 1kg. ( just a guess). It gets released, tweed puts out a p.r, and in a few minutes or hrs it's been sold out, online, on demand.
GREAT EXPECTATIONS indeed
Someone on here made mention of the bottle neck being in the Lot Testing phase. I would guess there will be some investment into ramping up this side of production. Folks on social media are taking the piss to Tweed. The demand is GiNormous. I'd expect there's a big focus on that, to keep pace with harvesting.
Introducing Tweed's HomeGrow Collection, available in early March. https://www.tweed.com/pages/homegrow
No mention of Foria in this mornings "Hi" with Remi
Bedrocan 661xx - 2.20.17
FYI
3/6 Bedro oils - Sold Out
Supply did not seem to an issue for Bedrocan before. The super extractor may be needed a.s.a.p. and got in to full swing right away.
March
https://www.google.ca/amp/www.weednews.co/great-progress-for-german-medical-marijuana-patients/amp/?client=safari
"The law will allow doctors to prescribe cannabis for some serious illnesses without forcing patients to go through the current rigorous and complicated process, which requires patients receive special authorization to use cannabis as medicine. The law will also allow some costs to be refunded through health insurance. New procedures will go into effect in March."
So a major international market is opening up and widening is less than two weeks and Canopy is there, feet on the ground. Only 1000 registered patients recently. Only 400 last year. Let's see how well this goes for the German People, and Canopy.
I suspect this is being grossly underestimated. I think the growth in registered patients will pass Canadian Numbers before years end. Just speculation. The German government seems to be taking very positive, liberal approach to this regulation. So, what could that mean for Tweed, and Canopy? Serving another 50k patients before the end of 2017?
.
AusCann Group Holdings to harvest first medical cannabis crop
Share
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AusCann is well positioned to take advantage of the developing market by bringing together a strong team with relevant and complementary skill sets.
The team includes the largest legal producer of medicinal cannabis in North America, Canopy Growth Corp and Chilean medicinal cannabis grower Fundación Daya.
http://www.proactiveinvestors.com.au/companies/news/173227/auscann-group-holdings-to-harvest-first-medical-cannabis-crop-173227.html
AusCann has joined the Canopy family of companies and partners that includes Tweed (the most recognised cannabis production brand in the world), Bedrocan, DNA Genetics, Cann Science, Indoor Harvest and Mettrum Health Corp (following its recently announced CAD$430 million acquisition by Canopy).
February 13. Close at 13.
WEED. Always poetic.
November 29 2016. CGC close at 11.29
Isn't that fun.
Eligible forms of cannabis include all forms that are authorized by section 3(1) of Health Canada’s Access to Cannabis for Medical Purposes Regulations for sale by licensed producers (with the exception of seeds and plants). Currently, licensed producers may produce and sell dried and fresh marihuana, and cannabis oil.
http://www.veterans.gc.ca/eng/about-us/policy/document/2461
"The Federal Institute for Drugs and Medical Devices (BfArM) is searching for scientists to help implement a new law, effective in March, that allows doctors to write medical marijuana prescriptions for seriously ill patients."
German govt seeks 'drug dealers' to help distribute medical weed
https://www.thelocal.de/20170206/germany-govt-searches-drug-dealers-distribute-medical-pot-weed
Very Good Read. I Find Tina Fraser does share a conservatively balanced perspective. Right or wrong, I think she's usually pretty close to.
I. Don't think Q3 financials can include Mettrum as an asset if, Mettrum was legally/ officially Acquired January 29th , 2017 , or in Canopy Growth Q4. In the same way the Massive Croptober harvest was not reported as inventory in Q2 because it began harvesting October 2016 Q3. There may be significant mention in the MD&A, in the same way Croptober was mentioned in the Q2 and MD@A and not as inventory in the financials . I think
There is a timeline in this document:
Introduced January 1st , 2017 -
"(1) RECOMMENDATION BY HHS.—Not later than 180 days after the date of enactment of this Act, the Secretary of Health and Human Services, in consultation with the Institute of Medicine of the National Academy of Sciences, shall submit to the Administrator of the Drug Enforcement Administration a recommendation to transfer marihuana from schedule I under section 202 of the Controlled Substances Act (21 U.S.C. 812) to a schedule under such section 202 other than schedule I.
(2) FINAL RULE.—Not later than one year after the date of enactment of this Act, the Administrator of the Drug Enforcement Administration shall, taking into consideration the recommendation under paragraph (1), issue a final rule to transfer marihuana from schedule I under section 202 of the Controlled Substances Act (21 U.S.C. 812) to a schedule under such section other than schedule I.
Health Canada to spot check medical marijuana after tainted pot recall
Department announces random testing on medical cannabis products after banned pesticides detected
http://www.cbc.ca/beta/news/canada/nova-scotia/medical-marijuana-cannabis-health-canada-random-testing-1.3971601
Health Canada says it will begin random testing of medical marijuana products to check for the presence of banned pesticides after product recalls affecting nearly 25,000 customers led to reports of illnesses and the possibility of a class action lawsuit.
Late last year, licensed medical marijuana producers Organigram of Moncton, N.B., and Toronto-based Mettrum voluntarily recalled products due to the presence of low levels of the prohibited chemicals myclobutanil, bifenazate and pyrethrins, all of which are prohibited in tobacco and marijuana.
In January, nearly all of Organigram's products sold in 2016 were pulled in a higher-level voluntary recall.
Dawn Rae Downton
Dawn Rae Downton plans to have her leftover medical marijuana tested to see what else is in it. (Elizabeth Chiu/CBC)
On Health Canada's Jan. 9 recall notice, the department said it had "not received any adverse reaction reports for products sold by Organigram Inc."
However, CBC News has confirmed that a Halifax woman, Dawn Rae Downton, who had received one of the Health Canada notices, had earlier complained to Health Canada about non-stop nausea and vomiting.
'I am living proof' of adverse effects
Downton, 60, had a medical marijuana licence for her inflammatory arthritis. She said she's upset she received nothing more than a form letter in November.
"I am living proof there have been very adverse effects. I lost eight months of my life," she said. "I'm living proof that Health Canada is not protecting medical marijuana patients."
She also said she reported her side-effects to Organigram, one of 38 licensed producers in Canada, but did not receive a response.
A spokeswoman for Organigram said the company president was unavailable for an interview, but the company was working with Health Canada throughout the recall and hopes "to close this chapter very soon."
Health Canada 'regrets this error'
In response to CBC inquiries last week, Health Canada said Tuesday it had received a report of side-effects prior to issuing the recall and "regrets this error."
recall notice
Downton received this recall notice from Organigram on Jan. 9. Nearly 3,900 Organigram customers were affected by the recall. (Elizabeth Chiu/CBC)
In addition, as of Jan. 31, the department said it had received one adverse reaction report — related to the recall — from among Organigram's 3,895 medical marijuana customers. Reported symptoms include "weight loss; nausea; vomiting; throat irritation; and respiratory tract irritation," according to an email from a Health Canada spokesperson.
The spokesperson also said 10 adverse reaction reports specific to the recall had been received from among the 21,054 Mettrum customers.
Health Canada says there were 119,709 people with a medical marijuana licence as of Nov. 30, 2016. That means about 20 per cent of all medical marijuana licence holders in Canada are affected by the recalls.
Random testing announced
Late Tuesday evening, Health Canada released an additional statement announcing a new measure beyond the recall. The department said "it will begin random testing of medical cannabis products produced by licensed producers, to provide added assurance to Canadians that they are receiving safe, quality-controlled product."
The statement said the testing will be done to ensure only authorized pest control products are used during the production of medical cannabis.
"The expanded product testing program will further enhance the department's existing regime of regular unannounced inspections of licensed producer facilities, as well as the controls in place by licensed producers," reads the statement.
'I never want to be that sick again'
In October, Downton went to a gastroenterologist. She had been sick to her stomach for eight months, a period when she had been smoking and eating medical marijuana.
The medical specialist diagnosed her as having an atypical case of cannabinoid hyperemesis syndrome, and told her to stop consuming marijuana. The doctor had never seen this type of illness in someone who wasn't a longtime pot user.
Downton had become so sick that she had lost 30 pounds and was bedridden.
"I never want to be that sick again," she said.
The diagnosis of cannabinoid hyperemesis syndrome was made before the recall. It wasn't publicly known at that point that the marijuana, believed to be organically grown, contained trace amounts of myclobutanil and bifenazate.
Large concentrations may have health effects
Myclobutanil is a fungicide permitted on food crops. But when burned, it produces hydrogen cyanide.
According to Health Canada, hydrogen cyanide interferes with how oxygen is used in the body and may cause headaches, dizziness, nausea and vomiting. Larger concentrations may cause gasping, irregular heartbeats, seizures, fainting and even death.
Now, Downton suspects it was the joints she smoked — tainted with myclobutanil — that caused her eight-month illness.
Since she stopped using the marijuana, she said, she hasn't had constant nausea and vomiting.
Studying hydrogen cyanide signs
Frank Conrad, the lab director at Colorado Green Lab who has studied the question of pesticides and medical marijuana, agreed Downton's symptoms are signs of possible hydrogen cyanide exposure.
"Nausea and vomiting are two things that can be a byproduct of this," he said from his Denver-based office.
Conrad, who has a masters in biomedical sciences from the University of Colorado, said the body can clear hydrogen cyanide in small levels within hours, but in severe cases, it can cause increased blood pressure and heart rates.
Marijuana Pesticides
Frank Conrad, lab director at Colorado Green Lab, said nausea and vomiting can be symptoms of hydrogen cyanide exposure. (David Zalubowski/The Associated Press)
In rare cases, it's fatal, although Conrad said there are no documented cases of death caused by hydrogen cyanide poisoning from marijuana produced with myclobutanil.
He said Colorado Green Lab is developing a test for cannabis strains to determine whether they are susceptible or resistant to powdery mildew. The idea is that growers can watch for early signs of disease, and apply organic preventative treatments so they "never have to resort to myclobutanil."
Possible class action lawsuit
Patients affected by the recalls are banding together. So far, more than 90 medical marijuana patients have contacted Wagners, a class action and medical malpractice law firm in Halifax.
"That is an awful lot in a short period of time," said Ray Wagner, the founder of the firm. "It's shocking to a number of people who have compromised immune systems and are ill from other disease processes to find out that the product they thought was organic is not."
Ray Wagner
Halifax lawyer Ray Wagner is considering whether to launch a class action lawsuit over the recall. (Steve Lawrence/CBC)
He's still assessing the potential for a class action, and said a health claim may be challenging because of the different underlying medical problems among the patients.
None of the allegations have been proven in court. A judge would have to approve the class action for it to proceed.
Wagner also believes he's got a good shot at another type of claim — disgorgement — which is a refund of amounts paid, plus a portion of profits.
Wagner said many people who have contacted him have autoimmune disorders.
"They're more vulnerable to these types of circumstances and that is why, in most cases, why they seek out a particular product that is organic."
Downton plans to follow up with her doctor to determine if there's medical proof her illness was caused by pesticides and hydrogen cyanide.
She plans to ship the remainder of her dried cannabis from Organigram to a testing lab to see what else is in the product. As well, she has volunteered to front a potential class action lawsuit as the representative
A Moncton, N.B., medical marijuana operation at the centre of a Health Canada recall continues to promote itself as organic on its website, even though its organic certification was suspended last month.
...
Organigram and another licensed medical marijuana producer, Toronto-based Mettrum, issued voluntary recalls following the discovery of low levels of prohibited chemicals.
http://www.cbc.ca/beta/news/canada/nova-scotia/medical-marijuana-producer-at-centre-of-recall-has-organic-certification-suspended-1.3972134
Industry related. Cannabis and oncology. Found on Tweeds Hi with Remi blog today.
GW pharmaceuticals to develop oncology portfolio after cannabis medication shows promising results
Julia Bradshaw
7 FEBRUARY 2017 • 1:18PM
GW Pharmaceuticals is hoping to develop a treatment for cancer after announcing promising results from an early stage study looking at how its cannabis-based molecules can help patients with the disease.
http://www.telegraph.co.uk/business/2017/02/07/gw-pharmaceuticals-develop-oncology-portfolio-cannabis-medication/
CGC 3rd quarter financials - February 14!
http://www.stockwatch.com/News/Item.aspx?bid=Z-C:WEED-2442116&symbol=WEED®ion=C
Plus 10,000 grams to Brazil ( the first shipment at least ) . Was Bedrocan not supplying medicine to clinical research ? For free?
http://seekingalpha.com/instablog/47894070-the-daily-marijuana-observer/4936407-canopy-growth-corp-subsidiary-completes-cannabis-export-brazil
Nov 25, 2016
" The first of what is expected to be more cannabis exports from Bedrocan Canada to their Brazilian counterpart, Bedrocan Brasil, was a shipment of 10 kilograms of dried cannabis. This is equivalent to just over 22 pounds of dried cannabis.
The purpose of this export was to guarantee that Bedrocan Brasil has a standardized supply of research / medical grade cannabis to carry forward with clinical development programs. According to the release, they will now "begin clinical study drug preparation and stable pharmaceutical formulations needed for the development of a whole plant drug candidate targeting epilepsy and pain management for registration before the Brazilian health authority ANVISA anticipated in 2018."
February 2, 2017
Canadian Cannabis Companies Eyeing German Marijuana Market
GrapeCrushMarijuana
http://www.internationalcbc.com/canadian-cannabis-companies-eyeing-german-marijuana-market/
The expansion of Germany’s medical cannabis laws has understandably gotten a lot of international attention. Germany is one of the world’s economic and political leaders, so major marijuana developments around bound to cause ripples around the globe. Responding to the increase in demand for medical cannabis by German patients, more marijuana will be imported from the Netherlands and Canadian company Canopy Growth recently announced the purchase of a German medical distributor. Additionally, there are signs that several localities are contemplating measures to legalizing cannabis for all adults.
Not surprisingly, other Canadian companies are closely monitoring new opportunities in Germany. New Cannabis Ventures covered statements from CEOs of prominent Canadian cannabis companies regarding the advancements of the German medical cannabis systems.
“Germany is absolutely most recently very much on our radar, and we are engaged in dialogue with two different organizations, but we haven’t got to anything formal like a letter of intent,” Vic Neufeld of CEO of Aphria.
“But the nuances, of course, are the announcements that we’ve heard from Germany. But we have eight countries that we’re speaking with at various levels, and those discussions are all ongoing, and we expect to see something happening in early sales provided that the licensing amendments come through as we need, and then we’ll start to see how that propels,” Brent Zettl of CanniMed Therapeutics.
“Our intent though is, in most countries, to go in where it’s 100 percent corporate store, which is why in November, we acquired the company that had been our export partner, so we actually have our boots on the ground in Germany to work through the process rather than, you know, a JV and everybody’s not aligned,” Bruce Linton of Canopy Growth.
With the great interest in its expanding medical cannabis system and the momentum towards ending cannabis prohibition for recreational use, Germany is poised to be a true international marijuana powerhouse. More and more entrepreneurs, businesses and investors will be looking to move into the growing German cannabis market and now is the time to learn the latest and network with those in the German industry or are thinking of entering it.
Join us at our International Cannabis Business Conference (ICBC) in Berlin, April 10th thru the 12th, to get up-to-date on Germany’s marijuana laws and get a glimpse into the future of the entire European market. Get your tickets soon and don’t miss the opportunity to join the global cannabis community at a truly historic ICBC.
February 2, 2017
ICBC Staff
ICBC Berlin
Berlin, Canada, Canadian, ICBC, International Cannabis Business Conference
http://www.internationalcbc.com/canadian-cannabis-companies-eyeing-german-marijuana-market/
Creso Pharma targets Australia’s nascent market for medical cannabis
Share
13:00 03 Feb 2017
http://www.proactiveinvestors.com.au/companies/news/172598/creso-pharma-targets-australias-nascent-market-for-medical-cannabis-172598.html
"Health House International will initially conduct a trial import of cannabis oil products from Canadian-based third-parties introduced by Creso.
If the trial is successful, the parties have agreed to enter into an agreement for an initial two-year term, subject to Health House importing the agreed minimum quantities."
. Hi pact. Doing some lookup on international, Australia. Came across this. It's interesting a Canadian based third party is gearing up to establish a two year agreement to supply oil. I wonder who that is? No inferences.
We know Canopy is building bigger and better oil extractors. The Australian Market looks ready to open up in a significant way.
CANNA-BUSINESS
TSX hits a new high
You can now buy and sell WEED on the Toronto Stock Exchange
https://news.vice.com/story/weed-listed-on-tsx
By Vanmala Subramaniam on Feb 2, 2017
Turns out times have really changed in 2017 — you can now basically buy weed on the Toronto Stock Exchange, albeit not literally.
One of Canada’s biggest marijuana producers, Canopy Growth Corporation, has gone from being listed as CGC to WEED on the Toronto Stock Exchange. That’s in a way, the financial equivalent of being a cannabis producer and beating out the competition to lock down www.weed.com as your company’s domain name.
Canopy Growth Poised to Be THE Marijuana Penny Stock in 2017
https://www.lombardiletter.com/canopy-growth-poised-to-be-the-marijuana-penny-stock-in-2017/6900/
Best Sin Stocks for Penny Stock Investors
Marijuana stocks are not exactly a new kind of sin stock—they’ve been around for years—but 2017 may be the year that marijuana stocks finally come out from under the shadows and are embraced by a wider audience of investors. Seven U.S. states have legalized marijuana use, 10 states will be debating pot reform in 2017, and the Canadian government will be tabling legislature this spring to legalize weed.
Some investors will shun marijuana stocks, just like they would tobacco stocks or military stocks, but, for investors who like the idea of actually getting in on the ground floor of a massive billion-dollar industry with enormous potential, 2017 may be the year for “Mary Jane” stocks.
Consider the market potential in the U.S. alone. Legal marijuana sales are expected to reach $20.6 billion by 2020, a 178% increase from $7.4 billion now, with a compound annual growth rate of 29%. Only a small portion of U.S. states will have made weed legal by then. The vast majority of U.S. states will eventually follow suit. And the profit potential will soar even higher.
In Canada, a country with the population of California, the black market for weed is estimated at $7.0 billion. The government will introduce a bill to legalize and regulate marijuana this spring. While it will take longer for the bill to be studied, it is expected to pass into law by 2018 at the latest.
Again, marijuana stocks have been around for a while now, with companies waiting patiently for their product to actually be legal. The wait is over. With more and more states and countries decriminalizing and legalizing pot, there are now hundreds of millions of potential customers who no longer face jail time for taking a toke, eager to spend their money on weed.
This is great news for marijuana stocks and even better news for investors. That’s because today’s best marijuana penny stocks are no longer traded on the pink sheets or over-the-counter, they’re on major exchanges. Or, at least, some are. Others are still on the shady side of Wall Street, but even they may make the move to the NASDAQ or NYSE as more and more investors sees the growth prospects with marijuana stocks.
Global Adoption of Legal Marijuana Growing
Instead of banning the bud, more and more countries are opting to decriminalize or legalize marijuana. In 2013, Uruguay became the first (and only country so far) to fully legalize—for growing, selling, and consuming—marijuana on a national level.
Other countries have a kind of patchwork approach to marijuana. Jamaica has decriminalized small amounts of pot; in Spain you can grow and smoke pot for personal use in a private setting; and most people are familiar with so-called coffeehouses in Amsterdam. Right now, 22 countries have adopted some form of decriminalization for marijuana.
Here in the U.S., Colorado and Washington have had legal pot markets for three years. In 2015, Alaska and Oregon legalized weed for recreational use. In the red-tape District of Columbia, marijuana has been legalized for recreational and medicinal use, but is still banned for commercial sales.
During the November 2016 U.S. election, California, Massachusetts, Nevada, and Maine approved recreational marijuana, while Florida, North Dakota, Arkansas, and Montana passed medical marijuana measures.
The need for weed is picking up speed, with a large number of states debating marijuana reform in 2017: Texas, Virginia, Tennessee, Connecticut, Rhode Island, Wisconsin, New Hampshire, New York, South Carolina, and Missouri.
In Canada, Prime Minister “Doe Eyes“ (Justin Trudeau) will introduce a new law this spring that will see marijuana legalized in a regulated way.
In an effort to keep the big pot growers from monopolizing the industry, the Canadian government wants to see a strong diversity of producers. And it hopes that many underground growers will bring their operations into the light when the new law is passed.
This could be good news for the industry, as new growers create competition. Moreover, it could also be good for the industry as smaller growers, or those who simply do not want to go to the effort of getting up early in the morning, sell popular strains to established companies, thereby increasing their revenue streams.
Marijuana Penny Stocks and President Trump
There are a lot of marijuana penny stocks out there. One reason is that the industry is in its infancy and marijuana has only recently been decriminalized and, even then, only in a small number of states. If tobacco followed the same trajectory after 2014, chances are good that Altria Group Inc (NYSE:MO) wouldn’t be massive yet either.
At last count, there were approximately 75 marijuana stocks. Most trade on the OTCBB for under $1.00, have no momentum, are thinly traded, illiquid, and volatile. The vast majority also have terrible fundamentals.
Keep in mind, marijuana use remains illegal (for any reason) under federal law. Under President Barack Obama, the U.S. Justice Department pretty much refrained from enforcing current laws. President Donald Trump’s administration might take a tougher stance on marijuana, which would undermine the industry. But it’s still a big unknown.
President Trump can either kick the $6.8-billion legal marijuana industry to the side or support the states’ right to legislate their own drug policy. Trump may be president, but he’s not a lover of big government.
But he does love voters. In 2016, support for legalized marijuana hit an all-time high of 60%. In 2005, that number stood at just 35%. Even in some traditionally Republican states (Florida, Arizona, Arkansas, Montana, and North Dakota), more and more voters are in favor of legalizing marijuana. (Source: “More Americans than ever before favor outright marijuana legalization,” Business Insider, October 19, 2016.)
Best Marijuana Penny Stock
Canopy Growth Corp (CVE:CGC, TSE:WEED) is a diversified cannabis company that is hoping to become the Procter & Gamble (NYSE:PG) of pot. Through its subsidiaries Tweed Inc., Tweed Farms Inc., and Bedrocan Canada Inc., Canopy produces and sells legal marijuana in the Canadian medical market.
It actually now supplies marijuana to half of Canada’s current medical marijuana patient base since it acquired its rival producer Mettrum Ltd. in January 2017. The Canadian medical marijuana industry hauled in $869.0 million in legal sales in 2016. After Prime Minister Trudeau opens up the recreational market, sales are projected to reach $22.6 billion. To put that into perspective, sales of beer in Canada top $9.0 billion annually. (Source: “Legal weed could be a $22.6 billion industry in Canada,” Business Insider, October 27, 2016.)
Canopy is also focusing on producing and selling marijuana in the recreational market in Canada.
Tweed’s commercial license covers approximately 168,000 square feet of its Smiths Falls facility and allows Tweed to produce and sell approximately 3,540 kg of medical marijuana per year. The Bedrocan production facility (medicinal-grade) in Toronto covers over 52,000 square feet.
In early February 2017, the company changed its Toronto Stock Exchange (TSX or TSE) stock ticker to WEED, and continues to trade on the TSX. In 2016, Canopy’s market cap surpassed the $1.0 billion level. It currently has a market cap of $1.6 billion.
In November 2016, Canopy announced that revenue for the second quarter of 2017 increased 245% year-over-year and 22% sequentially to $8.5 million. During the quarter, the company sold over one metric ton of marijuana. (Source: “Canopy Growth Corporation Reports Second Quarter Fiscal 2017 Financial Results,” Canopy Growth Corp, November 14, 2017.)
Net income for the quarter ended September 30, 2016 was $5.4 million, including a non-cash unrealized gain of $16.1 million, compared to net income of $3.9 million in the same period last year, including a non-cash unrealized gain of $12.5 million. That basically means the company didn’t post any net profits.
The company ended the quarter with $45.5 million in cash and cash equivalents.
In addition to strong growth in Canada, Canopy has been expanding its international footprint. In May 2016, it announced a partnership with Auscann Group Holdings Ltd (ASX:AC8), an early leader in the nascent Australian medical cannabis industry. (Source: “Investor Handout,” Canopy Growth Corp, last accessed February 2, 2017.)
In June, Canopy Growth announced the closing of a joint agreement which will see its Bedrocan Canada subsidiary launch in Brazil. In July, Canopy announced that Tweed Inc. received approval to begin exporting medicinal cannabis for sale to Germany.
Granted, Canopy’s share price has tripled over the last 12 months, and it is up 147% since the beginning of October 2016 and is trading near $10.00 per share. It has been trading sideways since the beginning of 2017. Third-quarter earnings are expected later in February. If results aren’t positive, Canopy could give up serious ground. But its long-term outlook remains robust.
Canopy isn’t the only decent penny stock that could benefit from the legalization of marijuana. Trading near $0.30 per share, California-based Terra Tech Corp (OTCMKTS:TRTC) is well positioned to take advantage of the legalized pot trade in California, Washington, Oregon, Nevada, and Colorado, for starters.
Stocks That Could Benefit from Marijuana Sales
Investors looking to get rich off the budding marijuana industry might want to take a cue from the gold rush. When everyone is looking for gold, you sell shovels. There is a large number of excellent companies that are associated with cannabis.
GW Pharmaceuticals PLC- ADR (NASDAQ:GWPH) is a pharmaceutical company that is developing a portfolio of cannabinoid medicines to treat multiple sclerosis (MS) and cancer pain, as well as childhood epilepsy.
Cara Therapeutics Inc (NASDAQ:CARA) is a clinical-stage biotech company focused on developing novel drugs to treat diseases associated with pain, inflammation, and pruritus.
Even Scotts Miracle-Gro Co (NYSE:SMG) could benefit from increased marijuana sales because of its indoor growing products.
Investors don’t need to focus on pure-play marijuana stocks if they want their portfolio to benefit from the legalization of marijuana.
I'd imagine there will be a resolution to bring Mettrum financials inline with Canopy. Everything after the courts approved on Jan 30/31st? Should show up in Canopy Q4 January 2017-March 31st 2017
Not suggesting Canopy get involved. I don't know if there is any market sense in it for Canopy. I'm suggesting that if All drugs are somehow legalized, via prescription, like Cannabis, that it would be a great thing, and that (x) pharma company would seek out marketability. I know it's a stretch of the imagination, even from an ethical perspective. But, for a fact, clean, regulated, restricted supply is far better than prohibition.
Congratulations. So, I have an idea that is in line with ACMPR/CGC/CHI.
Times are changing for Canada. The people are thinking and acting progressively. It's better to have a clean and regulated supply of Cannabis for all the obvious reasons. Reasons I believe can , will and eventually should be extrapolated to ALL opioids.
Take this recent article as an example of this idea:
Canada now allows prescription heroin in severe opioid addiction
Supervised heroin therapy is used in several countries, including Switzerland and Germany
https://www.google.ca/amp/www.cbc.ca/amp/1.3753312?client=safari
Just like the ACMPR, I think this is just the right thing to do. It's aweful how the Taboo nature of addiction leaves people suffering.
Here's another:
Legalizing all drugs would be good for Canada, according to Toronto Liberal MP
Nathaniel Erskine-Smith, Liberal MP, says drug use should be treated as a health matter, not a criminal matter
http://www.cbc.ca/beta/news/canada/toronto/erskine-smith-decriminalize-all-drugs-1.3958336
It is very possible that with enough initiative, this could happen. Reefer Madness is as ridiculous as the War on Drugs. Not to celebrate addictions at all, or to compare apples to oranges with Cannabis and Heroine. Only to remove the stigma that people face while struggling with addictions, often to the worst synthetic gumbo opiates that can now include carfentynil. This can provide great life changing relief for Canadians. The same way it has for Cannabis.
Just an idea.
Clap Clap Clap! AWESOM!
Go T.WEED!