Aurora Cannabis Inc (ACB)

[Kflawn]

Have you ever owned a stock that has gone from a low dollar value, maybe pennies, and then seen it soar and soar, only to continue holding it when it comes crashing down again? Most investors have experienced this, as the stock market produces many of these rags-to-riches-to-rages stories.

Many investors who see a stock double, triple and more are too busy counting their winnings to pay much attention to risks at a company. The theory is: if others are buying, then things must be still good at the company. As a company gets much bigger, analysts pick up coverage, and these third-party reports can also increase your propensity to not worry. Alas, though, many times a high-flying stock can come crashing back to Earth very harshly.