Marijuana Stocks Surge 20%-80% as Investor Optimism Over Cannabis Swells
Shares of public cannabis companies started off 2014 with a bang, posting huge gains on the first day of trading since the successful launch of recreational marijuana stores in Colorado.
Many stocks rose at least 20% in intra-day trading on Thursday vs. their 2013 closing price. A handful surged more than 60%, and one touched 80%. That’s a stark contrast to the broader stock markets, which dipped into the red.
Only a handful of marijuana stocks declined.
The stock spikes reflect excitement over the future of the cannabis industry after retail cannabis shops successfully launched in Colorado on Wednesday. The first stores encountered huge demand, and the “cannabis chaos” that some predicted didn’t materialize.
That stoked optimism among investors about the continued spread of marijuana laws – and the businesses that benefit from them.
Cannabis stocks – all of which are listed on the over-the-counter markets – are subject to rapid price changes, as they are thinly traded. So they could relinquish some or all of these gains quickly.
Regardless, it’s a great way to start 2014 for the industry.
Last year, nearly half a dozen cannabis stocks ended the year down, though the sector as a whole experienced a late-December rally.
Here are some of Thursday’s biggest cannabis stock movers (note – prices reflect intra-day highs as of mid-afternoon Eastern Standard Time):
A last-ditch effort to block restrictive regulations on medical cannabis businesses in San Jose, California, [click to continue...]
A hospital in Chicago has gone public with its desire to dispense medical cannabis. Executives [click to continue...]
Rand Corp. is set to begin a study on the possible impacts of marijuana legislation [click to continue...]
Illinois Gov. Pat Quinn has signed legislation expanding the list of qualifying conditions for the [click to continue...]
Cheeba Chews is back in business. The Colorado-based company – which makes a popular line [click to continue...]
When will Washington State’s recreational marijuana industry have enough product to satisfy demand? One cultivator [click to continue...]
Products from the popular Colorado edibles brand At Home Baked are being removed from store [click to continue...]
The Las Vegas suburb of Henderson received 28 applications for medical marijuana business licenses by [click to continue...]
New Mexico’s marijuana community has scored a minor regulatory victory. The state’s health department is [click to continue...]
Retail marijuana shops in Washington State can sell cannabis cookies, brownies and other baked goods, [click to continue...]
Canadians overwhelmingly favor loosening the country’s cannabis laws, according to a poll commissioned by the [click to continue...]
A prospective medical marijuana company in Canada has purchased a 300,000-square-foot facility for roughly $13 [click to continue...]
Michigan lawmakers could be close to approving a solution to the state’s medical marijuana problems. [click to continue...]
The U.S. House of Representatives passed an amendment Wednesday to prevent the federal government from [click to continue...]