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):
Nebraska and Oklahoma have filed a lawsuit with the U.S. Supreme Court to overturn Colorado’s [click to continue...]
In a lesson on how not to advertise your medical marijuana business, a dispensary in [click to continue...]
The future of dispensaries in Michigan hangs in the balance as police groups and public [click to continue...]
Minnesota’s medical marijuana market could be smaller than expected, as patients will reportedly have to [click to continue...]
The Colorado Department of Health and Environment will devote serious money to studying the efficacy [click to continue...]
PayPal co-founder and early Facebook investor Peter Thiel plans to pump money into the marijuana [click to continue...]
Alaska’s budding marijuana industry scored a significant victory Tuesday night when lawmakers killed a proposal [click to continue...]
A new trend in Maine offers yet another possible offshoot business opportunity in the cannabis [click to continue...]
It looks like hope may still be alive for a recreational marijuana market in Washington [click to continue...]
Startup companies focusing on the ancillary cannabis market will get a helping hand – and [click to continue...]
A Canadian federal appeals court unanimously upheld an injunction that lets patients continue growing medical [click to continue...]
Following news that the federal government will essentially allow Native American tribes to grow and [click to continue...]
Tommy Chong served as a poster child for the marijuana movement back in the 1970s, [click to continue...]
Canadian medical marijuana holding and investing company PharmaCan Capital is scheduled to go public next [click to continue...]