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):
The chances that Pennsylvania could become one of the next states to legalize medical marijuana [click to continue...]
Another mainstream investment firm is hoping to cash in on the cannabis industry. Tao Capital [click to continue...]
The former TV reporter who generated controversy last fall when she quit her job on-air [click to continue...]
Well that was quick. MBank, the Oregon-based financial institution that recently announced it would begin [click to continue...]
Entrepreneurs continuing the fight for medical marijuana in Florida have found an ally in Republican [click to continue...]
It’s official: Native Americans are getting into the marijuana industry. The Pinoleville Pomo Nation announced [click to continue...]
Former Illinois Gov. Pat Quinn, who left office earlier this month without granting medical marijuana [click to continue...]
How popular is the marijuana business in Colorado? Here’s one indication: A single county that [click to continue...]
Medical and recreational marijuana sales jumped 74% last year to hit $2.7 billion compared with [click to continue...]
Fearing legal repercussions if their users break the law, Instagram and Apple’s App Store are [click to continue...]
How’s this for irony: A lawmaker has introduced a bill to legalize medical cannabis in [click to continue...]
Marijuana Business Media has launched its annual survey of cannabis professionals to gather key financial, [click to continue...]
Washington State recreational marijuana shops have been struggling underneath a heavy tax burden, but state [click to continue...]
A New Jersey union has filed a grievance alleging unfair labor practices against a dispensary [click to continue...]