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):
Marijuana opponents in Alaska have found an odd bedfellow in their fight against cannabis legalization: [click to continue...]
Many cannabis advocates in Minnesota think that the state’s medical marijuana program is much too [click to continue...]
Whether or not medical marijuana passes in Florida on Tuesday, Tampa will be home to [click to continue...]
The success of several marijuana measures on the ballot next week could ultimately hinge on [click to continue...]
The cannabis market in Washington DC could top $130 million annually if the city legalizes [click to continue...]
When it comes to recreational marijuana, enforcement of the law is no laughing matter for [click to continue...]
Recreational marijuana could be a nail-biter in Oregon on Election Day. A poll released this [click to continue...]
The first legal medical marijuana plants were seeded in Chile on Wednesday as part of [click to continue...]
A Maryland commission postponed a final vote on medical marijuana regulations, saying the 15-member panel [click to continue...]
High-potency strains are a big hit with customers in Washington State’s new recreational market, it [click to continue...]
A publicly traded cannabis company has filed suit against a major shareholder, alleging he caused [click to continue...]
A Seattle attorney warned hundreds of industry insiders at a business conference on Tuesday that [click to continue...]
Police officers and federal agents raided multiple marijuana growing operations in Denver on Tuesday, saying [click to continue...]
Medbox Inc., a publicly traded software and consulting firm that makes marijuana dispensing machines, has [click to continue...]