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):
Colorado’s Department of Revenue has confirmed a Nov. 1 target date to require tighter regulations [click to continue...]
Chicago will allow medical marijuana dispensaries in commercial and business districts – including popular tourist [click to continue...]
Medical marijuana dispensaries in Connecticut are about to welcome their first customers, even though the [click to continue...]
An Oregon-based financial institution has confirmed it is in talks with federal and state regulators [click to continue...]
Cannabis advocates and lawmakers in New York are urging the state to accelerate implementation of [click to continue...]
Senators from Colorado and Washington have jointly appealed to the White House and the U.S. [click to continue...]
Interest in traveling to Seattle has dipped slightly despite the start of recreational cannabis sales [click to continue...]
U.S. Sen. Rand Paul (R-KY) has filed a series of marijuana-related amendments in recent days, [click to continue...]
A Republican lawmaker has introduced a bill in the U.S. House that would effectively legalize [click to continue...]
Opponents of medical marijuana legalization in Florida have ramped up publicity for their campaign in [click to continue...]
Applicants for medical marijuana dispensary licenses in Las Vegas face some hefty competition. Roughly 47 [click to continue...]
The New York Times editorial board is calling for an end to the federal ban [click to continue...]
Entrepreneurs looking to enter Illinois’ medical marijuana industry could get help with one of the [click to continue...]
A Florida company has secured up to $500,000 in investments to fuel its business interests [click to continue...]