Know which CBD Companies Dominate Stocks in 2020

Share On Facebook
share on Linkedin
©

It doesn’t take a financial wizard to know that the growth of CBD stocks that was expected after passage of Farm Bill in 2018 has been all over since then. Fortunately, most experts agree that these stocks are not only poised for a comeback but are likely to top the $20 billion mark in a few years.

Right now, there are thousands of different brands that have flooded the market, bringing several companies to the forefront and dominating others. These include Aurora Cannabis, The Veritas Farms, and others. This article will provide a brief glimpse of which CBD stocks dominate stocks in 2020.

 

Canopy Growth (CGC)

Until a few months ago, Canopy Growth was only a small Canadian player in what seemed to be a strong American market. Making matters worse, Canopy seemed to be throwing money away in its efforts to compete against the big boys in the U.S. cannabis game. That was before all the economic chaos that started with the COVID-19 shutdown.

Right now, it seems like Canopy’s best chance at busting out in the market would be to take shelf space away from the bigger players that are fumbling to get back in the game after the economic shutdown that has thrown everyone off their game.

All of this give and take in the market puts investors in a cautious but optimistic mood, with TipRanks rating it six as a buy, six as a hold, and one as a sell.

 

The Veritas Farms (VFRM)

If one were to describe a stock as down but not out, it would most likely be Veritas Farms, an agribusiness that has focused on production of a full line of help oil products with natural cannabinoids.

Veritas Farms has seen its fortunes slip over the past years but, with some heavy marketing emphasis on several new products, some corporate restructuring (most notably a new senior finance and operations executive), and new stock offerings, it seems like the company has a lot going for it. Most experts are cautiously optimistic about this stock, looking for good things to happen as the economy recovers.

 

Charlotte’s Web Holdings (CWBHF)

When most experts express optimism for the CBD stock business, they are usually watching Charlotte’s Web Holdings as their guiding light. This is due primarily to it being the clear independent leader in the U.S. CBD market.

The stock has clearly had its ups and downs, especially since March, but since that time it has achieved a market cap below $500 million while the sales goal was $350 million. Even analysts have forecasted sales for 2021 topping $500 million and recently as mid-2019.

Any analysts who have been watching Charlotte’s Web Holdings for indications of what will happen in the market have not been disappointed. That’s because, after it acquired Abacus Health Products, it has had access to more than 15,000 retail stores, including 16,500 health provider offices to expand their distribution channels and focus market leadership.

Charlotte’s Web Holdings will need to clear up some regulatory issues with the FDA over some food products, but once this is done, look forward to business soaring. This could happen soon with the passage of H.R. 5587, which would amend the Food, Drug, and Cosmetics Act to remove restrictions on food products.

Most analysists are calling Charlotte’s Web Holdings as a strong buy. Making it even better, it is a currently a bargain at $4, with an average of $7.31.

The truth is that there are many good stock picks representing the cannabis market. Especially now, it’s not a mater of what, but which.

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.

Leave A Reply

 
Do you want to write for our Newspaper? Get in touch: newspaper@advfn.com

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

P: V: D:20201023 03:11:33