Top 3 cannabis stocks to buy in 2022
Cannabis legal sales are forecast to reach $50 billion by 2026. Here are three cannabis stocks to buy in 2022: Aurora Cannabis, Tilray, and High Tide.
The cannabis industry is forecast to grow at impressive rates in the years ahead. Positive political change has been driving market growth in the United States, but other markets look promising too. For instance, the legal sales in the United States are forecast to reach $50 billion by 2026, while the European cannabis market will be worth over $39 billion by 2024.
So what are the companies well-positioned to benefit from the industry’s growth? Here are three cannabis stocks to buy in 2022: Aurora Cannabis, Tilray, and High Tide.
Aurora Cannabis is a Canadian company selling cannabis and cannabis derivative products locally and internationally. Headquartered in Edmonton, its annual revenue estimate for the fiscal period ending June 2022 is $200.79.
Last week, Aurora Cannabis announced the completion of its largest-ever marijuana shipment to Israel. More precisely, it has shipped $7.8 million worth of cannabis, and it also expanded its board of directors to nine members.
Tilray is an American company involved in producing and distributing medical cannabis products. The company reported its quarterly earnings, and investors like that Tilray made a profit in the second quarter of its 2022 fiscal year. As such, the stock price surged today by more than 15%.
Out of the 24 analysts covering the stock price, 5 have buy ratings and 15 neutral ones, while 4 analysts have sell ratings. Most recently, Cantor Fitzgerald maintained its hold rating.
High Tide is another Canadian company engaged in the cannabis retail business in Canada and internationally. At the start of the new trading year, the company announced an agreement to acquire Bud Room Inc in a deal worth close to $3 million. The aim is to improve third-party revenue and deliver a better retail shopping experience to customers.
The company operates with a gross profit margin of 36.25% and increased its revenues by 117.91% YoY. At the current market price, High Tide has reached a market capitalization of $270.98 million and it has an enterprise value of $293.41 million.