matt badiail suggests marijuana stocks to invest in
Now that Oklahoma has legalized the use of cannabis, there are 30 states in the union that allow citizens to possess and use the substance. What is going on in Canada is even more interesting than that. Next October, Canada is going to legalize all forms of marijuana use, and it is going to be the first G7 nation to do so. As you might expect, people are talking about Canadian marijuana stocks.
In 2017, the sale of legal cannabis came to more than $6 billion. The financial expert Matt Badiali thinks that this is only the beginning of huge gains for these stocks.
Matt Badiali has a lot of experience in this area. A geologist by training, he was hired by another financial expert to examine some energy, mining and natural resource opportunities. In this capacity, he personally examined wells, mines and oil fields all over the world.
It seems that Matt Badiali is not alone in believing that marijuana stocks are about to climb higher. One investor has stated that Silicon Valley is as important to the U.S. as marijuana is to Canada. The only problem here is that American investors are not allowed to purchase Canadian stocks.
During the last boom, gold mining companies were in first place. Now, the gold mining companies are marijuana companies. One example is Newstrike Resources Ltd. This company lost all of its money as a gold mining entity, but some investors suggested that the company grow cannabis in Canada.
Newstrike quickly rose to the top of the heap when popular Canadian band The Tragically Hip invested money into the company. With this association, the stock went up from $0.05 in 2016 to $3. That meant that it gained 5,900 percent in a very short time. Today, it is back down at $0.50 percent.
The scenario mentioned above isn’t likely to happen again because rock stars aren’t going to be behind the next cannabis companies. Even so, more than 30 former mining companies have already switched to marijuana production as growers, and they created a new niche market for themselves.
There is one thing that people are afraid of at this time. Growers believe that they will have competition from the tobacco and alcohol companies when cannabis has been legalized in full. That’s when prices will begin to drop.
For those in the United States who are interested, you are welcome to take a look at some of the exchange-traded funds or ETFs. The first is the ETFMG Alternative Harvest ETF that currently contains $380 million in assets. Canadian marijuana companies are the main focus of this fund, and its best product is “The Green Organic Dutchman Holdings.”
Americans also have the opportunity to invest in AdvisorShares Vice ETF. Tobacco, marijuana and alcohol are the focus of this fund, and it will prosper when marijuana is legal. The fund also gives you the opportunity to invest in marijuana stocks.
Matt Badiali suggests that everyone begin investing in marijuana stocks before Canada legalizes the substance entirely even if it is in a small capacity because this sector is about to grow even bigger.
As a matter of fact, Matt Badiali believes that the cannabis industry is going to skyrocket. After he received his Master of Science degree in Geology from Florida State University in 2004, the friend who was mentioned above contacted him because he needed a geologist to help him give others investment advice. Matt Badiali learned everything he knows about investing from this friend, and those who were lucky enough to follow Matt Badiali’s advice earned major gains in the stock market. He decided to make it official and began to offer investment advice through his newsletter Real Wealth Strategist.
If his background and experience aren’t enough, Matt Badiali invites you to look at the data. The CIBC Markets performed some research on this topic, and they found that Canada’s cannabis market is set to exceed profits gained by gin, scotch, whiskey and bourbon by the year 2020. Wine is currently a $7 billion market, but cannabis is expected to nearly catch up to it and create a $6.7 billion market.
In the next two years, cannabis can expect to earn $1 billion, and if we look even farther into the future, we will see even larger numbers ahead.
After marijuana is no longer illegal, consumption is expected to be massive. More than 800 million people will be living in an area where cannabis consumption is legal by 2021. At that time, sales of medical marijuana will amount to $30 billion.
There is also the fact that an announcement was recently made in Canada. In the beginning of July, officials announced that adults will be able to purchase marijuana legally in October. This announcement is expected to encourage more investors to begin purchasing marijuana stocks. The winners will be both private and public Canadian companies as well as U.S. companies that can be listed on Canada’s exchanges.
Medical marijuana sales brought in $128 million in 2016, and Health Canada states that this number will grow to $1.3 billion in 2024. If that occurs, that would be an increase of 915 percent! This would mean that companies that make fertilizer and provide the security and lighting that support marijuana will be worth $22.6 billion just in Canada by 2024.
These numbers are humongous, and the opportunities investors will have will be as well.
#Marijuana Stocks Are Set To Grow In October Thanks To #Canadahttps://t.co/I2GBw12z3t#PotStocks #NASDAQ #SP500 #NYSE #Assets #Retirement #Commodity #Money #Investing #Commodities #Resources #Economy #Politics #Trading #Stocks #StockMarket #CMT #BanyanHill pic.twitter.com/ykmMfWKce8
— Matt Badiali (@MattBadialiGuru) July 16, 2018
One good example is Auxly Cannabis Group. The best cannabis companies use this particular group as an incubator, and it is a main source of support for them. Those who invest in this company will have a wide range of exposure in the cannabis market. Unfortunately, Auxly and companies like it are seeing their stock prices drop lower at the present time.
Shares of ETFMG Alternative Harvest ETF are near the lows they reached in April, but we can see that the true story is different from what we are currently seeing on the charts. Cannabis is getting ready to take off, and investors are taking these current low prices as an opportunity to jump in.
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