Chemdawg marijuana plants grow on October 29, 2019 at a facility in Smiths Falls, Ontario, Canada.
Blair Gable | Reuters
Reddit retailers had a new target this week: cannabis supplies.
Before falling back on Thursday, Tilray’s shares rose more than 50% on Wednesday, while Aurora Cannabis rose about 20%. Both stocks then tumbled, but have remained higher since the beginning of the week.
The WallStreetBets Reddit thread shed light on a sector that analysts have been watching for some time, describing it as a ‘big long-term opportunity’.
In a recent comment, analysts at Piper Sandler said that cannabis could become a $ 115 billion market by 2030 if recreational use is legalized at the federal level. Although legalization is not across the US, the operating potential is still ‘attractive’ and will reach $ 50 billion by 2030, the investment bank added. The use of cannabis for recreation is now legal in 15 US states.
Of the analysts’ top weed stocks, one was particularly popular with three investment firms, while Goldman Sachs noted that a firm was’ underestimated ‘by investors.
Here is the best cannabis selection from investment companies.