The Stockerblog.com Marijuana Stock index dropped 11% for the latest quarter versus the S&P 500, which was up 5% over the same time frame, according to the Marijuana Stock Index list at WallStreetNewsNetwork.com. If you look at the returns from the beginning of the year, the returns are even worth, the the Marijuana Index down 32% with the S&P jumping 11%.
Sixteen of the twenty one stocks in the index were down. For example, Medbox (MDBX) tanked 51% since the beginning of the year, CannaVEST (CANV) is down 80%, and Medical Marijuana (MJNA) is down 46%.
One of the few successes is mCig (MCIG) which was up 52%. The company is in the business of electronic vaporizing cigarettes.
Will these stocks recover and reach the heights they had back in January and February? Maybe, maybe not. It will be interesting to see who the survivors are. In addition to the Marijuana Stock Index list at WSNN.com, there is also the Large List of Marijuana Stocks.
Disclosure: Author didn't own any of the above at the time the article was written.
By Stockerblog.com
2 comments:
Most these cannabis stocks are pretty small and illiquid ... so they were likely manipulated. Once the SEC zeroes in on them (which they have), the manipulators move on to their next target. So there's nothing to drive these stocks higher.
Yes, most of the stocks on this list are extremely speculative. However, a couple of the 'blue chip' marijuana stocks have done extremely well. Look at GW Pharmaceuticals (GWPH). Just one year ago, it was trading for $9 a share; now it is above $100 per share, and increase of over 1078%. It has a $1.7 billion market cap, with $194 million in cash in the bank, making total cash per share of $9.39. This British company was founded in 1998.
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