After Trump made a big splash about a year ago with the announcement that marijuana will go from Schedule I to Schedule III, zero has changed from the outside.
Underneath the hood, some hearings occurred, public comment was opened, and lots of arguments were had, but nothing substantial has come from it just yet.
And after a big jump after the announcement, cannabis stocks are starting to drown again.
For instance, Canopy Growth jumped to $2 from $1.15 after the announcement, but now sits at 0.68 at the time of writing. It’s a common trend with cannabis stocks, where some big promise causes a spike that’s followed by an even worse downturn after nothing bears fruit.
However, there is a silver lining to all of this, which is that it does seem like some good news will eventually come from all of this back and forth. At this point in the process, the DEA Judge has issued a stay on the rescheduling due to new studies being released, but things are point towards eventual rescheduling. And when that happens, yet another bump will occur. The question is whether these bumps continue on the road of diminishing returns or not.
Of course, none of this is financial advice, just some venting about the on again off again relationship investors have with cannabis stocks.
We can certainly expect a new spike at some point in the future. The question is how high that ceiling really is.
Read the original article at Yahoo Finance.
The post Where are cannabis stocks after the slow moving marijuana reschedule? appeared first on Weed Deep Dive.
Originally published on Weed Deep Dive.
