2018 was the year of the cannabis stock. Fortunes were made in lost in what has been termed the “green gold rush.”
But in 2019, things have calmed down somewhat. An industry-wide correction is still in play. The mania and speculation that drove the market last year is no more. Now, as the industry matures, a buying opportunity has presented itself for astute investors.
Many companies in the cannabis industry are growing at rates only dreamed of by companies elsewhere. Despite this, cannabis stocks are still cheap. Some experts believe that the industry as a whole is showing signs of bottoming out. In other words, now is a great time to speculate in cannabis penny stocks.
How do you know which stocks to buy? We hope to give you a kind of penny stock report here. Penny stocks are always risky, as the companies involved tend to have very small market caps (a penny stock is defined as any stock whose share price is less than 5 US Dollars). But speculative bets can pay off when you pick them right. Here are the top ten cannabis penny stocks to buy in 2019.
1. Blueberries Medical (BBRRF)
In contrast to most top cannabis companies, who are focusing primarily on the North American markets due to recent legalization in Canada and the USA, Blueberries Medical focuses its efforts on the Latin American cannabis market. The company owns 37 acres of commercial production in Colombia.
2. MedMen Enterprises (MMEN)
MedMen was one of the stocks people speculated in most during the rush of 2018. The stock has fallen about 70%, to less than $2, from it’s October 2018 high of over $6. This could be an opportune time to acquire shares of MMEN. The company has a large retail presence in Florida, Arizona, and Nevada. And while the company recorded a loss of over $53 million in its most recent quarter, they could easily reverse the trend soon.
3. Medical Marijuana Inc. (MJNA)
Medical Marijuana Inc was incorporated in 2005. The company provides a variety of technologies, services, and products for the industrial hemp and medical marijuana sectors. Things like new technologies relating to the extraction of THC and CBD, cannabinoid-based products like cannabinoid chewing gum, and potent extracts created for the nutrition, cosmetic, and pharmaceutical industries.
4. Kush Bottles (KSHB)
Based in California, Kush Bottles is a start-up that aids entrepreneurs who want to get into the cannabis industry. They provide a one-size-fits-all solution to reduce the barriers to entry in a heavily-regulated industry. Kush also distributes large quantities of marijuana supplies and packaging. It’s often pointed out that the people who profited the most from the gold rush generations ago were those who provided supplies, not those who found gold.
5. Terra Tech Corp (TRTC)
Terra Tech Corp is located in Irvine, California and focuses on the cultivation of cannabis. The company designs and sells hydroponic equipment in addition to their patented tech for cultivating indoor plants. They operate through several subsidiaries like MediFarm, Edible Garden, and IVXX.
6. Aurora Cannabis Inc (ACBFF)
Based in Vancouver, the company is involved in the cultivation, harvest, and sale of medical marijuana in Canada. They use water from the Canadian Rocky Mountains to irrigate the plants on their 55,000 square foot facility. Aurora provides high-quality medical cannabis at affordable prices.
7. Aphria Inc (APHQF)
Aphria is also a large player in the medical cannabis market and is positioned well to profit from Canadian legalization. The company sells and transports medical cannabis oil. Since 2015, their revenue has grown from just over a half a million to over $20 million (CAD). Even more impressive, their net income was $15 million – it’s rare for a cannabis company to already be that profitable.
8. Zynerba Pharmaceuticals Inc (ZYNE)
This pharmaceutical company was founded in 2007 and focuses on creating and commercializing synthetic cannabinoid therapeutic products that can be delivered via topical application to the skin. It’s two flagship products at present are a CBD gel and a CBD patch that are both designed to deliver a controlled dose of the drug.
9. American Cannabis Company Inc (AMMJ)
Founded in 2001, the company provides solutions for cannabis companies in Canada and the US. Its operations consist of 1) the sale of products and equipment for cannabis industry customers and 2) consulting and advisory services.
10. Cannabis Sativa Inc (CBDS)
In operation since 2005, the company is based in Nevada and just went public three years ago. Cannabis Sativa creates and markets natural cannabis products through Amazon in addition to its own website. This small company has a license for a particular strain of cannabis to be consumed in the form of a lozenge.
There are many cannabis penny stocks out there from which to choose. We have chosen ten out of the bunch that we believe have high-growth prospects. In the end, anything can happen. Good luck and happy investing.