7 Marijuana Stocks Set To Increase In Value In 2021
Are you looking to invest in the top marijuana stocks in 2021? Are you looking to invest in the best marijuana stocks set to give you the best value?
We have it covered for you with 7 marijuana stocks to look to buy for the year ahead.
Marijuana Stocks set for appreciation in 2021
2021 is looking to be the year for the cannabis industry.
The exciting buzz-feeling that surrounds this sector is apparent, as investors across the world are taking more and more notice of this industry’s glowing performances. Even more so as President-elect Joe Biden is set to take over and the Democrats run the USA within the coming weeks.
This year is looking set to be the potential turning point for the cannabis industry and for the USA, who could potentially make more or if not all US states look set to legalise marijuana for either recreational or medical use of the product.
If the above happens, which is looking more likely as time moves on, then there is no denying that this industry is going to be one of the best performing industries moving forward on the market todate.
So to get ahead of the game we have chosen to look at 7 marijuana stocks that could appreciate in 2021 which could also be the perfect addition to your portfolio.
If marijuana stocks are your stocks of interest, be sure to read two further articles on the glowing stocks which look into the companies 2020 performances in The Best 11 Performing Cannabis Stocks in 2020
Here you will find a list of the booming cannabis stocks along with a breakdown of some of the best-performed marijuana stocks highlights.
The top 7 Best Marijuana Stocks to Buy In 2021:
4. Green Thumb Industries Inc (GTBIF)
7. Planet 13 Holdings Inc (PLNHF)
Will marijuana stocks finally come to life in 2021? If so, these 7 top picks could be some of the best investing options in 2021.
1. GrowGeneration Corp (GRWG)
Consensus Rating: ‘Strong Buy’
The first stock on the list of cannabis stocks that could appreciate in 2021 is GrowGeneration Corp.
As the start of the year is underway, this stock is already sitting in a good and positive position as the industry is looking set to ‘explode’ nicely this year.
GrowGeneration Corp has shown and had an impressive 2020 confirmed by the company's quarterly financial reports with the company's latest Q3 report confirming the company's strong position as we go into 2021.
GRWG reported a record revenue of $55 billion in 2020, not to mention that the company has made and is still in the process of completing various acquisitions which is all additional revenue looking to be brought into the bigger picture total revenue as the company moves forward.
Sounds impressive right? It is and it doesn’t look to slow down anytime soon.
The company has over 36 retail stores including distribution offices making it the largest hydroponics supplier within the USA.
As GRWG gross profit was also up 27% in the first nine months of 2020, the predictions for 2021 are almost double the companies 2020 performance.
GrowGeneration Corp is giving a full 2021 guidance of $280-$300 million in comparison to 2020’s guidance of between $185-$190 million.
The stock's current share price today sits at $50.31 and has been issued with a 1-year average price target by Wall Street analysts of $31.17 with the highest stock price being $45.00 and the lowest stock price being $8.00.
Not only can this stock offer you value, but it also comes hand-in-hand with growth and momentum and a stock that is set to be an exceptional long-term investment as the cannabis industry thrives with success.
2. Cresco Labs Inc (CL)
Consensus Rating: ‘Buy’
Cresco Labs Inc is an American cannabis company that supplies marijuana for both medical and recreational use.
The company has a unique business that draws in not just investors, but consumers with their additions. As the US draws closer for more states to legalise the usage of recreational marijuana, the companies' brands also add their unique benefits to the products.
The companies products sold under the ‘Mindy’s Brand’ offer marijuana-sweet collection where marijuana has been compacted into chocolate bars, fruit chews and more which is proving to be a consumer success across the US legalised states.
Along with the company's unique selling of their products, Cresco’s aim is to ‘normalize, professionalise and revolutionise cannabis’ and cannabis products around the states.
When it comes to the company's wholesale avenue in 2021 and beyond, Cresco has access to over 550 dispensaries where its products can be sold and purchased alongside the opening and operating of their own stores.
In terms of financial health released in the company's most recent quarterly report, Cresco had record revenue of $153.3 million, an increase of $59 million and an impressive retail revenue growth of $62.8 million up 60% from last year's 2019 quarter.
Confirmed that this was the third consecutive quarter for the cannabis company with over 40% revenue growth. We believe this record is not going to end there.
The stock's current share price is $12.08 and has been labelled as a cannabis stock that can be a ‘profitable investment option’ by analysts who have watched this stock evolve in recent years.
Analysts have also given their forecast predictions for the stock, with a 5-year revenue investment expected to be around +28.66% and a stock price prediction of $15.54 leading to 2026.
Cresco Labs Inc is a wonderful value stock looking set to thrive in 2021 and is also a good long-term investment addition.
3. Tilray Inc (TLRY)
Consensus Rating: ‘Hold’
Tilray Inc the Canadian pharmaceutical and cannabis company has respectively come in on the list of one of the 7 stocks that could appreciate in 2021.
The Canadian company headquartered in Toronto, Ontario also operates internationally as well as having a strong presence within Canada and the US market.
Not only does it have its sole presence felt, but the company also merged with Aphria last month in December 2020 which has now been named as the largest marijuana company in the world.
Although recent reports and figures may show this stock to be behind its competitors, that doesn’t mean to say that this cannabis stock is one to be discarded. In fact, we believe this stock is one that could appreciate nicely in 2021.
The company's share price has risen over recent days and has proven that the stock is up 38.1% in this past month according to Zacks Report and has also been given an increased Zacks Consensus Estimate as the days move by, indicating that the stock is becoming more popular and solid as the days go on.
In 2020 the medical stock TLRY reported total revenue of $51.4 million which remained on the level of previous revenue results. The cannabis segment revenue was confirmed to have decreased by 11% which was confirmed for numerous reasons including discontinuation of bulk of sales and decrease in Canada medical sales. However, adult-use and international medical sales were up by 26% and 46% respectively.
Given the tremendous impart the coronavirus pandemic has also had on the world, this may have also played a slight contribution to the cannabis stocks results.
Nevertheless, we believe that TLRY still has more growth and strength behind it which makes this stock a good value stock looking into 2021.
4. Green Thumb Industries Inc (GTBIF)
Consensus Rating: ‘Buy’
Another American cannabis stock set to offer great growth and value in 2021 is Green Thumb Industries Inc.
In 2020 it was reported that GTBIF ‘Blew out street expectations’ with its financial results over the year.
The company reported an increased revenue of 31.1% up to $157.10 million within its third-quarter and with an adjusted EBITDA at $48.7 million.
But lastly, the company's report on net income which was reported in Q3 2020 results in $9.6 million which is a huge increase from its net loss in 2019 of $14.6 million. This result alone speaks volumes as to how the company is looking to continue on into the year and further.
So what makes Green Thumb Industries a good value stock?
The multistate operator Green Thumb Industries has a lot of potential growth looking into the future.
Although the company offers and operates over 50 dispensaries the company also has the ability to open almost 100 stores and has 13 manufacturing facilities. All stores are within licensed states as their current trading license enables.
A second factor to be known about GTBIF stock is that it is a very heavily business-minded stock when it comes to the operating, meaning that they are selective with where they choose to operate from in states across the US, as they aim to seek out where they can gain great consumer revenue along with market share.
When it comes to the company's products, these have no question mark surrounding them. And it's apparent to see that all products both medical and recreational are in demand more so now than ever before.
As it stands today Green Thumb Industries is considered a value stock with great growth potential in the coming year and beyond. This stock comes in as one of our firm favourite cannabis stocks to buy for 2021.
5. Aphria Inc (APHA)
Consensus Rating: ‘Buy’
The Canadian cannabis producer that is growing by the moment is also a stock set to be a good investment for the long-term outlook.
As mentioned above this Aphria stock merged with Tilray (TLRY) in December 2020 which is now one of or if not the largest cannabis stock on the market today in terms of revenue.
But the company has not stopped its adventure into adding more companies into the mix just yet. 2020 also saw StreetWater Brewing company, one of the USA’s largest craft brewing companies, be acquired by APHA.
And who is to say that the company is not going to look to expand further as time moves forward. As it has been named to be the acquisition king in the cannabis stock market.
On its own accord, Aphria has gained good growth and grew 75% over the past year.
The stock has been granted a consensus rating of ‘Buy’ by analysts moving forward.
For the company's growth prospects makes this stock a good value stock to buy into.
6. Canopy Growth Corp (CGC)
Consensus Rating: ‘Hold’
Okay, although this stock is deemed to be the largest cannabis stock on the market, this stock is still one that can give great returns back to investors, which is why this stock made the top 7.
If you are not familiar with this stock, this stock has become wealthy in cash from equity investments from Constellation Brands (STZ). And for those not sure who STZ are, Constellation Brands Inc is an American producer and marketer of alcoholic beverages and happens to be the largest beer import company in the USA.
According to reports, STZ currently owns roughly around 38% or more of Canopy’s outstanding shares.
Deemed to be a perfect long-term investment, CGC stock also has the cash in order to progress and establish further, especially even more so in light of what is to come for the cannabis industry this year.
Having more cash provides more room to expand in new projects such as more facilities to create and operate and even look to expand further into the international markets. According to Canopy Growth’s management team, the focus on the USA, Canada and the German markets are the solid focuses as these countries make up over 85% of the global cannabis market.
But of course, it goes without saying, the bigger a stock becomes the more chance it has of losing more money, however, the increase is greater in this case for CGC stock as it manages significantly well with its losses and negative results for a large-cap stock.
As for the stocks future prospects it has been forecast and average 1-year forecast of $430.5m +19.94% to a forecasted 3-year average set at $945.5 million +163.44%.
The current share price has been deemed to be undervalued based on the stock’s fundamentals.
For this stock's growth prospects as it seeks to expand in all areas including its market share and international presence, the company's strategic plan moving forward which is keeping the company in as much positive financial health as possible and as the marijuana industry is set to soar, we believe this stock is a great growth and value stock to be appreciated in 2021.
7. Planet 13 Holdings Inc (PLNHF)
Consensus Rating: ‘Buy’
A smaller and slightly underestimated cannabis company to come within the top 7 cannabis companies set to be appreciated this year is Planet 13 Holdings Inc.
Many may not have even heard of this marijuana stock before 2021, unless you have visited the party city of Las Vegas or you are an avid investor within the industry, then you have more than likely heard of PLNHF.
Based in Nevada, Las Vegas the company is one of the largest cannabis dispensaries in the world and the brand also operates through its Planet 13 Cannabis Superstore & Entertainment Complex along with other sub-brands who distribute their cannabis and coffee products.
As the Coronavirus pandemic took over the world, many may have thought that Planet 13 was going to struggle to say the least, as the company brings in a lot of revenue from tourism.
But this was not the case, clearly.
The company has reported that the stock is 186% higher than last year as sales skyrocketed in 2020 and increased sales by 36% pre-COVID-19.
The company’s reported revenue is at $22,797,338 in comparison to the same quarter results in 2019 which the revenue came in at $16,696,932.
As the excitement for the company continues to build for the cannabis brand, so too does the next adventure. Planet 13 this year, is set to open its second location which is spread over an impressive 40,000 - square-foot scale retail store which is located in Santa, Ana, California, USA.
With its share price at $5.89 and with a 52-week range between $0.63 to $6.40 being the highest. This stock offers value, growth and momentum as we go into 2021.
Summary
To summarise, these 7 top marijuana stocks are looking to add further established growth across various avenues which is a tern will and could bring in great revenue over the coming year and leading into many more years to come.
No matter which cannabis stock from the list of 7 stands brighter to you, all of the performing marijuana stocks come with their own unique individuality and their own long-term outlooks which is advised before choosing to invest in your chosen stock to carry out additional research to cover all angels.
Note - To clarify all stocks mentioned above do come with their own risk elements which is advised to always conduct further research before looking to invest in your chosen stocks.
Now let’s take a look into how to invest in the leading cannabis stocks.
To invest in the successful marijuana stocks all you need is a broker to get your trading journey underway. And this can be done with no face to face appointments and no excessive waiting delays; it can simply be done from the comfort of your own living space.
Choosing wisely and conducting research into brokers and online platforms is crucial. If you have already looked into this avenue you will see there are various trading platforms to choose from along with many brokers to connect with.
But it’s strongly advised that you stick to a regulated licenced platform and broker to carry your trading journey. You will find the relevant trading licences at the bottom of the trading platforms webpage along with individual brokers license, if not online then on request.
Whilst there are many platforms to choose from we highly recommend the award winning trading platform, eToro.
eToro has a client base of over 17 million investors worldwide and has access to over 800+ stocks on the market today, including the top cannabis stocks.
Once you have successfully opened your trading account you are ready to begin and start your investing trading journey. A small transferable cash deposit is required before you can start to trade and then you're ready to go.
Upon opening your trading account, if practice and understanding is what you require more of, a free virtual demo platform is available at your leisure with $10,0000 virtual funds for you to create a virtual portfolio and see how trading online operates. You will also be able to gain a further understanding of trading strategies whilst you participate.
If it’s investing on the go you are looking for, eToro provides the ability to invest 24/7 from any device you wish.
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Key Takeaways:
- 7 marijuana stocks that could appreciate in 2021 are looking set to be solid stocks for growth in 2021 leading to increase in value.
- top marijuana stocks to be appreciated in 2021 are also set to be good long-term financial investments.
- The cannabis industry is set to soar in 2021 as the U.S becomes run by democrats who intern support marijuana usage.
- The cannabis industry has been named to be the most underrated industry set to archive great potential in 2021 and for years to come.
- Investing in the 7 marijuana stocks is quick, simple and easy with the leading trading platform eToro.
- Before investing make sure you are fully aware of what you are investing in.
- Lastly, always invest within your means.
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