Is Canadian Marijuana the next big thing? As bitcoin and other cryptos soared through the end of 2017, most people failed to notice the huge moves in several Canadian Cannabis stocks. Why the big moves? Canada is a very open minded, progressive country that recognizes the huge benefits of the marijuana industry. There has been quite a bit of consolidation with the Canadian producers as well as the companies that extract CBD and make devices to delivery the drugs. Early on in 2017 my radar had me watching a company called Aurora Canabbis (ACBFF), which appeared to be a winner to me based on various factors. I sat and watched Aurora hover between $1.40 and bouncing as high as $1.90 at several points. As we sometimes do, I sat and waited for a better price while Aurora picked up steam toward the end of the year hitting a high of $12.30 this year and settling down in the $6 range. ACBFF has made a lot of acquisitions over the past year which included the largest in the marijuana industry’s history with the purchase of Cannimed (CMED.TO), this would make them a serious contender in the industry, and a serious threat to Canopy Growth (TWMJF). They also have strong partnerships with Namaste Technologies (NXTTF) a vape company and Radient Technologies (RDDTF) an extraction company which will give them a formidable leg up on the competition. The major catalyst for all these companies is that the Canadian Prime Minister introduced a legalization bill in April 2017, that they have been working to put into effect by July 2018. This should create an exponential increase in demand for Marijuana in 2018, making Aurora one of the major beneficiaries as they have a strong pipeline which enables them to grow, harvest, extract, and even supply you with the vaping device to deliver the goods to the consumer! Now if that isn’t a recipe for success I don’t know what is! In summary, it may be a good time to broaden your horizons into the upper regions of North America, and get away from the crypto distractions, which appear to be taking a break as of late, and let the greener pastures of Canada make you some serious green into the next year.
