Best marijuana stocks 2019
Stock investments are associated with risks. This is mainly true for the case of marijuana stocks. 2019 is a speculative year for marijuana investors and the following stocks could be safe for the investors to consider in 2019:
This company has a positive growth in the global marijuana market. This is the safest plays to attain profit from this segment and its associated relationship with Constellation Brands. The company claims to have the largest supply agreements for the recreational marijuana market in Canada. The company has an assurance of its products to be purchased by them rather than most of the rivals. Canopy growth has extensive global operations in the marijuana industry with its topmost supplies in Germany. It also operates in Chile, Colombia, Czech Republic, Australia, Denmark, and Jamaica.
Canopy has the maximum cash available for the expansion of its services. The cash lead is very helpful for the legalization of hemp in the US. The company is even ready to enter the US market with the legalization of cannabis in various states. They could do better than most of its peers and increase the revenues in the US regions along with Canadian upliftment.
This is the safest marijuana stock segment and includes the beverages containing cannabis. It has a 38 percent stake in Canopy Growth group. It is a safe pick due to higher retail growth in sales. The company contributed to about 35% of the total industrial growth in 52-weeks in 2018. Constellation holds the position of #1 high-end beer manufacturer in the US the premium imported options.
The company has highly profitable earnings and even gives dividends to its stockholders (approx. 1.6%). There is a strong opportunity to establish a strong association with cannabis-infused beverages. Constellation Brands will be working to drive the growth with the new and trending alcoholic beverages. The stock was listed on the New York Stock Exchange (NYSE) which gives an assurance to the investors for the company to perform legalized operations. In August 2018, the company spent around $4 billion for increasing its stake in Canopy. The company aims at bringing the recreational marijuana industry to get similar to the alcoholic beverage industry and build profitable results for the consumer brands.
Innovative Industrial Properties
The company is a real estate investment trust specializing in the medical marijuana industry. REIT helps in distributing the majority of the taxable income to shareholders in the form of dividends. The company’s dividend yields about three percent of the value. Even if the stock fells up to a certain level, there is no scope for it to get failed. This stock is preferable as it is more diverse than other marijuana stocks. The company has ownership of ten properties out of which 8 are located in the US. With the loss of any one or two businesses, the company won’t go bankrupt. Also, the debt level of the company is zero and hence, financial security is quite high.
This is the rapidly growing company towards becoming the leading supplier to the US cannabis industry. The company offers a huge range of products to the marijuana growers and hence, the probability of getting losses is quite low. The core business of the company is its strength and it works in growing opportunities for craft and organic brands.