This is an unscheduled interim update to let you know that the next full issue of Cabot Marijuana Investor will be published Thursday, August 30. That will be somewhat more than three months from the previous update, but the fact that the Cabot Investment Summit occurs this week means that we needed to move the publishing date forward or back a bit, and I chose back to incorporate the barrage of earnings updates into our next report.
In the meantime, I want you to know that I remain long-term bullish on the sector as a whole, and am continually scanning the horizon to ensure that our portfolio truly does have the 10 best stocks.
What I see today is that the big well-known growers—Canopy (CGC), Aphria (APHQF) and Aurora (ACBFF)—remain in a long consolidation pattern, cooling off from the heat that took them all to new highs in January. Business-wise, all three will do fine, but the stocks are in consolidation mode, with CGC the strongest and ACBFF the weakest.
On the other side of the risk spectrum, “low-risk” REIT Innovative Industrial Properties (IIPR) and “old-school” NYSE stock Turning Point Brands (TPB) look great, and illustrate the value of diversification.
As to the other five stocks in the portfolio, they’re a mixed bag, with iAnthus (ITHUF) somewhat impressive and Kush (KSHB) rather troubling.
Also, I’m very impressed by the performance of previously unmentioned CV Sciences (CVSI), formerly known as CannaVest. The company is the #1 supplier of CBD in the U.S. and the stock has been hitting new highs all month.
Aggressive momentum investors could buy here, but there are major risks, particularly given the fact that the stock has no company among its peers in its journey to the stars (at least not yet). In any event, I will almost certainly have more to say about the company and the stock in the August report.
Last but not least, it gives me great pleasure to inform you that henceforth, Cabot Marijuana Investor will be published monthly, so that I can keep you better informed about the ongoing developments in this exciting investing sector.