Last week, the broader equity market was stronger and the S&P 500 Index rose 2.9%. However, cannabis stocks had mixed performances. Among the ten companies considered for our analysis, five companies had positive returns, while the other five companies’ stock prices declined last week.
On January 11–18, Trulieve Cannabis (TCNNF) and Planet 13 Holdings’ (PLNHF) stock prices returned 25.8% and 25.2%, respectively.
Last week, Trulieve opened its 24th dispensary in Florida. The company offers the largest selection of THC and CBD products to patients. The products are available in a variety of forms. The company’s founders agreed to a lock-up agreement with the company until July 25. The extension of the lock-up period raised investors’ confidence, which led to a rise in the company’s stock price.
During the same period, Acreage Holdings (ACRGF), iAnthus Capital Holdings (ITHUF), and Origin Agritech (SEED) have returned 6.5%, 5.6%, and 3.6%, respectively.
Stocks in the negative territory
Last week, the stock prices of The Green Organic Dutchman Holdings (TGODF), MedMen Enterprises (MMNFF), Curaleaf Holdings (CURLF), Wayland Group (MRRCF), and VIVO Cannabis (VVCIF) fell 7.0%, 6.1%, 5.2%, 4.6%, and 2.0%, respectively.
Last week, Wayland Group announced that it signed a letter of intent to sell 49.9% of its international assets to ICC International Cannabis for $126 million. MedMen Enterprises announced its preliminary revenues for the second quarter of fiscal 2019 at $29.9 million—870.8% growth from $3.08 million in the second quarter of fiscal 2018.