218.60 +0.03 (0.01%)
After hours: 6:49PM EDT
|Bid||0.00 x 1000|
|Ask||0.00 x 1100|
|Day's Range||214.50 - 219.43|
|52 Week Range||197.32 - 236.62|
|PE Ratio (TTM)||16.39|
|Earnings Date||Oct 4, 2018|
|Forward Dividend & Yield||2.96 (1.40%)|
|1y Target Est||243.29|
Real Money's Kevin Curran talked this week with CEO Bruce Linton of Canopy Growth Corp. , one of the hot legal-cannabis stocks that are taking financial markets by storm. Click here to read Part ...
Marijuana stocks are hot in today’s market, but pot stocks are not the only way for you to profit from the habits of other people. You can go with diversity in Constellation Brands (NYSE:STZ), you can go for global growth with Anheuser Busch InBev (NYSE:BUD), or you can go for U.S. growth with The Boston Beer Co. (NYSE:SAM). Constellation is based in upstate New York as a wine company but is better known today for its beer and spirits.
was reviewed in late June before it announced an investment in Canopy Growth Corp. , where I wrote that, "The risk for STZ is that if prices break below $215 we could see further declines to $205 (the February low) and then perhaps $195 or so based on the Point and Figure target. In this updated daily bar chart of STZ, below, we can see that prices have rallied to the underside of the cresting 200-day moving average line.
Midterm elections will “deliver incremental catalysts" to the marijuana industry regardless of which political party emerges victorious, according to analysts. In a research note, reported on by CNBC, Cowen's Washington Research Group said that a Democratic win would be better for the sector, before concluding that the Republican party holding onto its majority could also boost pot stocks more than before. "Few industries are better positioned than cannabis regardless of outcome," Cowen senior analyst Vivien Azer wrote in the note.
It may end badly, but for nimble traders in Tilray the good times are likely to continue flowing as the hype on the company's prospects reach fever pitch levels. Clearly, investors have bought into Tilray's pitch hook, line and sinker. "This industry [cannabis] is disrupting the pharmaceutical industry, cannabis is a threat to prescription based painkillers primarily opiods," explained Kennedy in an interview with TheStreet on the day of its July IPO.
In late July, cannabis company Tilray (NASDAQ:TLRY) went public at $17 per share. Today, exactly two months after its IPO, Tilray stock crossed above $200 and is showing no signs of slowing. As of this writing, stock in Tilray is closing in on $240.
The question on everyone's mind now is: "Where is Tilray's top?" I have no idea, but my fellow columnist Jim "Rev Shark" DePorre recently had a terrific write-up comparing TLRY's rise to the way Ponzi Schemes play out. By contrast, Tilray still offers investors what I call "The Dream" -- a chance to participate in the perfect deal with the perfect company.
Marijuana stocks are riding a wave of giddy news, with a rally by Tilray reaching a point of absolute hysteria. But don’t get too high on all these surging pot stocks.
CEO Brendan Kennedy had to say to Jim Cramer Tuesday night on "Mad Money" or the company's stock is a bubble waiting to burst. Kennedy touted his Canadian cannabis business as a smart hedge for the world's largest pharmaceutical companies in an interview with Cramer on CNBC. "Cannabis is a substitute for prescription painkillers, prescription opioids, and so if you're an investor in a pharmaceutical company or you're a pharmaceutical company, you have to hedge the offset from cannabis substitution," Kennedy told Cramer.
“Few industries are better positioned than cannabis regardless of outcome,” says Cowen analyst Vivien Azer. A total blue wave would be the best outcome. The removal of Attorney General Jeff Sessions, who has been vehemently against legalizing marijuana, is also seeming more likely after comments by President Trump this week.
Cannabis mania is in full swing, and the stock that is creating the most hype is Tilray (NASDAQ:TLRY). Seven weeks ago, Canadian cannabis supplier Tilray went public at $17 per share. The alcoholic beverage market has produced multiple $50 billion-plus companies, including one $170 billion company.
The red-hot legal-cannabis market could have an even bigger year in 2019 than it did in 2018 as traditional companies see too much green in legalized pot to ignore. The Pew Research Center found that the percentage of Americans who favor legalizing pot has grown to 61% today from just 12% in 1969 when Pew first polled on the issue.
In the fall of 1996, California voters passed Proposition 215, a landmark piece of legislation that made medical marijuana legal across the state. It was the first law in the country making marijuana legal on the state level, and it reversed decades of precedent in the United States. Fast forward to early 2018 and 30 states had legalized medical marijuana and nine had legalized recreational marijuana.
Yesterday, President Donald Trump announced a new round of tariffs on Chinese goods — $200 billion to be exact. In response, China issued a $60 billion levy on U.S. goods. In an increasingly global economy, prospects for a trade war with China tend to foster nervousness among investors.
Just look at the deal Canopy Growth Corp (NYSE: CGC) landed with Constellation Brands (NYSE: STZ) just two months ago. That deal, which had Constellation Brands pony up $4 billion for a piece of Canopy, launched a huge run on cannabis stocks. While Canopy Growth Corporation shot up nearly 30 percent on the news, we saw roughly a half dozen other cannabis stocks tack on double-digits gains too. The Coca-Cola Co (NYSE: KO) said it was closely watching the cannabis-infused drinks market, Reuters reported Monday.
Anyone who holds stock in a Canadian marijuana company, including Tilray (NASDAQ:TLRY), had their nerves rattled on September 14. “If you work for the industry, that is grounds for inadmissibility,” Todd Owen, executive assistant commissioner of the U.S. Customs and Border Protection Agency’s Office of Field Operations, told Politico.
Coca-Cola's deal with Costa and a brewing deal in the cannabis industry could introduce some volatility, which has traders watching these levels.
As an integral component of Americana, Coca-Cola (NYSE:KO) doesn’t really generate much news. While Coca-Cola stock earns respect for turning around its business and making its products relevant to today’s youth, the soft-drink sector is extremely competitive. Plus, it could spark a new reason to invest in Coca-Cola stock.
Betting against cannabis stocks is becoming an increasingly expensive occupation. Short sellers have lost $490 million year-to-date betting against the sector and $626 million since the start of August, according to S3 Partners, as pot stocks rallied off the legalization of cannabis in some countries and investment interest from some of the world's biggest beverage companies. Research from the financial analytics firm showed that an increasing number of investors responded to excitement surrounding the sector’s prospects by betting against 33 stocks and exchange-traded funds (ETFs) tracking the industry.
Coca-Cola Co. confirmed on Monday that it is considering the opportunities in CBD-infused beverages, drinks that contain the non-psychoactive ingredient in marijuana, cannabidiol. In a statement, Coca-Cola said: "Along with many others in the beverage industry, we are closely watching the growth of non-psychoactive CBD as an ingredient in functional wellness beverages around the world. The space is evolving quickly. No decisions have been made at this time." The largest beverage company in the world would be joining other big names including Molson Coors Co. and Constellation Brands Inc. that have made investments in the space. Coca-Cola and other carbonated-beverage businesses have sought out new products in areas like bottled water and wellness drinks as soda consumption has declined. Interest in the space has driven up shares of cannabis companies like Canopy Growth Corp. nearly 107% for the year so far. According to Bloomberg, Coca-Cola is in discussions with Aurora Cannabis Inc. about new products. Coca-Cola shares have edged up 0.2% for 2018 to date, and the Dow Jones Industrial Average is up 5.8% for the period.