3 Hemp and Marijuana Stocks to Keep an Eye On

For quite some time now, investors raking in profit from cannabis stocks which have been getting richer and richer. One reason for this may be the handful of business players now focused on hemp.

This can be reflected by the increase in the areas where hemp, a cannabis sativa variety, is cultivated. Based on the Marijuana Business Daily, the market year 2016 to 2017 saw a 140 percent increase in licensed areas across all the top 10 states that plant hemp. Meanwhile, the number of hemp producers doubled during that period.

Despite the enthusiasm for hemp, the industrial plant remains pitted against rigid government restrictions on its cultivation and distribution. Under federal law, planting of hemp remains prohibited. States that seek to open their lands to hemp cultivation may do so as long as they present a comprehensive hemp planting program.

One of the latest regulatory worries is when Attorney General Jeff Sessions recently expressed intent to rescind a number of Obama-era rules, one of which is the policy that directs non-interference in the marijuana-friendly laws of states where the plant is legal for use.

Amid a worrisome regulatory environment, hemp businesses continue to see a prosperous atmosphere. This is true at least for the established cannabis stocks which are poised to soar further.

Take a look at some marijuana-focused firms worth investing on:

Toronto-based Cronos Group has medical marijuana production and distribution operations across many different countries like Israel, Canada, Germany, and Australia.

Recently, the company forged a partnership with MedMen, which is expected to boost their presence in the United States.

“[We’ve] looked around; it’s the best retail experience we’ve seen,” Cronos CEO Mike Gorenstein said in an interview with James West’s Midas Letter, tagging MedMen as the most recognizable cannabis brand in the world today.

The partnership will give Cronos Group a leverage in having “dominant presence” in areas such as Los Angeles, Manhattan, and Las Vegas, and even take advantage of it in expanding its consumer base in Canada.

The firm is estimated to have a market cap of $1.061 billion.

Based in New York, HempAmericana Inc. (OTCMKTS:HMPQ) is a leader in the production of rolling papers and hemp-based cannabidiol (CBD) oil through the brand name Rolling Thunders and Weed Got Oil, respectively.

What makes HempAmericana different among its competitors is that it operates one of the largest scale CBD oil extraction machines ever built in the market. At present, the company is utilizing this machine to focus on several cannabis-based businesses.

Among its recent developments is getting a license for a certain property in Augusta, Maine, which will add to HempAmericana’s lands for hemp cultivation. Part of the company’s future plans is to establish three laboratories for the extraction and research of the oils from the hemp plant.

With this acquisition and expansion programs, the firm is eyeing to dominate the eastern U.S. market where it can roll out its products with 99 percent high-quality CBD products.

With an estimated market cap of $145.119 billion, pharmaceutical company AbbVie offers a cannabis-based drug. The firm’s Marinol, which helps alleviate nausea or vomiting for chemotherapy patients, is approved by the Food and Drug Administration. The drug also helps AIDS patients who have lost their desire to eat.

Over the past four years, the company has been seeing growing sales thanks to its wide selection of drugs, which include the Marinol. Investopedia sees AbbVie’s diversification in other drugs as a way to play safe from exposing itself completely to the risks warranted by the regulatory barriers.

Equity managers may still save themselves from plunging along with other hemp or marijuana stocks that may falter in the face of bad news. To do this, investors should place their money on established and expanding firms like these three.