WallStreetBets Eyes Cannabis Stocks 👀

WallStreetBets Eyes Cannabis Stocks

While we’re on the topic of WallStreetBets, members of the subreddit have turned away from stocks like GameStop and are now focusing their attention on cannabis stocks. If you go on WallStreetBets, the first things you’ll see are memes and posts about buying cannabis stocks. The traders hold an optimistic outlook for cannabis companies and are betting that President Joe Biden’s administration will push for the decriminalization or legalization of cannabis.

WallStreetBets has sent cannabis companies Sundial Growers, Tilray, and Aphria on a turbulent ride this week. On Wednesday, Sundial Growers flew nearly 80%, Tilray jumped 50%, and Aphria gained 11%. But on Thursday, Sundial Growers fell nearly 20%, Tilray plunged 50%, and Aphria slumped 36%. Even with the steep drop in prices on Thursday, the cannabis companies are still up huge in the past 12 months. This wild volatility can possibly be attributed to the rise of retail investors on social media using commission-free brokerages to buy stocks, like the GameStop and AMC Entertainment fiasco.

Marijuana laws are changing at a fast pace. As more states start to legalize the medicinal and recreational use of cannabis for adults, investors are betting big on cannabis companies. In the United States, marijuana is now fully legal in 15 states and legal for medicinal use in 36 states. And during his campaign, President Joe Biden said his administration would pursue the decriminalization of marijuana, so investors are betting the cannabis market will continue to open in more states, fueling the growth of cannabis stocks.

I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.

Share:

More Posts

Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community.The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results.Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such.Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.