The Ontario Cannabis Store released an optimistic statement regarding the success of the Cannabis 2.0 launch in Ontario. As the only legal online cannabis retailer in Ontario, the OCS is a government-owned enterprise managing the sale and distribution of marijuana products in Canada’s largest province by population.
The OCS expects to lack sufficient supply to meet the demand for cannabis 2.0 products next week following the official launch of its online retail platform, setting up top pot stocks for a great new year in 2020.
The OCS delayed the sale of cannabis products online to prioritize shipments to the 27 privately-owned retail stores in the province. The addition of the online marketplace will increase the availability of the products and constrain supplies at brick-and-mortar sellers. OCS Chief of Staff David Lobo released the following statement:
“We expect products to sell out within the first week. But it will improve, week after week. Producers have been looking at cannabis 2.0 as a significant opportunity for them, so the supply shortage will not be as long and lingering as it was for dried flower and oils last year.”
By January 16, investors will have already piled into these stocks, raising the cost of shares. Thus, you will want to pick up more shares in Canopy Growth no later than January 15 to get the best deal.
This quarter will be a wild ride for marijuana stocks like Canopy Growth. Shareholders will keep a close eye on upcoming earnings reports in the cannabis industry and give the company’s leadership feedback through trading decisions. Active stock market news means continued volatility in cannabis stocks over the next few months.
The good news is that pot stocks like Canopy Growth will regain some of their losses from last year by the end of January, with the steady price performance lasting through the spring of 2020.
Canadian investors should pick up new shares in marijuana stocks with a strong presence in Ontario before January 15 to profit from the success of cannabis 2.0.
You can pick up 100 shares for only $83 at writing. If the stock price gains $1 per share in the next year, you will have more than doubled your initial investment with minimal risk.
Fire & Flower owns two retail locations in Ontario, with a more substantial presence in Alberta and Saskatchewan. In Ontario, this up-and-coming pot stock owns one store in Kingston and another in Ottawa with plans to expand its brick-and-mortar presence. As Fire & Flower increases its footprint, investors will line up to get a more significant cut of the action.
Marijuana investors should focus on microcap pot stocks like Fire & Flower with high growth expectations. Growth attracts new stock market investments. The price appreciation from additional demand for shares will be where you rake in capital gains from your marijuana investments.
Debra Ray has the following options: short January 2020 $15 puts on Canopy Growth.” data-reactid=”45″>Fool contributor Debra Ray has the following options: short January 2020 $15 puts on Canopy Growth.
Click here now for your free subscription to Take Stock, The Motley Fool Canada’s free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. Motley Fool Canada 2020” data-reactid=”46″>The Motley Fool’s purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool Canada’s free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. Motley Fool Canada 2020
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