There’s a new wave of excitement in cannabis stocks.
After weeks of going nowhere, many are picking up a good deal of momentum, including Canopy Growth (CGC), Aphria (APHA), Aurora Cannabis (ACB), and Tilray (TLRY).
All after Democratic VP nominee Kamala Harris said cannabis would be decriminalized in the U.S. under a Biden Administration. She also noted the two would expunge the criminal records of anyone convicted of cannabis-related offenses in the past.
If that’s the case, and Biden were to win, we could see a substantial rally in these stocks.
Plus, there could be a good deal of demand, too.
After all, according to a Pew Research Center survey, 67% of us support cannabis legalization. That’s up from 62% year over year. And, according to a Gallup survey, 66% of Americans are in favor of legalization. That’s up from just 60% in 2016.
In addition, over the next decade, spending on worldwide cannabis could reach $57 billion by 2027, according to Arcview Market Research and BDS Analytics. Analysts at Cowen note the U.S. cannabis market could rocket to $16 billion by 2025.
Even analysts at Piper Jaffray say we could be looking at a global market value of between $250 billion to $500 billion a year.
It’ll be interesting to see what happens with these stocks after the election.