Second share of the week: Canopy Growth
Right now, the cannabis industry is under extreme pressure. Firstly, due to the Corona-related closures, which have further reduced revenues. In addition, legalization is moving forward, but not as quickly as investors would like. WEED has lost almost 50% of the yearly high and shows a bearish tendency. Should investors therefore keep their hands off it? I say no! Especially in the longer term (1-3 years +), an ideal entry point is emerging. Even though the share could lose further ground in the short term, I would use this moment to buy a first tranche and buy more if the loss continues.
Right now, the cannabis industry is under extreme pressure. Firstly, due to the Corona-related closures, which have further reduced revenues. In addition, legalization is moving forward, but not as quickly as investors would like. WEED has lost almost 50% of the yearly high and shows a bearish tendency. Should investors therefore keep their hands off it? I say no! Especially in the longer term (1-3 years +), an ideal entry point is emerging. Even though the share could lose further ground in the short term, I would use this moment to buy a first tranche and buy more if the loss continues.