Cannabis stocks and cannabis penny stocks have taken a rough beating since Canadian legalization occurred last Wednesday, October 17th. Canadian cannabis shares have suffered exponentially, leaving investors shocked and dismayed. Is there upside ahead?
Let's take a closer look at a few cannabis penny stocks trending on the TSXV today and their latest company movements.
OrganiGram Holdings Inc. (TSXV:OGI)
OrganiGram Holdings is based out of Moncton, New Brunswick, and through its subsidiaries produces and sells medical cannabis to patients and physicians in Canada. The cannabis penny stock was founded in 2013.
OrganiGram's last company announcement was made on Canadian legalization day last Wednesday. The cannabis company announced its agreement to acquire 25% of alpha-cannabis Pharma GmbH.
According to Yahoo Finance, OrganiGram shares saw a slight spike in price on October 17th but has been falling ever since. At press time, OGI shares are just above the penny stock range and are trading at $5.20, down -$0.79 (-13.19%).
Aleafia Health Inc. (TSXV:ALEF)
Aleafia Health is headquartered in Concord, Ontario, and is a vertically integrated cannabis company, with a focus specifically on medicinal cannabis. Aleafia provides patients with medical consultations to determine the suitability of medical cannabis for their ailments.
Six days ago, Aleafia announced that its company was launching three new clinics, hiring nurse practitioners to add to its practices, and beginning to offer its patients telemedicine services.
With Canadian legalization in full-swing, this is big news for the cannabis company.
However, since legalization, ALEF shares have taken a sharp fall. In the last five days, the cannabis penny stock is down nearly -40%. According to Yahoo Finance, ALEF shares have taken a strong hit today. At press time, the penny stock is trading at $1.83 a share, down -$0.57 (-23.75%).
Run Down
It seems sell-offs are happening across the board, as most cannabis companies are all in the red seeing double-digit percentage losses on both US and Canadian markets. However, the cannabis industry is here to stay with Canadian legalization in full swing and many US state representatives currently debating recreational cannabis for their state.
Many of the most active cannabis penny stocks on the TSXV have been making significant progress in the industry as of late, something that shouldn't be overlooked.
Featured Image: Depositphotos/© kasto
