Tongues are wagging over predictions that the hemp-derived CBD market will surpass the cannabis market in value in the US. As such, CBD stocks are hot property right now.
Cannabis industry analysts The Brightfield Group says that the cannabis industry will hit $20 billion USD by 2020. But the hemp-derived CBD market alone will hit $22 billion by 2022.
The obvious plays in the hemp-derived CBD field are the major farmers and producers. But why shouldn’t investors look elsewhere for CBD stocks going below the radar? There are alternative options out there offering big potential, as reported by Smallcap Power.
CBD Stocks Under the Radar
Ovation Science (CSE:OVAT): Vancouver, Canada
Selling for $0.40 CAD and up 1.25% at the time of writing, Ovation Science is a skin care research and development company. It provides pharmaceutical-grade topical cannabis products for both the medical and recreational markets.
This stock is intriguing for two reasons.
Reason 1: its patented technology called Invisicare. This technology makes the skin’s ability to absorb CBD/THC product 4–10 times greater. This means Ovation releases 4–10 times more CBD compared with conventional products. This might give this CBD stock an edge on competitors as absorption rates quickly become the marker of the highest quality products.
This brings us to the second intriguing reason: licensing.
Ovation licenses this innovative technology and has already secured license agreements with Canopy Growth Corp (TSX:WEED) (NYSE:CGC) and Lighthouse Strategies in Nevada. Canopy Growth is only one of Canada’s biggest cannabis producers. Need I say more?
Eviana Health Corp (CSE:EHC): Vancouver, Canada
Based in Canada, this company holds a Serbian industrial hemp license. It has 250 hectares of agricultural land on which to cultivate, process, and sell industrial hemp.
This is another healthcare-focused company delivering CBD-based topical creams, cosmetic products, and nutraceutical products. What makes investors sit up with this stock is a very recent agreement made with the International Cannabis Company (CSE:WRLD.U) (OTC:WLDCF). ICC has agreed to purchase 155 metric tonnes of Eviana Health’s processed industrial hemp.
Deals as big as this often kick-start other major revenue streams for smaller companies. Selling for $0.56 CAD at the time of writing, this CBD stock is at a low price but has buckets of potential.
Featured Image: Eviana