Cresco stock is in the red today despite Cresco Labs Inc (CSE:CL) (OTCQX:CRLBF) announcing the opening of its first four dispensaries in New York under the Sunnyside brand.
First East Coast Stores
The stores in Brooklyn, Huntington Station, New Hartford, and Bardonia are the first dispensaries to operate under Cresco's national retail brand on the East Coast. The New York State Department of Health granted Cresco one of the 10 vertically integrated cannabis business licenses, which allows it to operate one cultivation facility and four dispensaries in New York. Cresco stock is down 6.5% on Friday.
“New York has a growing medical cannabis patient program of more than 114,000 people who look to dispensaries and their cannabis product forms to treat a variety of qualifying conditions and critical illnesses. With Sunnyside, we aim to provide a best-in-class shopping experience through ongoing education, product availability, and technology," said Charlie Bachtell, Cresco Labs CEO and co-founder. Cresco stock could be set for further gains should New York legalize recreational cannabis later in the year, as is widely expected.
In addition to the launch of the new Sunnyside stores, Cresco Labs will also begin its new home delivery service for medical cannabis patients located in New Hartford. The service will allow patients to order a variety of products, including vape pens and cartridges, topical creams, oral tinctures, and capsules, with plans to further expand the service to the three other Sunnyside locations in the coming months. Cresco shares are currently trading for $5.80.
Cresco Stock Down 35% in 2020
Cresco stock has actually dropped over 35% since announcing it had completed its takeover of Origin House at the beginning of January. That deal solidified the company’s position as one of the largest cannabis firms in the US, despite the US$1 billion takeover, which was first announced back in April, being slashed in value in November amid a broader underperformance of the cannabis market.
Featured image: DepositPhotos © [email protected]