Hemp and CBD is the hottest thing in North America right now! In 2019, hemp stocks have also gained a lot of attention and have seen exponential growth.
What’s the cause? Well, adult-use recreational marijuana was legalized across Canada and a few US states last year. The industry boomed and demand for these products remain extremely high. To add to this, around Christmas, President Trump passed the 2018 Farm Bill, legalizing industrial hemp in the US and separating it from marijuana. Needless to say, 2018 was a major year for the cannabis industry as a whole.
Now that hemp is legal to consume and farm in the US, the potential for growth is extremely high. Today, we’ll take a closer look at two hemp stocks that are making their mark this week in the industry.
Hemp Stocks to Watch: Cresco Labs Inc. (CSE:CL) (OTC:CRLBF)
Cresco Labs is a Chicago-based medical cannabis producer. The company offers dried flower, vaporizers, cannabis oil in various forms, and topical cannabis. Cresco Labs also manufactures cannabis edibles, including toffee and chocolate.
The hemp stock is climbing this week and is up 7% in the last five days. Yesterday, Cresco announced the opening of its Hope Heal Health Dispensary (HHH) in Fall River, Massachusetts. While this news focuses on its marijuana products, many of its hemp products will be sold at this facility.
CL is one of the top trading hemp stocks today on the CSE, especially because most cannabis stocks are trading red again today. At the time of writing, CL is trading at $10.70 a share, up +$0.07 (+0.66%). On the OTC, CRLBF is trading at $8.17 a share, up +$0.17 (+2.14%). The company’s latest news is likely the cause of the spike in the hemp stock.
Hemp Stocks to Watch: Tilray Inc. (NASDAQ:TLRY)
Tilray Inc. has made a monstrous name for itself in the cannabis industry so far. The company was incorporated in 2018 and already has a market cap of $7.5 billion on NASDAQ. The Nanaimo, British Columbia-based cannabis company engages in the research, cultivation, and distribution of medical cannabis. The company sells its products in Argentina, Australia, Canada, Chile, Croatia, Cyprus, the Czech Republic, Germany, New Zealand, and South Africa.
Yesterday, Tilray broke news to its investors that it has now entered into the North American hemp market with an acquisition. The hemp stock is currently trading red today, but this is major news for the cannabis company. Tilray will purchase FHF Holdings Ltd, ‘Manitoba Harvest’, from Compass Diversified Holdings (NYSE:CODI) for up to $419 million CAD.
The transaction is still subject to court approval but is expected to close within the next 30 days.
According to Yahoo Finance, TLRY is currently trading at $80.60 a share, down -$0.50 (-0.62%). The hemp stock is up 5% in the last five days.
Featured Image: Canva