Cannabis stocks and the marijuana industry in North America grew exponentially in 2018. We've put together a Top Marijuanas Penny Stocks 2018 list, which includes Namaste Technologies, OrganiGram Holdings, and Aleafia Health.
Find out why we chose these cannabis companies now!
Cannabis Industry Overview 2018
In December of 2017, Canada started the discussions of legalizing adult-use recreational cannabis nationally. This event caused a sharp surge in most Canadian cannabis penny stocks. Canada's Senate didn't pass the historic bill until the end of June 2018. The Senate passed the bill by a 52 to 29 vote, which ended a marijuana prohibition set in place in 1923. Canada officially legalized the use of adult-use recreational cannabis on August 17th.
Down south, California legalized recreational adult-use cannabis on January 1st, 2018. The State of California has over a million medical marijuana patients and just around 40 million residents. Analysts estimated that the California recreational cannabis industry would bring in $3.7 billion in revenue by the end of 2018 and $5.1 billion by the end of 2019. The legalization of recreational cannabis at the start of the new year was another big incident that caused the sharp rise and interest in cannabis stocks.
In 2018, three Republican states legalized medical cannabis. Missouri, Oklahoma, and Utah all approved medical cannabis by way of a ballot. In addition to this, the first Midwestern state, Michigan, legalized recreational marijuana on December 6th.
Due to all this movement in North America, the cannabis industry is rapidly growing.
So here it is, our top marijuanas penny stocks 2018 list.
>> What is the History of Marijuana?
Top Marijuanas Penny Stocks 2018
Namaste Technologies Inc. (TSXV:N)
Namaste Technologies is headquartered in Vancouver, British Columbia. Through its subsidiaries, Namaste operates as a cannabis e-commerce company. The cannabis penny stock retails vaporizers and smoking accessories through its e-commerce sites in 26 different countries.
In addition to its cannabis accessories, Namaste Technologies is also involved in various product design projects and manufacturing. The company's wholly owned subsidiary, Cannmart Inc, also sells medical cannabis products.
In 2018, Namaste Technologies launched NamasteMD. NamasteMD is Canada's first fully-integrated medical cannabis telemedicine application. This app is available on iPhone and Android devices. In late-June, the cannabis company reached 6,000 registered users on its NamasteMD platform. The company holds a goal of reaching 50,000 patients by the end of this year but hasn't released any news since.
Namaste Technologies also recently announced it has had approximately 30% growth year-on-year. Namaste brought in $2.6 million across its global online platform in November 2018. Due to its many acquisitions and expansion this year, it has made our Top Marijuanas Penny Stocks 2018 list.
Many cannabis penny stocks are seeing losses in share prices for the year of 2018. Namaste Technologies is no different. In the last six months, N shares are down -27% and year-to-date, the cannabis penny stock is down -19.7%. Despite its declining share prices in 2018, Namaste has grown exponentially as a company this year.
OrganiGram Holdings Inc. (TSXV:OGI)
OrganiGram Holdings Inc. is headquartered in Moncton, New Brunswick. Through its subsidiaries, the cannabis company produces and sells medical marijuana to patients and physicians in Canada. OrganiGram offers various cannabis products through its online store and also exports its products across Canada. In addition to its sales, OrganiGram Holdings operates healing centers that offer cannabis treatments for post-traumatic stress disorders, trauma, and chronic pain. OrganiGram was founded back in 2013.
This cannabis penny stock is one of few that has seen positive share price gains year-to-date.
In late-April 2018, OrganiGram Holdings announced its Q2 financial results for its net income ranging around $1.1 million. In Q3, the cannabis company announced a net income of $2.8 million for the quarter. In mid-August, OrganiGram told its investors that it became an official supplier of cannabis to the Province of Ontario. Ontario leads Canada as the largest adult recreational market.
In early-September, the cannabis company was listed on the OTCQX, marking a big moment for the company in 2018. However, the biggest news to break from OrganiGram was in mid-September 2018. At that time, OrganiGram Holdings partnered with cannabis giant Canopy Growth (NYSE:CGC). OrganiGram became the official cannabis supplier of Canopy's Tweed-branded retail operations in Newfoundland and Labrador.
Due to its impressive growth and partnerships, it has made our Top Marijuanas Penny Stocks 2018 list.
In the last six months, OGI shares are down -16.9%, but year-to-date, the cannabis penny stock is up 5%—beating most cannabis penny stocks in 2018.
>> What's the Difference Between Hemp and Marijuana?
Aleafia Health Inc. (TSXV:ALEF)
Aleafia Health Inc. is headquartered in Concord, Ontario. What makes Aleafia stand out from the rest of the cannabis stocks is its operations within the medical marijuana space. Aleafia operates vertically as an integrated cannabis company. The company provides patients with medical consultation services to determine their suitability for treatment with medical cannabis. The patients referred are often dealing with chronic pain or various other disabling illnesses. Aleafia's marijuana clinics run under the Canabo Medical Clinic brand.
In late-March 2018, Aleafia Health began trading on the TSX Venture Exchange under the ticker 'ALEF.' At that time, Aleafia combined with Canabo Medical. In June, Aleafia expanded and went public in the US on the OTCQX market. Throughout the year, the cannabis company signed various joint ventures and supply deals, acquired several properties, and applied to be listed on the Nasdaq exchange.
In mid-October, Aleafia Health informed investors that it had expanded its medical practice by adding three new clinics and six physicians. The company also announced it would be adding several nurse practitioners to aid the doctors in its clinics. In addition to its enhancements for its in-person clinics, Aleafia also expanded its telemedicine services.
“New and innovative treatment methods will allow Aleafia to rapidly scale our growing medical cannabis clinics while reducing costs,” said Aleafia CEO Geoffrey Benic. “Telemedicine treatment methods will be a major net benefit to both our patients and shareholders, as we acquire new patients who no longer have to travel to seek help.”
Two weeks ago, the cannabis company announced its Q3 revenue. At that time, Aleafia Health shares showed a 36% increase in total revenue from Q2 2018 to Q3—showing steady growth.
Aleafia made our Top Marijuanas Penny Stocks 2018 list because of its year-to-date share growth and rapid expansion in the industry. In six months, ALEF shares are up 167% and year-to-date, the cannabis stock is up 66.66%. Many cannabis penny stocks are in the red this year, which makes Aleafia Health stand out from the rest.
Featured Image Depositphotos© Zerbor
