Cannabis stocks have been up and down this week on both US and Canadian markets. Today, we'll take a closer look at a weed stock that's trending on the NYSE and TSX.
Earlier this week, the Farm Bill was passed by the House and Senate in Washington. This event caused a massive spike in a number of cannabis stocks, particularly those in the hemp space. Now, the five-year bill is on the desk of President Donald Trump and if signed could be monumental for the cannabis industry. Is this the cause of the spike in Aphria Inc (TSX:APHA) (NYSE:APHA) today? Let's take a closer look!
Aphria Shares Skyrocket Today
Aphria produces and sells medical cannabis internationally and in Canada. The cannabis company is based out of Leamington, Ontario.
Recently, the weed stock has been surrounded by a class-action lawsuit filed against the company from shareholders. On December 3rd, Faruqi & Faruqi announced it was looking into a potential short selling claim against Aphria. After this, a storm of law offices began investigations into the company.
That morning, simultaneously, the weed stock addressed the short-seller report. Aphria claims that the report was "malicious and a self-serving attempt to profit by manipulating Aphria's stock price at the expense of Aphria's shareholders." That morning of December 3rd, APHA shares dropped -25% the moment the NYSE opened.
>> New York Cannabis: The Next State to Legalize Marijuana?
The weed stock has yet to fully recover from its drop. However, today it seems that APHA is gaining some traction on both the US and Canada markets, and it remains unclear why.
Weed Stock Movement
At press time, APHA is currently trading on the NYSE $5.58 a share, up +$0.35 (+6.69%). On the TSX, APHA is now trading at $7.40 CAD a share, up +$0.36 CAD (+5.11%). It seems investors seem unphased by the number of law offices investigating Aphria for investor foul play.
Featured Image: Depositphotos/© olly18
