Curious to know which Cannabis companies would be a good investment in now. There is mention of a Canadian company is some advertising by the Fool but no mention of the actual name.
https://www.tradingview.com/chart/1Y5OuFaB/ SMG is the product that feeds the Cannabis plants. https://www.barchart.com/stocks/sectors/cannabis-stocks?view...https://www.tradingview.com/chart/1Y5OuFaB/ is your better choice that is constant
if its the ad that says this company will do well even if dope isn't legalized in the US, it's probably SMG...but this tout has been going on for awhile, nothing new.
Marijuana remains illegal at the US federal level, and as such, any business dealing in the area of cannabis production would have to operate on an intrastate basis as crossing state lines would make it difficult for federal authorities turn a blind eye as they have so far in states where it is legal. For that matter, while medical marijuana is legal to some degree in a number of states, recreational use remains illegal most all states, further limiting the customer base. On top of that, financial institutions face criminal entanglements should they provide any form of banking services to marijuana-dealing companies, whether it be payment processing, checking and payroll services or credit and lending services. In fact, they could face forfeiture of assets. So understandably, companies dealing in marijuana production and distribution do so without the financial support of the regulated financial industry. This necessarily cuts them off from the resources most companies need and utilize to grow and expand their businesses.Investing in such companies, until federal law catches up to state law and companies are able to produce the kind of investment gains that would be worthy of a portfolio, remains highly risky and speculative. And the current administration has already indicated it will not continue the previous administration’s “blind eye” policy and may actively begin targeting individuals in states that have legalized medical and recreational marijuana. The SAFE Banking act passed in the House last year, but a corresponding bill has languished for nearly a year in the Senate, so it is unlikely to be signed into law.Now that recreational marijuana has become become legal in Canada, there is a new TMF service, Marijuana Masters, to invest (mostly) in the Canadian market. But bear in mind that the market for any Canadian companies in this industry would not necessarily have have access to the American market, which also could limit their growth opportunities. And in the short time since the law went into effect in the Great White North, the marijuana market hasn't produced the kinds of exciting gains many investors were anticipating.It's actually worse than that. The United States has stated that Canadians who admit to having smoked or consumed marijuana or any cannabis product will be permanently denied entry to the USA. For Americans, admitting to having consumed cannabis products in Canada could lead to arrest. The US Government considers even investing in a Canadian companies involved in the cannabis industry as participating in illegal activities, which could potentially subject them to prosecution and asset seizure and forfeiture. Now, this bluster has not been tested in court yet, but lying about your activities or investments to border officials would also be a violation of law.It's not about what you think of medical or recreational marijuana. It's much more practical than that. Treat marijuana companies like any other investment opportunity out there. If it wasn't marijuana, would yohttps://my.fool.com/u invest in a company that is so limited in its ability to grow? Without growth, your investment isn't going anywhere. So ask yourself, where's the growth going to come from?FuskieWho personally would not touch this market as an investment until there is a demonstrable and proven path for sustained growth and profitability...-----Ticker Guide: The Walt Disney Company (DIS), Intuit (INTU), Live Nation (LYV), CME Group (CME), MongoDB (MDB), Trip Advisor (TRIP), Vivendi SA (VIVHY), Mimecast (MIME), Hain Celestial (HAIN), Royce Micro Capital Trust (RMT)Disclaimer: This post is non-professional and should not be construed as direct, individual or accurate adviceDisassociation: The views and statements of this post are Fuskie's and are not intended to represent those of The Motley Fool or any other sane bodyDisclosure: May own shares of some, many or all of the companies mentioned in this post (tinyurl.com/FuskieDisclosure)Fool Code of Conduct: https://www.fool.com/legal/the-motley-fools-rules.aspx#Condu...Invitation: You are invited to interactively watch Motley Fool Live online television: https://livechat.fool.comCall to Action: If you like this or any other post, Rec it. Better yet, reply to it. Even better, start your own thread. This is YOUR TMF Community!
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