1 Cannabis Stock to Buy in 2020
I wouldn't blame you if your New Year's resolution was to stay away from marijuana stocks. After all, the cannabis sector was a hot mess last year. Consider that while the S&P 500 gained a healthy 29% during the calendar year 2019, the cannabis industry -- as measured by the Horizons Marijuana Life Sciences ETF (OTC: HMLSF) (TSX: HMMJ) -- was down by 35% over the same period. Pot stocks generally recorded poor financial results last year, and several company-specific scandals also weakened investors' trust in the industry as a whole. But even with all these issues, I think there's at least one cannabis company that is worth buying: Charlotte's Web Holdings (OTC:CWBHF).
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Charlotte's Web is currently the leader in the U.S. cannabidiol (CBD) space, a market that is projected to grow at a frantic pace over the next few years. The company is setting itself up to be ideally positioned to profit from this growth in two major ways. First, Charlotte's Web is increasing its production capacity. The company planted 300 acres of hemp in 2018, and in 2019, that number increased by 187% to 862 acres.
Source Fool.com
