3 Explosive Pot Stocks to Buy in 2023 and Beyond
Cannabis is considered a growth industry, but many of the companies operating in it haven't grown much this year. The ETFMG Alternative Harvest ETF is down more than 28% to start the year, and the AdvisorShares Pure Cannabis ETF is down more than 27% in the same period.
There are good reasons for those struggles -- price compression, high taxes, and high interest rates have battered the fledgling industry. The fact that federal marijuana reform doesn't seem to have any momentum is another reason why investors are staying on the sidelines, even while more states approve medical or recreational sales.
That's why most pot stocks so far this year have been short-term investment duds. But successful investing often requires taking a long-term approach, and there are cannabis companies that are growing revenue and net income and have the potential to be explosive. Companies such as New Lake Capital Partners (OTC: NLCP), Green Thumb Industries (OTC: GTBIF), and Tilray (NASDAQ: TLRY).
Source Fool.com
