Going into May many leading marijuana stocks have started to climb higher in the market. So, is now the time to invest in top cannabis stocks? After a few months of declines in value last week, top marijuana stocks began to show some upside in trading. With record revenue growth in the books for 2020 US cannabis companies is going into 2021 growing rapidly.
In addition, most companies are expecting significant revenue growth in 2021 if you look at this year’s guidance. As more states legalize cannabis use there are some US companies that are positioning themselves to see long-term growth in the cannabis industry. At the present time, these cannabis companies are also showing some upward potential this year in the market. As an investor, it’s always important to do your own due diligence before investing.Investing In The Cannabis Industry In 2021
Researching a company’s financial standings and watching how the stock performs in the market is vital to making a good investment. Traditionally pot stocks are known for being one of the more volatile areas of the stock market. Because of this market volatility, more investors prefer to take short-term positions in the best cannabis stocks to invest in. But many analysts also predict marijuana stocks could see long-term gains for investors.
Currently, May could bring some catalysts for the cannabis market. For one The SAFE Banking Act is in the Senate and could become one of the first changes in federal regulations for the marijuana industry. Other bills for cannabis reform could also be introduced in 2021 further solidifying the cannabis market in the US. With this in mind, these 4 marijuana stocks could be some of the top US cannabis stocks to buy.
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- Trulieve Cannabis Corp. (OTC: TCNNF)
- Green Thumb Industries Inc. (OTC: GTBIF)
- Cresco Labs Inc. (OTC: CRLBF)
- TerrAscend Corp. (OTC: TRSSF)
Trulieve Cannabis Corp. has the largest market share in the Florida medicinal cannabis market. As one of the top-performing cannabis companies in the U.S. the company recently opened its 84th location nationally and 79th dispensary in Florida. Now expanding into other states Trulieve reported Q4 and full-year 2020 financial results that exceeded revenue guidance for its 2020 earnings. The company saw revenue of $521.5 million up 106% compared to 2019. Additionally, Trulieve gave its full-year 2021 guidance with revenues estimated at $815 million to $850 million.
Now emerging in other US markets like California, Massachusetts, Connecticut, Pennsylvania, and West Virginia. In May Trulieve is set to release its first-quarter 2021 financial results on Thursday the 13th before the open. TCNNF stock gained 5.69% on April 30th closing the month at $41.59 per share. For this reason, TCNNF stock is a top marijuana stock to watch heading into May.Green Thumb Industries Inc.
Green Thumb Industries Inc. is one of the largest MSOs in the US and has shown significant growth since 2020. The company has 56 retail stores nationwide and 97 licenses for retail locations for future buildouts. On April 20th the company launched its leading cannabis-infused social tonic brand Cann in Illinois. In addition to future growth, the company has been delivering strong earnings for its investors.
Specifically, Green Thumbs Q4 and full-year 2020 earnings are up in Q4 by 133.8% year over year to $177.2 million. The company’s 2020 revenue was up by 157.2% to $556.6 million with an adjusted EBITDA that grew 546.9% to $179.6 million. GTBIF stock closed on the last day of April at $32.00 up 7.38% for the trading day. In February GTBIF stock reached a high of $39.11 per share. With this in mind, GTBIF stock could be one of the best cannabis stocks to buy for gains in May.Cresco Labs Inc.
Cresco Labs Inc. is one of the largest sellers of branded cannabis products in the states and continues to expand in the American market. At the present time, the company has 20 operating dispensaries in 9 states with 15 production facilities nationwide. In its most recent earnings report, Cresco announced Q4 and full-year 2020 record revenue that increased 271% year over year to $476.3 million. In addition, in Q4 the company saw a record revenue of $162.3 million. Recently Cresco expanded its branded edibles portfolio with an Illinois launch of new products into the market.
CRLBF stock is up 31.78% year to date with a high of $17.49 in February. Closing on April 30th at $13.00 the stock was up 6.12% for the trading day. According to analysts at Tip Ranks CRLBF stock has a 12-month price forecast of $21.54 per share. In essence, this would be a 65.69% gain from current levels. Additionally, the stock has been seeing some upward momentum in the last week in April climbing 11.03% in the last five days. With this in mind, CRLBF stock is a top US marijuana stock to add to your watchlist for May.TerrAscend Corp.
TerrAscend Corp. operates the Apothecarium dispensary with locations in Pennsylvania, New Jersey, and California. Additionally, the company is also a licensed cannabis producer in Canada. In the company’s full-year 2020 earnings report TerrAscend saw net sales increase 134% year over year to $198 million. Also, net sales in Q4 increased 152% from Q4 in 2019 to $65 million. Another reason to keep a close eye on TerrAscend is its strong 2021 guidance. Specifically, the companies 2021 guidance expects full-year net sales of over $290 million and an adjusted EBITDA of over $122 million.
In April TerrAscend doubled its footprint in Pennsylvania when it acquired Keystone Canna Remedies. In detail, the acquisition will add three dispensaries to TerrAscend’s footprint in Pennsylvania. On May 19th the company is expected to deliver its Q1 2021 financial results. With strong revenue growth in Q1 TRSSF stock could see some upside in the market. TRSSF stock has a high of $16.25 in February. Closing on April 30th at $11.09 the stock was up 2.21% for the day. To start May TRSSF stock is up 10.35% year to date and has climbed 19.49% in the last 30 days. According to analysts at Market Beat TRSSF stock has a consensus price forecast of $18.54 per share. Currently, this would be a 67.2% increase from current trading levels. Because of the recent upside TRSSF stock is a cannabis stock to watch next month in the market.
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