TOP 3 MARIJUANA STOCKS 2018 - YouTube

In this video we're going to talk about the three marijuana stocks that I recommend for

2018 and beyond. Stay tuned. Welcome back to white board finance. My name is Marko and

I'm here to help you. Mastering Your Money and build your wealth. If you're interested

in learning more about personal finance. The stock market entrepreneurship or real estate

investing. Click subscribe below and hit the little bell with the notification symbol.

Today we're talking about a smoking hot industry and industry growing like a weed an industry

turning a new leaf. OK you get it. I'm done with the puns. We're talking about marijuana

stocks to watch for 2018 legal marijuana is one of the hottest industries since the tech

industry of the early 2000s and investors are definitely taking notice. Let's get into

the analysis right now. The North American marijuana market grew 30 percent in 2016 to

six point nine billion that's with a b dollars in gross sales that compound annual growth

rate during that time period is expected to be 26 percent all the way through 2021.

And if those estimates hold true 2021 we'll see sales of twenty one point six billion

dollars. That is huge you guys. It's over a 300 percent increase just in a matter of

five years. The heart of this growth is that 60 percent of Americans and a similar number

in Canada are in favor of legalization versus just 25 percent in 1995. That's a huge difference.

That's more than double in Canada. There's a strong possibility that they will legalize

recreational marijuana by July 1st of 2018. And that's why these pics are so important

today. So pay attention. Number one is canopy Growth Corporation.

They're the biggest medical cannabis provider in Canada in terms of revenue and market cap.

Canopies. Growth has also aggressively expanded internationally with subsidiary partners in

Australia Brazil Chile Denmark Germany Jamaica and Spain. That's a huge international presence.

The stock is up nearly 120 percent so far in 2017. And check this news out major alcoholic

beverage maker Constellation Brands announced that in October it was buying a nine point

nine percent stake in canopy growth for 245 million dollars. This is the same company

that owns Corona and other major beer brands. Constellation is also partnering with canopy

to market a cannabis infused beer. So imagine when that hits the shelves everybody's and

begin a little bit tipsy and a little bit more relaxed than usual. This endorsement

is huge because it gives can it be a legitimate partnership with an established huge brand

such as constellation. This is another important fact that I found

I'm going to read this verbatim because I think it's very important. The more immediate

play which brings in 7 million dollars cash is the sale of non core subsidiary Métro

limited to Canibus CARE Canada. This agreement also enters canopy growth and Canibus CARE

Canada into a three year take or pay supply agreement with canopy growth for high quality

dried flowers and refined cannabis resin. With the sale of product it cannot be growth

discretion. This sets canopy in a win win scenario for the next three years regarding

this agreement. This is the kicker so pay attention. The real story here is that Canibus

CARE Canada is financially backed by Laborer's International Union of North America. This

is North America's single largest construction union with over 100000 Canadian members. This

signals that Canibus investing in Canada is reaching full scale legitimacy with pension

funds diving head deep into the market overall canopy growth looks very promising for 2018

especially if recreational cannabis is legalized this summer.

This is one of my long picks and it's one of the bigger players in the market that we're

gonna discuss today. Number two Aurora cannabis. Aurora cannabis is one of the biggest suppliers

of medical cannabis in Canada. Along with canopy growth with expansion plans for Australia

in Germany it looks like everybody's going overseas where the medical market is looking

to become more and more open and less stringent. This stock has had a great run with gains

of two hundred thirty seven percent for the year to date and is fuelled by three major

pillars. The first being growing medical cannabis industry in Canada and also potentially North

America as a whole. They've had a year over year growth of 39

percent reported for quarter 3. That's a huge growth number you guys pay attention to that.

The second pillar to Aurora's success is that they are eagerly anticipating the legalization

of recreational use. This is going to more than double their current user base. Right

now they're only banking off people that are using this as a medical therapy if you will.

So once it becomes recreational sales are going to more than double pretty easily because

I think even occasional users there are going to be purchasing from drugstores and they're

going to be purchasing from retailers just like you would a beer or anything else for

that matter. The third pillar to their success is their aggressive acquisition and expansion

strategy. They're in the process of acquiring canon med therapeutics for four hundred and

fifty five million dollars. This would actually bring in five more cultivation

centers with capacity to produce 130000 kilos per year of dry marijuana leaf. So a lot of

people think that supply is actually too high right now. But again we're banking on the

fact that July 1st of 2018 recreational use will most likely be legalized in Canada. So

that's easily going to fit that supply. And I think companies are going to be hunting

for smaller companies to gobble up and actually acquire their means of production to keep

up with that legalized supply and demand. Number three is a Fria of Fria is up 170 percent

since the beginning of this year with a large spike recently because of a huge game changing

news. This spike is because they just signed an exclusive agreement with Shopper's Drug

Mart shoppers has over 1200 locations physically and they also have a huge online presence

as well. They also have over 10 million loyal shop

is this means that these are just the people with the little card that say hey I shop at

Shoppers let alone the rest of their customer base which I'm sure is much larger than that.

So with this online presence the physical presence and also all the big customer base

that they have this is going to be a huge joint venture for both Fria and shoppers I

believe. And that's really what's driven the stock over the past few weeks of Fria also

is competitive because they have some of the lowest production costs in the industry meaning

that their margins are going to be very high meaning that they're going to be able to produce

when it comes to earnings reports and things like that which means ultimately the stock

is going to go up. They also just completed a large sell off

of shares worth 90 million plus dollars. That means they got cash in return for selling

all those shares at a slight discount than market rate. So this means that they are well

funded and able to deal with research and development acquisitions of properties and

also facilities expansions as well. So there you have it. Those are my three picks for

2018 and possibly beyond. Obviously we need to see how the legal terrain shakes up and

also how the legislation plays through this July. However I can tell you right now that

if that does pass July 1st and 2018 a lot of these stocks are going to see huge 20 30

40 50 percent gains. That's almost the guarantee the market isn't to be so big and so in demand

that I think we'd made him become a tourist industry.

All joking aside I think that people are actually going to be traveling to Canada just for that

exact pastime. So with that being said answer the question of the day below I want to know

out of these three stocks which one are you buying or are you even interested in marijuana

stocks at all or do you think this legislation will even pass. Thanks for watching. Again

if you got any value out of this video whatsoever please hit the subscribe button. And the little

bell notifying you of more videos just like this again. I want to be talking about personal

finance stocks entrepreneurship and also real estate investing. Thank you so much for joining

me and have a great day. Shoppers has over 10 million loyalty customers let alone just

regular customers. These are people that are actually signed

up for their loyalty program. And I think once this is legalized in July they're going

to become a lot more loyal they know Saddam more relaxed when it comes to shopping at

Schutter. So there should be a mutually beneficial joint program.