Over the past year, there’s probably not been a more disappointing industry to invest in than cannabis. After more than a dozen pot stocks rocketed higher during the first quarter of 2019, they’ve spent the better portion of the past 12-plus months screaming lower at a jaw-dropping pace.
To our north, the Canadian marijuana industry has primarily been undermined by regulatory issues. The slow approval process for cultivation and sales licenses, along with a delayed launch of derivatives and an insufficient dispensary presence in Ontario (the country’s largest province by population), has created everything from product shortages to bottlenecks, depending on the region.
Meanwhile, in the U.S., high tax rates have made it almost impossible for licensed producers to compete with black-market growers.