Weed stocks surge as 2 states vote on legalizing marijuana

A
budtender weighs out marijuana for a customers at ShowGrow, a
medical marijuana dispensary in downtown Los
Angeles.
AP Photo/Richard
Vogel

• Americans went to the polls Tuesday, with two states
  voting on legalizing recreational marijuana and another two
  more deciding the fate of medical marijuana.
• Weed stocks are gaining around on
  Tuesday.
• So far in the US, 10 states allow recreational
  marijuana and 32 states allow medical marijuana, but marijuana
  is not allowed at a federal level.
• In October, Canada became the second country after
  Uruguay to legalize the recreational use of marijuana.

Weed stocks were surging Tuesday as Americans in four states will
determine the fate of marijuana use at a state
level.

Voters in Michigan and North Dakota are considering the
full recreational use of marijuana for individuals over the
age of 21. Meanwhile, citizens in Missouri and Utah
are voting for medical use of marijuana.

As a result, weed stocks were rising across the board.
Here’s the scoreboard at 10:32 a.m. ET:

• Cronos Group (CRON):
  +8.10%
• Canopy Growth (CGC): +6.15%
• Tilray (TLRY):
  +4.58%
• Aphria (APHA):
  +4.48%
• Aurora Cannabis (ACB):
  +3.27%

High-flying cannabis stocks have caught the attention of
both Main Street and Wall Street this year. In October, Canada
became the second country after Uruguay to legalize the
recreational use of marijuana.

At the time, Jon Trauben, managing partner at the
cannabis-focused Altitude Investment Management,
said, “We believe that the legalization in Canada
offers a road map to invest in the companies that will form the
basis of the legal cannabis industry in the coming years.” 

In the two months before Canada’s recreational
legalization, the biggest cannabis stocks all more than doubled
in value. But after the legalization, they’ve been
hard hit.

While marijuana is not allowed at the federal level in the
US, some states have already opened the door for the market. This
year, Vermont became the 10th state to allow the sale and full
use of marijuana. M
edical marijuana is allowed in 32
states so far. 

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