2 Cannabis Stocks That Could Double in the Next 5 Years

Canadian cannabis stocks touched record highs soon after marijuana was legalized in Canada at the federal level.

The cannabis market is expected to expand at a robust rate in the upcoming decade, and these growth rates should accelerate if marijuana is legalized at the federal level in the United States.

One of the largest cannabis companies in the world, Canopy Growth reported a net loss of $16 million in fiscal Q2 of 2022 that ended in September.

While Canopy Growth burnt $101 million in cash in Q2 on the back of a 3% revenue decline, the company’s management expects sales to accelerate in the second half of fiscal 2022.

A small-cap stock that should be on your buying radar right now is Auxly Cannabis .

It is now the sixth-largest licensed producer in Canada after the company continued to gain market share in Q3 driven by its innovative portfolio of products.

We can see that the stock is valued at a forward price-to-2022 sales of just over two, making it extremely attractive right now.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor.

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