Investing In Cannabis Penny Stocks In 2021
Have you been watching marijuana penny stocks waiting for the best time to invest? At the present time, the cannabis sector seems to be regaining some of the previous market value it saw in February. After months of declines and consolidation, the best cannabis penny stocks to invest in could be ready for a rebound in the market. For new investors, penny stocks are some of the more volatile stocks in the market.
In general, these stocks are considered a high-risk investment but may also produce significant gains relatively quickly. For this reason, many investors prefer trading these stocks using short-term trading methods. At the present time investing in penny stocks for short-term gains could produce substantial upside from current trading levels. Many Investors are using day trading and swing trading methods to trade this area of the market for quick returns.
In the US cannabis reform legislation is in Congress and could be considered a future catalyst for marijuana stocks if passed. On Capitol Hill, more lawmakers are leaning toward cannabis reform this year increasing the possibility of this happening in 2021. This would be monumental for the cannabis industry and could spark another market rally for marijuana stocks similar to February.
Researching Cannabis Companies And Making Better Investments
For investors, it’s important to always do your own due diligence before investing in marijuana stocks. Because of the heightened volatility finding the best entry point and researching the strongest performing companies can help you produce the most gains for your investment. Heading into July most top marijuana stocks are showing upward momentum and are also delivering strong earnings in 2021. Although earnings have not fueled any market gains thus far they could give investors insight as to which companies will see returns in the future.
With this in mind, we can take a closer look at some top marijuana penny stocks for your watchlist in July. At the present time, these cannabis penny stocks could have significant upside for investors this summer. From current trading prices, many analysts are predicting further upside for the top pot stocks. With future gains in the cannabis sector, these could be the best marijuana penny stocks to watch right now.
Top Marijuana Penny Stocks For Your Watchlist In 2021
Lowell Farms Inc.
With a recent name change from Indus Holdings to Lowell Farms Inc, the company is becoming a large California presence in the market. Primarily Lowell Farms is a cannabis company with advanced production capabilities the company grows artisan craft cannabis and built a portfolio of award-winning licensed brands. Recently the company established a licensing agreement with Ascend Wellness Holdings. In detail, the two companies will bring the Lowell Smokes brand to dispensary locations in Massachusetts and Illinois.
Lowell Farms released its first-quarter 2021 revenue of $11 million an increase of 17% from Q1 2020. Specifically, operating expenses were $4.2 million for Q1 compared to $5.4 million in Q1 of 2020. At the present time, the company is operating at a loss of $5.7 million in this period. This is in comparison to a loss of $7.1 million in Q1 of 2020. This week Lowell Farms announced it is commissioning a first-of-its-kind cannabis processing facility in Salinas Valley, California. This facility will be capable of processing 250,000lbs of flower cannabis annually.
LOWLF stock closed on June 29th at $1.18 up 4.09% year to date. In February LOWLF stock reached a new high of $2.149 and has increased by 131.76% in its 1-year performance. According to analysts at Wallet Investor LOWLF stock has a 1-year forecast price target of $2.281 per share. Tin essence this would represent a gain of 93.30% from current trading levels. For this reason, LOWLF stock could be a top marijuana stock to buy this week.
Red White & Bloom Brands Inc.
In the US Red White & Bloom Brands Inc. is positioning itself to be one of the top MSOs in America. Currently, the company is expanding rapidly in the legal cannabis and hemp markets. At the present time, RWB has its retail locations in US markets like Michigan, Illinois, Massachusetts, Arizona, Florida, and California. In 2021` the company made the acquisition of all Florida operations from Acreage Holdings Inc. (OTC: ACRHF). With this acquisition, RWB will have 8 retail stores in prime locations in Florida, a 114,000 SQ. foot facility for cultivation, and a 400 Sq. foot office building.
In June RWB provided operating highlights for Q4 2020 and Q1 2021 for shareholders. In detail, the company produced adjusted sales of $32.2 million in Q1 2021. Additionally, RWB produced adjusted sales of $31.4 million in Q4 2020. RWB has not completed its audited annual financial statements for the full year 2020. This month, the company has hired a new auditor and will provide biweekly status reports as long as it’s in default with its annual filing.
RWBYF stock closed on June 29th at $0.917 up 53.30% year to date. In February RWBYF stock reached a high of $1.65 and is down 10.96% in the past 30 days. According to analysts at Wallet Investor RWBYF stock has a 1-year forecast price target of $1.69 per share. In essence, this would represent an increase of 85.71% from its current stock price. With this in mind, RWBYF stock could be a top marijuana penny stock for your watchlist in July.