The global buzz around medical cannabis stocks just got a whole lot louder. The corridors of the U.S. health sector are abuzz with the federal Health and Human Services Department urging the government to re-evaluate its hard stance on marijuana effectively. They’re recommending a shift of marijuana from the stringent “Schedule I” category – a list of substances seen to have no medical use and a high potential for abuse – to a far more lenient “Schedule III.”
For those wondering why this news should be on your radar, the global medical cannabis market, which clocked in at a staggering $6.822 billion in 2020, is forecasted to balloon to a whopping $53.88 billion by 2030, boasting a CAGR of 23.6% from 2021 to 2030.
So here are the best three medical cannabis stocks you can buy to take advantage of this potential catalyst.
Curaleaf (CURLF)
When diving into the world of medical marijuana, a few names stand out as prominently as Curaleaf (OTCMKTS:CURLF). The firm is one of the world’s largest cannabis companies, shining brightly with its integrated approach in the cannabis sphere.
This industry titan currently boasts 160 retail outlets sprinkled nationwide, which continue growing each quarter. Financially, Curaleaf is knocking on profitability’s door, unlike most of its peers. Last year, the firm posted an operating loss of a mere $12.4 million against stellar revenues of $1.34 billion.
Though it posted a loss of $74.5 million on sales of $338.6 million, when stacked against its contemporaries, Curaleaf emerges more resilient. As we gaze into 2024, with many insiders predicting a favorable climate for expansion, Curaleaf’s operations in 19 states could be the tip of the iceberg.
Green Thumb Industries (GTBIF)
Green Thumb Industries (OTCMKTS:GTBIF), hailing from the bustling streets of Chicago, Illinois, isn’t just another name in the cannabis sphere. The firm aims to harness the unmatched potential of marijuana, becoming a beacon for both medical and recreational users across the United States.
It boasts various products ranging from fragrant flowers to potent concentrates and even edibles, capsules, and others. Additionally, it continues to channel resources into research and development to innovate and invigorate the sector.
Furthermore, while many cannabis behemoths struggle to see the green, Green Thumb Industries breathes profitability. Sure, its second-quarter net profit retracted from $24.44 million to $13.4 million. However, considering the expense surge of $21 million, the company’s profitability only dipped by $11 million. Green Thumb Industries seems to have already mastered the winning strategy in a game where many are still grappling with the rules.
Cronos (CRON)
Cronos (NASDAQ:CRON) is another top cannabis operator that continues to address the issues that have long shadowed the industry. Its losses dropped by a heartening 50% drop in the first half of 2023, down to $27.53 million, and a further 60% nosedive in the second quarter year-over-year. Such achievements, particularly amidst a modest revenue decline, loudly echo the company’s expertise in cost management.
On the global front, under the banner of Peace Naturals, it reigns supreme as Israel’s top medical marijuana maven. In a landscape marred by political unrest and slowed patient growth, Cronos stands undeterred with its unparalleled flower offerings and expansive pharmacy distribution. And with Israel poised to roll out new, patient-friendly regulations by December, the horizon looks brighter than ever.
Moreover, it inked a pivotal deal with a premier medical cannabis distributor in Germany, gearing up to kick-start shipments by the third quarter. Layer that up with the looming regulatory shift, poised to destigmatize medical cannabis, and Germany appears ready to contribute significantly to Cronos’ top-line growth.
On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines