10 Smoking Hot Cannabis Stocks to Keep on Your Radar

New cannabis stock, AKAN, began trading this week

Mar 18, 2022 at 11:31 AM
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Welcome back to our weekly series, Schaeffer's Cannabis Stock News Update, where we recap what happened in the world of marijuana stocks, and look at how the cannabis industry is evolving as we make our way through 2022.

The world of cannabis saw massive growth in 2021 and 18 states plus D.C. officially legalized the adult-use of cannabis by the end of the year. Thirty-one states plus D.C. had taken decriminalization measures regarding cannabis by the end of 2021. As of late 2021, marijuana is classified at the U.S. federal level as a Schedule I substance under the Controlled Substances Act. In other words, cultivating, distributing, and possessing cannabis remains illegal at the federal level.

In addition, here is a quick summary of the major (and action-worthy!) cannabis stock news from this week:

On Monday, Innovative Industrial Properties (NYSE:IIPR), a cannabis-centric REIT, declared a dividend for the first quarter of 2022. The dividend payout will be $1.75 per share of common stock, marking a 33% increase year-over-year and equating to an annualized dividend of $7.00 per share. IIPR's dividend will be paid on April 14 to shareholders of record on March 31.

Martha Steward CBD, a brand under the Canopy Growth Corporation (NASDAQ:CGC) umbrella, launched its latest product line, Tropical Medley CBD Wellness Gummies, on Monday. According to Canopy Growth, "The new Tropical Medley CBD Wellness Gummies feature three delicious flavors and are made with Canopy Growth's high-quality, U.S.-grown CBD isolate, which is the purest and most potent form of CBD, offering consumers the consistent and great-tasting experience they've come to love from Martha Stewart CBD."

Flora Growth Corp. (NASDAQ:FLGC) announced on Monday the signing of a distribution agreement with Israel-based, DNO Group. The agreement addresses the logistics for distributing FLGC's Mind Naturals brand in Hong Kong. According to Flora Growth, “We are excited to see the continued expansion of Mind Naturals into new international markets, especially those with a high demand for skincare products. We look forward to working with DNO to bring this unique offering to key markets around the world.”

Later in the week, Flora Growth received its increased 2022 export quota from the Colombian Government, with an allotment of up to 43,600 kg of high-THC cannabis. Only high-THC and psychoactive cannabis require a formal export quota from the Colombian Ministry of Health and Social Protection quota system. With this updated quota, FLGC can now export a sufficient amount of medical marijuana to fulfill current and future supply agreements.

urban-gro, Inc. (NASDAQ:UGRO) signed a definitive agreement to acquire Emerald Construction Management Inc. for approximately $7 million. According to UGRO, “The Emerald C.M. acquisition represents an important step in our strategy to supply the global indoor CEA (controlled environment agriculture) market with turn-key design-built facilities. The market for mid-sized turn-key cultivation facilities and vertical farms is underserved, providing urban-gro a unique opportunity to bring the expertise and experience that is needed to deliver high-performance facilities. This acquisition enables us to get our clients to market more quickly while maintaining elite service levels."

Agrify Corporation (NASDAQ:AGFY) entered into a debt financing agreement on Monday to secure up to $135 million in a Senior Secured Note facility with an institutional lender. The proceeds of this agreement are planned to be used as working capital and general corporate purposes.

*NEW CANNABIS STOCK ALERT* Akanda Corp. (NASDAQ:AKAN) went live for trading on Tuesday, March 15, and saw a 163% surge on day one. AKAN opened at $30 and closed the day at $10.50.

On Tuesday, IM Cannabis Corp. (NASDAQ:IMCC) announced the completion of three acquisitions that were originally announced in 2021. The acquisitions include Vironna for $3.3 million, Pharm Yarok for $4.6 million, and Panaxia for $7.2 million. According to IMCC, "Each of these strategic acquisitions are key progress points for our Israeli and global expansion strategy. Our business model enables IM Cannabis to oversee the entire supply chain and ensure that the procurement and movement of quality supplies across our Israeli, German, and Canadian operations are done efficiently while providing our customers with premium quality cannabis."

Chicago Atlantic Real Estate Finance Inc. (NASDAQ:REFI) led a $30 million senior secured credit facility to an unidentified medical cannabis company in Florida. REFI contributed $22.5 million of the $30 million that will be used to build a brand new cultivation and processing facility. According to Chicago Atlantic, Florida's medical marijuana market is "attractive" based on limited license structure and rapidly increasing patient count.

Tilray Medical, the medical marijuana division of Tilray Brands, Inc. (NASDAQ:TLRY), launched the first EU GMP medical cannabis oil products in Malta. According to TLRY, “Demand for medical cannabis in Malta is growing rapidly and we are incredibly proud to service patients with the high-quality medical cannabis products they rely on and in the formats they prefer.”

The Valens Company Inc (NASDAQ:VLNS) provided an upbeat update on its recreational marijuana Canadian market share. In November 2021, Valens was ranked #12 in overall market share and jumped to #10 with 3.1% overall market share in February 2022. According to VLNS, "We have shown strong quarter-over-quarter growth, as we continue to execute on our business strategy across all our brands in the Canadian recreational market."

 




 
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