The Global Cannabis Stock Index fell for the tenth consecutive month, declining 11.5% to 32.85:
The index, which was down 21.2% in Q3, had 42 qualifying members during the month and was down 27.0% in Q4. After increasing 5.2% in 2020 to 44.39, it fell 26.0% in 2021. It has declined 64.5% from its 2021 closing high of 92.48 on February 10th:
After posting an all-time closing low of 16.95 set on March 18, 2020, the index remains 93.8% higher but still down 81.8% from its early 2018 closing high at 180.02:
The strongest 4 names in December all gained at least 6%:
- 22nd Century Group (NASDAQ: XXII): +23.1%
- Verano Holdings (CSE: VRNO) (OTC: VRNOF): +15.2%
- Scotts Miracle-Gro (NYSE: SMG): +11.1%
- Jazz Pharmaceuticals (NASDAQ: JAZZ) : +6.3%
22nd Century Group ended 2021 with a 40% gain. Verano Holdings went public during the year but ended well above the $10 price of its capital raise ahead of going public in February. Scotts Miracle-Gro declined 19%, while Jazz Pharma dropped 23% during the year.
The 4 weakest names in December all declined by more than 32%:
- Agrify (NASDAQ: AGFY): -40.1%
- Clever Leaves (NASDAQ: CLVR): -37.5%
- HEXO Corp (TSX: HEXO) (NASDAQ: HEXO): -37.1%
- High Tide (TSXV: HITI) (NASDAQ: HITI): -32.1%
Agrify, which sold off on a negative research report, ended the year below the $10 IPO price from January. Clever Leaves declined 65% during the year, while HEXO plunged 81%. High Tide, the strongest performer in November, increased more than 41% in 2021 despite the weak performance in December.
We have also published separate reviews of the performance of the Canadian LP Index , the American Cannabis Operators Index and the Ancillary Cannabis Index:
- Canadian Cannabis Stocks Cap Challenging Year With 13% Decline in December
- American Cannabis Operator Index Declines in December to End 2021 Down 34%
- Ancillary Cannabis Index Declines 7% in December
For Q1, the index will include 38 names following several removals and additions. Joining the index will be Chicago Atlantic Real Estate Finance (NASDAQ: REFI), IM Cannabis (CSE: IMCC) (NASDAQ: IMCC), iPower (NASDAQ: IPW) and cbdMD (NYSE American: YCBD). The stocks exiting include AgriFORCE (NASDAQ: AGRI), Charlotte’s Web (TSX: CWEB) (OTC: CWBHF), Clever Leaves (NASDAQ: CLVR), Evogene (NASDAQ: EVGN), Grove Inc. (NASDAQ: GRVI), HEXO Corp (TSX: HEXO) (NASDAQ: HEXO), InterCure (NASDAQ: INCR), PharmaCyte Biotech (NASDAQ: PMCB) and Taat Global Alternatives (CSE: TAAT) (OTC: TOBAF). With the exception of HEXO, which fell below the minimum price, these stocks failed to meet the minimum daily average value traded.
We will summarize the index performance again in a month and provide a summary of the year-end rebalancing. You can learn more about the index members and the qualifications for inclusion by visiting the Global Cannabis Stock Index. A more complete analysis of the index is available at 420Investor.com. Be sure to bookmark the page to stay current on cannabis stock price movements within the day or from day-to-day.
New Cannabis Ventures maintains seven proprietary indices designed to help investors monitor the publicly-traded cannabis stocks, including the Global Cannabis Stock Index as well as the Canadian Cannabis LP Index and its three sub-indices. The sixth index, the American Cannabis Operator Index, was launched at the end of October 2018 and tracks the leading cultivators, processors and retailers of cannabis in the United States. More recently, we introduced the Ancillary Cannabis Index at the end of March 2021, reflecting the increasing number of publicly-traded companies providing goods or services to cannabis operators.
