Cannabis stocks, as measured by the Global Cannabis Stock Index, have been quite volatile this year. The index gained in September, prompting a Q3 gain, but it fell in October. November was very tough, with the 9.5% loss to 7.44 leaving the index down year-to-date:
In 2023, the index ended down 16.5% to 8.11. In Q1, it rose 26.0%, declined 15.8% in Q2 and increased 2.2% during Q3. So far in Q4, it has dropped 15.5%. The index is down 8.3% in 2024 so far:
Since the peak in February 2021, the Global Cannabis Stock Index has dropped 92.0% from the 92.48 closing high:
The strongest 3 names in November all rose by more than 26%:
- WM Technology (NASDAQ: MAPS): +53.5%
- Turning Point Brands (NYSE: TPB): +31.1%
- Emerald Holdings (NYSE: EEX): +26.1%
Each of the strongest names are Ancillary stocks. WM Technology soared back above $1.00 and is up 36.8% in Q4. Turning Point Brands, among the best performers in October too, has gained 43.5% so far in Q4. Emerald Holdings, which owns Marijuana Business Daily, has decreased 0.4% during the quarter so far.
The 3 weakest names in November all fell by more than 47%:
- Ayr Wellness (OTC: AYRWF) (CSE: AYR.A): -68.9%
- Verano Holdings (NASDAQ: LEXX): -56.5%
- Trulieve (OTC: TCNNF) (CSE: TRUL): -47.6%
The three worst performing stocks were all MSOs with large operations in Florida. Ayr Wellness has dropped 63.1% in Q4 and is down year-to-date. Verano Holdings set a new all-time low during the month and is down 57.7% in Q4. Trulieve, still up year-to-date, has declined 50.6% in Q4.
We will summarize the index performance again in a month and provide an update on the quarterly rebalancing. You can learn more about the index members and the qualifications for inclusion by visiting the Global Cannabis Stock Index. 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 four 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. 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.
