CBD is a product that is derived from Marijuana plants. it does not contain THC, hence it’s not psychoactive. It has several health benefits and it’s quite popular all around the world. If you are curious to know about how to trade CBD stocks, add this emerging sector to your watchlist. You should watch CBD stocks and their analysis every now and then in order to understand how to trade them. Well, here is how we can help you. Below is the list of top five recommended stocks to watch.
Canopy Growth (NASDAQ: CGC)
Canopy Growth is an Ontario based company that markets around $13.78 billion. Canopy is well known for the useful cannabis medical products. These products include capsules, oils etc. A lesser known fact about canopy growth is they also deal in hemp division. The hemp offered here is used in skincare, fuel and food. If you are actively looking to trade in CBD stocks or pot, Canopy can be a great option to go for.
Charlotte’s Web Holdings (OTC: CWBHF)
Charlotte’s Web Holdings have their headquarters located in Boulder, Colorado. This is a well known CBD to stock on since 2013. This was the year when Charlotte, a little girl suffering from seizures, got featured in a CNN documentary. The story showcased how the girl started taking the company’s CBD oil.
Prior to the approval of Farm Bill, Charlotte’s Web Holdings witnessed visible growth. And once the bill passed, there was no going back. The company was in an unexpected advantageous position with an advanced infrastructure set up. Whether you are an established brand or just a newbie, this is the stock that you can count on.
CV Sciences (OTC: CVSI)
CV Sciences is situated in Las Vegas and has a market capitalization of $416.33 million. It runs on the smaller side but has two divisions, namely pharmaceutical and consumer products. At the pharmaceutical division, CV Sciences develop synthetic CBD based medicines. They also work towards pursuing FDA approval for drugs. For the second division, as a consumer products company CV Sciences have various CBD products. These products reach the customers through healthcare providers, retailers, health food stores etc.
As there are two divisions of CV Sciences, the chances of growth are comparatively higher. But being in a pharmaceutical firm also demands a lot of caution. The products can be highly volatile and a simple shift in FDA’s approval can change the whole stock trajectory.
GW Pharmaceuticals (NASDAQ: GWPH)
Another pharmaceutical company, GW Pharmaceuticals, was founded in 1998 and is based in the UK. The company is also known to operate in the US with the market capitalization of $5.25 billion. The company deals in pharmaceutical products that are made with CBD. One of their renowned products is Epidiolex. It is an FDA approved oral solution that is made of CBD and treats seizures. This is the very first medicine approved by the FDA that was derived from a cannabis plant. And it is only then that the company gained tremendous popularity all over the world. A high future growth is expected from a company like this.
In the End
A lot of online information about Cannabis stocks trading can be found online these days and there’s much to learn before starting to trade these stocks. Cannabis related products and companies that produce such products are becoming very popular nowadays all over the world, but before investing in CBD stocks you should be familiar with the top four companies we’ve mentioned above and do your own research. Getting into the world of trading is fascinating, watch your investments and get in on time.