Throughout July and August, Rich has been discussing the summer slump and forecasting the eventual pot stock revolution. After a few dismal months that saw some major scandals rock the cannabis sector, sully the names of some major industry players, and drag stock prices down, we may finally be witnessing an end to the downturn.
That’s right, just in time for September, we’re seeing signs of the long-awaited resurrection. As of yesterday, both the Canadian and the United States Marijuana Indices have seen unprecedented growth. After hovering around $68.00 for most of the last week, the US Marijuana Index, in particular, skyrocketed on Tuesday to $141.29. That’s a 107.7 percent growth in just one day!
It has since dropped back down to $111.37 as of this afternoon, but that still represents the highest it’s been since April. One magic day in the green has undone all the damage of the summer slump. Just as Rich predicted.
“We are having a resurrection,” says Rich. “Cannabis stocks are exploding, and it’s so is nice to see this in the cannabis sector. This is what we call ‘well deserved.'”
TLRY Grows 17.3 Percent
Tilray Inc. (NASDAQ:TLRY), a cannabis stock that just two weeks ago Seeking Alpha called “a disaster,” saw the most overall growth. It increased its worth yesterday by more than $5.00, jumping from $25.56 to $30.75.
One of the factors driving this surge was the fact that, on Tuesday morning, Cowen and Company cut its target price on TLRY from $150 to $60, though maintained its “buy” rating on the company. This created a huge pot stock buying opportunity, as the new price still forecast a tremendous growth rate.
Despite reporting a worse than estimated loss for the second quarter of 2019, Tilray looks bullish for the future. It recently closed a deal with Cannamedical Pharma GmbH to sell $3.3 million worth of medical cannabis to Germany and is poised to take advantage of the growing demand for CBD throughout Europe.
“Tilray is leading the charge and shocking the world,” says Rich. “Forbes magazine said we’d never see these prices again, well TLRY is proving them wrong.”
DYME Grows 47.6 Percent
On Friday, Rich profiled DionyMed Brands (CSE:DYME) (OTCQB:DYMEF) as one of the early indicators that the summer slump was about to end. Immediately after jumping up from $0.84 to $1.08 on the Canadian Securities Exchange, yesterday DYME stock jumped again all the way up to $1.26.
Some of this has to do with the company’s impressive Q2 financial results, but it can also be attributed to the company’s ongoing momentum. Once pot stocks start getting some industry attention, a turn towards a bullish market can cause them to jump up in price by leaps and bounds. Especially in a young sector like cannabis, an exciting new prospect can run up the market once people think it will be the next big play.
“I told you guys to watch DYME, they are running like the running of the bulls in Spain,” says Rich.
Will Pot Stocks Continue to Rise?
Pot stocks across the sector were on the rise yesterday, but whether that means the market will continue its upward momentum or turn down back again remains to be seen.
What we do know is that the summer slump is officially giving way to the new season. Whether that season will be the autumnal upswing or the fall, Rich will be here to guide his community members through the news.
What do you think? Is the resurrection officially here? Did you make some money off of TLRY, DYME, or one of the other big gainers today and yesterday? Let us know about it in the comments below. Also, make sure to check out Rich’s top cannabis stocks to watch in September for more insight on the industry.
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