After a bruising summer of selling, has the Canadian cannabis sector finally bottomed out?
Cantor Fitzgerald says it has and is betting that positive catalysts will outweigh negative ones in the coming year.
“Valuations are at two-year lows, and we deem them attractive based on the long-term opportunity,” analyst Pablo Zuanic wrote in a note to clients Tuesday. The analyst finds comfort in the strength of the Colorado market, where spending on adult-use cannabis is 12 times that of Canada, and medical per-capita spend is 19 times Germany’s, a market that Canadian licensed producers are expected to benefit from given it is 2.2 times the population of Canada.
To read more, click on https://www.marketwatch.com/story/back-to-green-cantor-fitzgerald-says-canadian-cannabis-stocks-have-hit-a-bottom-2019-11-05