Is it too late to buy this billion-dollar marijuana stock?
Canopy Growth (TSX:WEED)(NASDAQOTH:TWMJF) is boosting capacity to serve an increasingly larger marijuana market in Canada (and elsewhere). However, its market cap is already north of $1 billion, and it's still losing money, so investors are right to wonder if it's too late to buy shares. Read on to learn how Canopy Growth plans to dominate the marijuana marketplace and if its shares are right to own in your portfolio.
An evolving cannabis market in Canada
Marijuana remains illegal in the United States under federal law, but it's been legal to buy medical marijuana throughout Canada since 2001. Canada's medical marijuana market was slow to emerge. However, changes to its marijuana laws a few years ago mandating purchases through licensed suppliers kick-started the industry. As a result, big money is being spent by companies so that they can become leaders in this growing market.
