The cannabis market is growing at a rapid pace. It will accelerate at a much faster rapid considering the US House of Representatives has now decriminalized the use of cannabis. We can see companies in the cannabis industry further accelerate their growth and development of new products to save lives.
Even with barriers and obstacles, the cannabis market has seen rapid growth over the last few years. Many companies use it to create lifestyle products and medications for their consumers. As a result, they can enjoy earning high revenues and profits.
These developments draw the attention of potential investors who are looking to get their hands on top cannabis companies. It will help investors diversify their portfolios and enable them to reap amazing opportunities in the long and short run on their investments.
Companies like Green Thumbs Industries have become a top pick for investors. They offer exceptional opportunities for its shareholders and hold immense potential to grow in the future. As the US moves towards the legalization of cannabis, we can expect cannabis companies to make rapid progress. So, investors should keep Green Thumbs on their watch list.
The company is one of the best vertically integrated dispensaries. Green Thumb Industries also has licenses to run more than 50 retail stores in 7 different locations. Therefore, we can expect the company to increase its spending on the retail side to boost its presence in the local market.
With the legalization of cannabis, we can expect that number to go up. Green Thumb Industries went public in 2018, and the company’s share price has seen ups and dips throughout its short period on the market. Let’s take a look at its historical analysis and the future price prediction for 2022.
- 1 Green Thumb Industries Statistical Overview
- 2 How to Invest in Green Thumb Stocks?
- 3 Where to Buy Green Thumb Stock?
- 4 Conclusion
Green Thumb Industries Statistical Overview
Green Thumb Stock Forecast 2022
Green Thumb Industries’ share price is tumbling at the moment, falling to $12 by the second week of May. The share price opened at $22 at the start of 2022, but it has continued to go down with slight fluctuations. The recent sell-off by the investors is causing the market to turn red. As a result, it is impacting the Green Thumb industries as well.
Most importantly, Green Thumb Industries’ reports from Q1 have failed to attract investors. Even though the company has posted some great numbers in the last quarter, it failed to impress investors. Many decide to pull out their investment, causing the share value to go down.
Nevertheless, Green Thumb Industries is a profitable cannabis company, and it continues to improve its numbers from previous years. With the legalization of cannabis, we can expect the company to increase its production and target the retail market more aggressively.
The company also plans to research and introduce new products in the market. Therefore, it can create new drugs and explore other avenues thanks to the legalization of cannabis.
Analysts at CNN forecast the median price for Green Thumb Industries at close to $31.21. It shows an increase of more than 140% from its current stock price of $ 12.75. The analyst expects the price to go as high as $49 and as low as $21. Investors looking to buy cannabis stock should keep a watch on Green Thumb Industries as it is one of the hottest stocks.
Green Thumb Stock 2021
The Green Thumb Industries stock price saw two major fluctuations through 2021. The Green Thumb Industries’ share value went up to $30 by the third week of January. It later crashed by 20% to $25 on the last trading of that month. It continued to enjoy the Bull Run and reached the share price of $38.45 within the first ten days of February 2021.
However, the stock price continued to see a gradual decline, and by the last week of March 2020, it was around the $25 mark. Despite posting great numbers through all quarters, Green Thumb Industries’ share price closed at $18 at the end of 2021. Overall, companies in the cannabis market saw a rapid decline in their share value.
Green Thumb Stock 2020
After enjoying a slight rise in its share price, Green Thumbs Industries stock nosedived to its lowest value in its history. The stock was traded for $10 by the second week of January. It starts to see a gradual decline before going down to $4 at the height of the pandemic. However, Green Thumb Industries’ stock price recovered quickly, closing at around $14 by the last week of December 2020.
The share price witnessed a staggering rise after the company realized the reports for the third quarter. Revenues improved by 30% compared to the last quarter and 130% from the previous year. The company also experienced a growth in its sales by 32% in the last quarter.
In addition, the driving force for the company’s stock increases due to the rumor about the usage of cannabis to prevent Covid-19. While there was little study available at that time, the market responded to these rumors by investing heavily in cannabis stocks.
Therefore, the share value of many companies, including the Green Thumb industries, increased significantly. By the end of 2020, the company’s stock value increased by more than 75%.
2019 was overall a bad year for the cannabis industry. Stocks of the big players in the market saw a significant decline in their share value. As per CNBC, 2019 was 2008 for the cannabis industry since major companies like Green Industries saw a huge fall in their stock prices, despite posting great numbers.
The biggest six stocks of the company wiped out investor fortune worth more than $25 billion in market value. Many analysts have termed this loss due to the slow approach by the Canadian government. While the Canadian federal government legalized the use of cannabis throughout the nation, the retail setup did not pick up as quickly as many expected.
The rollout of the bricks-and-mortar stores was slow and many companies, including Green Thumb Industries, had to stop their expansion plans for production. This external factor caused the company’s stock price to decrease significantly.
The share price of Green Thumb Industries opened at $7.7 on the first day of trading in 2019. It doubled to $16 by the first week of May and then gradually declined to $9.1 on the last trading day of 2019. The Green Thumb Industries stock did rebound a couple of times due to the company’s exceptional performance, but the external factor got the better share price.
The Q3 financial statements for 2019 show the company’s revenue growth by more than 290% from the previous year. Furthermore, the company experienced 50% growth in its quarter-to-quarter revenue, with an operating loss of $2 million.
Green Thumb Stock 2018
Green Thumb Industries launched its IPO on the 13th of June 2018 at $7.3. Its share price hovered between $6.8 and its IPO price till the second week of August 2018. Its share value saw a massive rise and tripled in just three weeks, reaching $22. However, that spike did not last long, and the company’s share price plummeted to $7.5 in the last few days of December 2018.
The spike in the second week of September was due to the exceptional numbers that Green Thumbs posted in its financial statements. It earned a whopping revenue of $13.6 million, increasing by more than 285% year over year. In addition, the company’s revenues also went up by 25% quarter over quarter.
Furthermore, Green Thumb Industries was able to raise net proceeds of $61 million via private placement for an RTO (reverse takeover) of a Canadian public company that included both brokered and non-brokered placements. The company also announced its expansion in Florida and Ohio by getting licenses for dispensaries in those states.
Despite these numbers and developments, the company couldn’t produce high GAAP profits. The main reason was that these companies had to pay taxes as per their gross profit margins since marijuana was illegal. In addition, the political scenario at the time was also driving investors away from cannabis stocks.
There was a lot of debate going on in the US House of Representatives, which made the cannabis market volatile. Ergo, investors pulled out their investments from many companies in the cannabis market, including Green Thumb Industries.
How to Invest in Green Thumb Stocks?
A crucial thing that investors should keep in mind is that they need a comprehensive plan in the long and short run. It will allow them to understand the changing market dynamics and how they will impact the share price of a particular cannabis company. Consequently, you can reap the high returns that cannabis stocks offer.
When we talk about investing in cannabis stock, we have a high emphasis on research and evaluation. Stocks are highly volatile, particularly cannabis stocks. It is best to have complete knowledge about the stock that you plan to invest in. Comparative analysis, risk assessment, etc., are a few ways to assess the company’s potential and price forecast.
As an investor who wants to invest in cannabis stocks, you should consider Green Thumb Industries. Since going public in 2018, the company’s revenue growth has been phenomenal. It has delivered exceptional numbers despite being in a highly competitive market.
Where to Buy Green Thumb Stock?
The perks of investing in the cannabis industry are exceptional, and you would like to have a top stock in your portfolio. However, you need to have a robust and straightforward platform that enables you to invest in these stocks without too much trouble.
That is where eToro comes into play. It makes investing in cannabis stocks more than easy. Many investors used this platform and found it much better than many online solutions. The eToro platform has various features that make it easy for beginner and professional investors to take advantage of cannabis stocks.
From the robust search feature to a flawless order placement process, eToro offers a complete solution to all investors. The simple registration process includes the following five steps.
Step 1: Open an Account
The first step for opening an account on the eToro platform is filling out the online application form. You can access the form by going on the platform and clicking on the “Create Account” button. It only requires basic information and won’t take too much time.
Step 2: Upload ID
After filling out the application form, you need to submit the following documents to meet the KYC and AML regulations:
- Bank account statement for the last six months
- Passport or driver’s license
- Utility bill
Once you submit these documents, the eToro platform will check their authenticity and open your account.
Step 3: Make a Deposit
Before you start buying Green Thumb Industries’ shares or other cannabis stocks, you would need to have some funds in your account.
So, you can decide the amount you want to invest in the stock market and deposit that amount via your debit/credit card. You can also use your PayPal account or wire bank transfer to buy the stocks you want.
Step 4: Search for Green Thumb Stocks
Lastly, you can use the search option on the platform to find the top cannabis stocks and invest in them. You will find on the trade option to buy or sell the shares you want, and the platform will process the transaction.
The platform also allows you to look at the previous performances of the company to assess if it is the right stock to invest in or not. Also, the stop-loss feature enables you to minimize your losses if the market is seeing a bearish trend.
Step 5: Buy Green Thumb Stocks
Green Thumb Industries is one of the few companies in the cannabis industry generating profit. It will continue to increase its foothold on the retail market and improve its revenues after the legalization of cannabis in the US.
Therefore, investors who want to diversify their portfolios must follow the company’s developments. It will help them buy the Green Thumb Industries stock at the right time and then sell it when the value increases.
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