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3 Pot Stocks That Are Much Better Than Aurora Cannabis Inc (TSX:ACB)

Canadian licensed pot producer Aurora Cannabis Inc (TSX:ACB)(NYSE:ACB) has been one of the hottest stocks anywhere in the world, period, over the past year or so.

ACB stock has rise more than 20-fold since the beginning of 2016 and more than five-fold since the beginning of 2017. As if that weren’t enough, at one point earlier this month, it was already up more than double since the beginning of 2019.

Management at Aurora Cannabis has certainly had their collective hands, full including several major M&A transactions over the past year, but in this post I’ll attempt to explain why I think the following three pot stocks may actually be offering better value for investors these days.

Last year Hexo Corp (TSX:HEXO)(NYSEAMERICAN:HEXO) struck a deal with Molson Coors Canada Inc. (TSX:TPX.B)(NYSE:TAP) that would see the two companies work together to jointly work on developing a cannabis-infused beverage product line.

While products have yet to hit shelves, as the Canadian federal government has yet to lift restrictions on cannabis-related beverage and edible products, this a deal that makes a lot of sense for Molson, which has seen sales in domestic beer volumes slow in recent years.

The deal also gave Molson shareholders the option to increase its stake if certain conditions have been met.

From this author’s own point of view, it wouldn’t at all be beyond the realm of possibility to expect that Molson could attempt to acquire Hexo outright should the current JV end up being a smash hit.

American-based Tilray Inc (NASDAQ:TLRY) made a huge splash last summer when the TLRY shares soared 1400% in the first three months following the company’s initial public offering (IPO).

Perhaps it’s not all that surprising that Tilray stock has given back some of those gains since, but it’s still a company with a bright and promising future.

The company’s shares have shown a lot of support, stabilizing at the $80 level over the past several months.

Boasting one of the largest market market capitalizations in the cannabis space right now, it wouldn’t be all that surprising to see this company garner the interests of some big name institutional investors looking to enter the space.

Aphria Inc (TSX:APHA)(NYSE:APHA) originally made a name for itself as the first licensed cannabis producer to make a profit and produce a cash flow positive quarterly result.

Yet in light of the nascent nature of the cannabis industry right now, you could certainly make the case not to become overwhelmingly concerned with short-term quarterly results.

I think that Aphria has been unfairly knocked in recent months for its supposedly inferior strains of flower products.

While that may be true, I’m of the opinion that down the road, we may find out that it’s actually CBD that becomes the main driver of the cannabis markets rather than THC potency.

If that turns out to be the case, I believe that APHA stock is offering investors superb value at its current levels.

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Fool contributor Jason Phillips has no position in any of the stocks mentioned.

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