Canopy Growth (TSX:WEED)(NYSE:CGC) has done very well to start 2019, rising by around 60% since January. However, it’s a little bittersweet as the stock is still just trying to recover to where it was back when legalization took place. Recently, the stock has run into some resistance as well, struggling to stay above $60 a share.
Concerns about profitability and a big miss late last year are some of the things that have been weighing on investors for a stock that’s trading at some very high multiples today. At a very high valuation and being one of the top stocks on the TSX in terms of market cap, the opportunity for Canopy Growth to continue rising might be pretty small. Without a significant announcement in the works, the stock may simply have run out of room to run.
However, there are a couple of other pot stocks that have actually been doing better than Canopy Growth.
OrganiGram Holdings (TSXV:OGI) has seen its share price double in just a little more than three months into the year. With a market cap of about 6% the size of Canopy Growth’s, OrganiGram is a much smaller company to invest in, and that could mean more opportunity for investors that buy today.
The company saw significant revenue growth in its first-quarter results that helped build some excitement around the stock, especially since the improvement didn’t even include a full quarter worth of recreational sales in it. In its Q2 results, which are to be released on the 15th, we’ll see just how well OrganiGram did in a full three months of the recreational market being open. Expectations will certainly be high, since early in the year the company announced it expected sales to be double that of Q1’s impressive results.
With a strong quarter and lots of potential still to be realized, it’s no wonder why the stock has been doing so well and why it could achieve even more growth, especially if it’s able to produce a very strong Q2.
Curaleaf Holdings (CNSX:CURA) is another stock that’s seen its share price double in 2019. With a strong presence south of the border, the company has been growing at an incredible pace. Last month, Curaleaf announced that it had opened its 23rd dispensary in Florida, which would also offer a drive-thru option for medical marijuana customers. In total, the company has 43 dispensaries in the U.S., as it claims to have the largest footprint in the country.
As more states pass marijuana laws, there will be even more opportunities for Curaleaf to grow, and that’s what makes the stock such an enticing one. Although Curaleaf has accomplished a lot in terms of growth, it’s still fairly under the radar and that gives it a lot of potential upside as more investors become aware of the opportunities that the stock possesses.
By staking out some early positions in key markets, Curaleaf could become one of the top pot stocks in the U.S. before the year is out.
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Fool contributor David Jagielski has no position in any of the stocks mentioned.