2 Ancillary Marijuana Stocks To Buy This Month?
As of the close on May 2nd, some marijuana stocks started to see a small recovery in trading. As mentioned once before this could be due to the start of a new month. In addition to all the ventures that are in the works for many cannabis companies. This speculation has created a positive outlook on the future of the cannabis industry. As well as a possible bigger recovery in trading for all marijuana stocks. At the moment MSO cannabis companies seem to be the ones making the most headway. The reason for this is in newly legal states such as New York and New Jersey MSOs have an easier path to set up shop. In 2022 there are several states that will soon be voting on whether to legalize cannabis or not.
If these states do become legal whether recreational or medicinal it will add more value to the overall industry. Also for those who want to invest in marijuana stocks but want less risky plays, you may want to consider ancillary marijuana stocks. The reason for this is that ancillary companies do not rely solely on cannabis as their main business. So if one day the cannabis side of operations is not looking so good the other part of the business could produce better trading. That is why ancillary marijuana stocks like The Scotts Miracle-Gro Company (NYSE: SMG) and Agrify Corporation (NASDAQ: AGFY) see less volatility at times. However, currently, things are down for the majority of the sector no matter the type of cannabis company.
Marijuana Stock Investors Prepare For The Future
Still, this is a good time to prepare and put yourself in a winner’s position. So as said above there are other areas of the sector that could be good investments. Especially with the sector on the decline which gives a chance to find the best marijuana stocks to buy. Although there is more fear than optimism for some cannabis stocks investors it’s likely that at some point down the line a run will commence. Mainly due to the fight for federal cannabis reform which stands a good chance of being the sole reason marijuana stocks see a substantial run.
Top Marijuana Stocks For Your 2022 Watchlist
- Hydrofarm Holdings Group, Inc. (NASDAQ:HYFM)
- GrowGeneration Corp. (NASDAQ:GRWG)
Hydrofarm Holdings Group, Inc.
Hydrofarm Holdings Group, Inc. together with its subsidiaries, engages in the manufacture and distribution of controlled environment agriculture (CEA) equipment and supplies in the United States and Canada. In recent announcements, the company will be releasing its Q1 2022 earnings. The company will host a conference call to review the first quarter 2022 results on Tuesday, May 10, 2022, at 4:30 PM ET. A press release containing the first quarter of 2022 results will be issued after the market closes that same day.
Like a handful of other marijuana stocks, April was a tough time. Many marijuana stocks had difficulties and HYFM stock was no different. In the first week of trading in April, this marijuana stock showed some nice movement, But right before the end of the first week in April this marijuana stock started to fall. Throughout the month small upswings took place but the company continued to fall. Yet once again at the start of May HYFM stock began to see another rise in trading. Currently, the company is slightly down but could soon see a recovery as trading in May goes on in 2022.
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GrowGeneration Corp. through its subsidiaries owns and operates retail hydroponic and organic gardening stores in the United States. The company just announced it will also be releasing its Q1 2022 financial results. First-quarter earnings will be announced on May 10th after the market close. The announcement will be followed by a live earnings conference call at 5:00 p.m. EST. Trading in April for GRWG stock was not the best even with a good market position to start the month.
Initially, the company was holding a position of just about $9.24 a share to start the month. But the rest of the time outside of minor spikes throughout April GRWG stock continued to fall further.
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However, from the end of April to May 3rd the company has begun to see a small increase in trading momentum. Hopefully, the company can keep this rise going long enough to reach better trading levels.