Cannabis stocks were mixed Friday, but there were a few stand-out performers.
The North American Marijuana Index, which tracks top cannabis stocks, added 1.52% to hit 259.56 in early trade.
Buds:
On the list of buds was HEXO Corp (TSE:HEXO), which climbed 7.8% to hit C$6.91. The company this week won approval for a new listing on the NYSE American exchange and begins trading in the US on January 23.
Also gaining was Cronos Group Inc (NASDAQ:CRON), which perked up by 9% to US$14.90. A new Fortune Magazine article suggests that Cronos will hold off on scaling up in the US market until marijuana is legalized by the Federal government. The company could also push into the hemp space, according to Fortune.
In other news, Canopy Growth (NYSE:CGC) jumped 2.4% to $43.79. The Canadian company is looking to invest as much as $150 million into building a giant hemp plant in New York after getting the go-ahead from regulators.
READ: CannTrust Holdings is a steady grower in a rapidly maturing cannabis industry
Duds:
Some North American cannabis stocks took a plunge, meanwhile.
Tilray (NASDAQ:TLRY)continued to have a rough week, with its shares shedding 5.4% to US$78.91. The company’s stock is still taking a hit due to the expiration of its lock-up period for share sales on Tuesday. Privateer Holdings, the private equity firm which controls almost 80% of Tilray shares, has pledged to not sell them during the first half of 2019. But other investors are looking to make a profit on the sharp run-up in TIlray’s stock over the last several months.
Aurora Cannabis (NYSE:ACB) was also not feeling the love after announcing a $250 million private placement of convertible senior notes due in 2024. Any money raised will be used to grow its business and for strategic acquisitions and working capital.
The stock dropped 4.4% to US$6.28 in New York trading.
Elsewhere, Green Growth Brands Inc (CSE:GGB) shares dipped by 6% to C$5.45. The Ohio-based company is still planning to press ahead with its takeover bid for the Canadian cannabis producer Aphria, according to a recent story from the online news outlet Cheddar. Last month, Aphria rejected the company’s initial $2.1bn bid, according to Cheddar, but CEO Peter Horvath isn’t ready to give up the fight.
Other duds included Curaleaf Holdings Inc (CSE:CURA), which fell 1.95% to C$7.53. Curaleaf runs 42 cannabis dispensaries in the US and 12 cultivation sites and focuses on sales in Florida, Massachusetts, New Jersey and New York.
Contact Ellen Kelleher at ellen@proactiveinvestors.com