Ignore the noise when it comes to legalization and instead, focus on the big picture…
New York Gov. Andrew Cuomo (NY-D) vows to legalize adult-use cannabis in 2020.
When it joins the recreational club, the State of New York is expected to haul in $3 billion in sales. Obviously, every cannabis investor wants Cuomo to make this happen and add another “green” state to the map.
Outside of Cuomo legalizing cannabis for his state, voters in New Jersey, Florida, and Arizona are anxious to get to their polling places and put a check next to “Yes” on their ballots for legalizing adult-use cannabis.
“Demand from the public for full legalization is growing louder, and a recent survey showed nearly 90% of Americans favor legalization. You will see politicians work to meet the demands of their constituents, and you will increasingly hear their intentions to force legalization in their states.”
That’s what Don Yocham, the new Executive Director, told the staff at the National Institute for Cannabis Investors.
And to unlock the real profit opportunities that lie ahead, cannabis investors need to see the forest for the trees.
The True Power of Cannabis Legalization
Legalization is very important to the progress of the industry, but it’s easy to get caught up in all the noise.
“New York legalizing cannabis is not going to send the MedMen Enterprises Inc. (OTC: MMNFF) stock price through the roof,” Don told us.
[SECURE YOUR COPY] The 2020 Pot Profits Playbook covers everything you need to know about the effects legalization could have on your cannabis portfolio.
What will send cannabis stock prices through the roof is money from the illegal market finding its way into legal markets. And all of that money coming in will lead to massive stock price appreciation.
So, while it is important that New York legalizes cannabis for a number of reasons, the bigger picture is that legalizing all cannabis use across the country and bringing money from the illegal to legal markets is what will move the needle.
It’s that simple.
New Frontier Data, a company with the mission to be the intelligence authority for the cannabis industry, projects that all cannabis sales in North America were $86 million in 2018.
As a reference, legal sales in North America in 2018 were $10.8 billion.
That means more than $70 billion in sales were conducted in the black market. That’s a lot left on the table that should be trickling into the legal market, and that’s why legalization is so important for cannabis investing.
Ultimately, when companies are allowed to sell recreational cannabis in any state, those revenues will be reflected in incredibly higher stock prices.
18 responses to “The Most Important Aspect of Cannabis Legalization”
January 13 2020