These sparks will ignite cannabis into the single-hottest slice of the stock market in 2021…
“Chop your own wood, and it warms you twice.”
That old saying couldn’t be truer. The work it took to get seven cords of split maple stacked high in front of me definitely warmed me once already.
This heap of dense hardwood is a huge pile of potential energy – 287 million BTUs worth – enough to fill your basic outdoor shed from floor to ceiling.
If I harness all of it efficiently, I can heat a 2,000-square-foot house for 351 days. Or my living room for nearly five years.
But this “Pile of Potential” won’t warm me the second time unless I create a spark.
Without a catalyst – with nothing to kindle the flame – I might as well sit out in the snow.
Give me a match, however, and I can make all this work pay off in the form of warm toes and cozy nights.
There’s a profitable lesson tucked into this wood-chopping saga.
Another “Pile of Potential” that has built up over the last couple of years. But instead of heat, this heap of opportunity will radiate trillions of dollars in wealth.
Because there’s one tiny sector that Wall Street seems to have overlooked…
And I see three separate catalysts that will spark an inferno-like rally to make this the single-hottest slice of the stock market in 2021.
Today, I’m going to tell you about each of those three sparks – and show you exactly how to play this for your own massive wealth in 2021…
The Three Sparks of Cannabis
The “Pile of Potential” that I’ve zeroed in on is the cannabis sector – in essence, a microcap business with $20 billion in United States revenue and a minuscule market cap of $76 billion.
This business is on the verge of a growth phase that will see sales doubling every 23 months.
And folks who invest now – before the kindling is ignited by these three sparks – will see their cash zoom at similar rates starting in 2021.
Before I show you how to profit, I want to spotlight “The Three Sparks of Cannabis” so that you understand how your wealthy future will be ignited today…
Catalyst #1 – Cannabis Sales
Make no mistake: Cannabis is the single fastest-growing economic sector on the planet.
It contains billions of dollars’ worth of greenhouses, extraction facilities, and dispensaries – plus thousands of profit-hungry executives and entrepreneurs.
All of this represents the infrastructure that’s been built up in the cannabis industry. It’s the “fuel” turning millions of rows of green cannabis plants into the green that all investors seek – profits.
Like my woodpile, it needs a spark…one that will ignite a boom in cannabis stock prices as extreme as its growth.
The U.S. cannabis market is worth about $100 billion right now, but 80% of it is from “black market” sales.
The $20 billion in legal sales will keep expanding until it consumes that whole market, even as the market itself grows. The spark has already ignited the fire. Sales are advancing at a 40% annual clip – a pace that equates to a double every 23 months.
Compared to that, every other industry seems lackluster. The software industry at 11.6% over the last year; or interactive media and services, up 12.4%; even biotech, which is growing at 16.4%.
The fact is that no other industry in the U.S. comes close to giving investors as much upside today as cannabis stocks.
And this sales growth is just the first of the three sparks I see.
Catalyst #2 – Cannabis Cash
The tremendous amounts of cash looking to fund cannabis company acquisitions are adding even more heat to the cannabis sector wealth furnace.
Only two weeks ago, a massive Cannabis Venture Trust – Subversive Capital Acquisition Corp. (OTC: SBVCF) – bid $500 million to consolidate four companies into the largest California-focused cannabis company to date.
That follows the $130 million used by Schultze Special Purpose Acquisition Corp. (Nasdaq: SAMA) to secure its acquisition of Clever Leaves.
And that’s just the start.
There’s another $2.7 billion sitting across 11 other Cannabis Venture Trusts, just like Subversive, that are looking to dive into the fastest growing sector on the planet.
Add the additional $3.8 billion that cannabis firms have raised through secondary offerings this year, plus the $4 to $5 billion sitting on cannabis company balance sheets, and this wealth-making furnace quickly starts to look more like a fusion reactor.
And that’s just the money we know that’s directly targeting cannabis company deals.
Billions more dollars are being held back by Wall Street and other Big Money players who are biding their time, waiting for the perfect moment to trigger their own deal-making strikes.
But we’ll see this happening soon.
And once the New York Stock Exchange (NYSE) and Nasdaq let plant-touching multistate operators (MSOs) list their stocks for trading, the fire will become an inferno.
Which brings us to Spark No. 3.
Catalyst #3 – Major Exchange Liquidity
A lot of cannabis expert wannabes will tell you that legalization is the next thing that needs to happen to ignite real growth in this industry.
The fact that U.S. MSOs can’t list on high-profile exchanges is the obstacle holding these players back.
The real firestarter will be the first major exchange listing by a U.S. MSO.
Big Money wants the reassurance of a liquid market to make their move. But once MSOs start listing and the money starts moving, the hardest part for you will be letting your gains keep running so you can milk the Big Money bids for all they’re worth.
That means you now have a “Rich People” problem…which is a problem you want.
And from the looks of it, that liquidity gate is starting to open.
The NYSE showed us it’s getting comfortable listing plant-touching companies when the AdvisorShares Pure US Cannabis ETF (NYSE: MSOS) – an exchange-traded fund (ETF) that holds the shares of such firms – first began trading back in September.
Through this one ETF, investors have plowed nearly $125 million into the cannabis sector.
But $125 million is just a drop in the bucket.
Once multibillion-dollar companies like Curaleaf Holdings Inc. (OTC: CURLF), Trulieve Cannabis Corp. (OTC: TCNNF), and Green Thumb Industries (OTC: GTBIF) list on a major exchange, that will open the spigot for potentially hundreds of billions of dollars in new money to pour like gasoline on an already burning fire.
Now, for you, know that watching these catalysts go to work isn’t enough. You must do two more things to capitalize on the biggest sector to emerge in decades.
First, start investing in cannabis stocks. Your money does nothing sitting in other, slower-growing sectors. Booms happen like this: slowly at first, then all at once. You don’t want to wait to get in.
Second, you need to own the best names. There’s a massive gap between cannabis companies that are run professionally with an eye on making money for investors and the legions of wannabes that will do nothing but collect dust. Or, worse, run their companies further into the ground.
To make sure you take care of both, there’s one more thing you can do…
Putting These 3 Catalysts to Work for You
Join NICI Membership today. Once you do, you’ll have access to all our real-time trade instructions and profit alerts straight to your inbox.
We currently have buys on 13 top cannabis companies, 10 of which can be scooped up for about $10 or less. These recommendations are based on analyses that I developed from my own proprietary model and the companies I track in the NICILytics database.
NICI Membership subscribers also get access to my personal network of industry insiders – a network that includes top executives, financiers, marketers, consultants, analysts, trade-group leaders, and entrepreneurs. I talk with these connections almost daily and meet with them personally as frequently as I can.
As a NICI Membership subscriber, you get access to those conversations.
Like this Thursday, when the President and Co-Founder of Jushi Holdings Inc. (OTC: JUSHF), Erich Mauff, will be joining us for a live Q&A. Not only will NICI Membership subscribers get a chance to listen in, but they’ll get to ask Erich questions directly and get his answers in real-time.
And given that Jushi is up nearly 200% from the day NICI Membership got their buy recommendation, this event gives you the perfect opportunity to see what’s next – and just how far this company can go.
So, go here now to find out how you can join NICI Membership, light a fire, and sip on your favorite hot toddy while Erich and I – and YOU – uncover just how much wealth these three cannabis catalysts can radiate for anyone owning the right names.
Executive Director, National Institute for Cannabis Investors
8 responses to “3 Sparks That Will Ignite This One Tiny Sector Into Massive Wealth for You in 2021”
December 09 2020