2 Cannabis Stocks With Single-Digit Forward P/E Ratios
Right now the marijuana industry offers two certainties. First, there's the certainty of rapid long-term growth in a legalized industry. We know this because the black market in North America is enormous. Funneling a steady stream of cannabis consumers over to legal channels in North America, Europe, and other parts of the world should allow the worldwide weed industry to realize Wall Street's lofty sales expectations of perhaps $50 billion, $100 billion, or even $200 billion in annual sales by 2030.
The other certainty is that the industry is facing growing pains, and current income statements are downright ugly. Sure, the cannabis industry has produced a few profitable quarters here and there, but many of these profits have been aided by one-time benefits and/or fair-value adjustments. Once we (pardon the pun) weed out these nonrecurring costs and benefits, the true nature of the current marijuana industry can be seen -- and it isn't pretty.
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Source Fool.com
