4 Pot Stocks to Buy If the Stock Market Crashes
Buckle up and hold on, because it's been a wild year for investors. During the first quarter, the benchmark S&P 500 shed more than a third of its value in less than five weeks due to the coronavirus disease 2019 (COVID-19) pandemic. This was followed by a rally during the second quarter that registered as the strongest since 1998.
But it's been an especially crazy time for marijuana stock investors. Despite enticing long-term growth prospects, a much-needed shakeout of the industry has been occurring over the past 15 months. It also hasn't helped that regulatory-based supply issues in Canada and high tax rates in select U.S. states have challenged legal-channel sales. In other words, most pot stocks have been in an extended "crash" of their own for more than a year.
With coronavirus cases once again climbing in the United States, it's not out of the question that the stock market will plunge for a second time in 2020. But should that happen, it doesn't mean investors should avoid the highly volatile cannabis industry. If the stock market crashes again, approach it as an opportunity to buy these four pot stocks.
Source Fool.com
