Aurora Cannabis Just Gave Investors 350 Million Reasons to Avoid It Like the Plague
If you think restaurants or oil stocks have had it bad lately, you haven't been paying attention to marijuana stocks, which have fallen off of a veritable cliff since the end of March 2019.
Although the long-term outlook for the cannabis industry remains promising -- after all, tens of billions of dollars in weed sales are conducted in the black market each year -- the near-term outlook isn't so hot. Regulatory issues in Canada at the national and provincial level have created everything from product shortage to sizable supply bottlenecks, depending on the region. Meanwhile, high tax rates have made it difficult for legal producers in the U.S. to compete with illicit growers. And as the icing on the cake, North American pot stocks are struggling to gain access to traditional forms of financing.
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Source Fool.com
