Better Buy: Canopy Growth vs. Aphria
The recent market crash wasn't kind to cannabis stocks. The industry benchmark, the Horizon Marijuana Life Sciences ETF (OTC: HMLSF), is down by 29% since the beginning of the year. And while many will choose to avoid cannabis stocks altogether, others looking to dip their toes in these waters may look at Canopy Growth (NYSE: CGC) and Aphria (NYSE: APHA) as two of the best picks within the cannabis industry. Year to date, Canopy's shares have slid by 24.2%, which compares favorably to Aphria, whose shares are down by 31.6% since the beginning of the year. Will Canopy continue to outperform Aphria moving forward? Let's see which of these two cannabis stocks is the better buy today.
Canopy holds the strongest market share in several Canadian provinces, including Ontario (the largest by population), Nova Scotia, and Alberta. The company is second only to Hexo (NYSE: HEXO) in Quebec, which is the second-largest province by population. And while the recreational cannabis market in Canada has been a bit of a flop, things could reverse course for Canopy and its peers. The cannabis derivatives market, which officially opened late last year, could help marijuana companies improve their financial results significantly.
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Source Fool.com
