Better Buy: Cara Therapeutics vs. Scotts Miracle-Gro Company
Two of the hottest places you can invest today are in biotech and cannabis. Cara Therapeutics (NASDAQ: CARA) will give you exposure to the former, while Scotts Miracle-Gro (NYSE: SMG) is a good option for investors looking to bank on the growth of the latter.
Investors in both stocks have reason to be excited about each company's future, but deciding which stock is the better option for you may come down to not just your outlook for the companies, but the risk you're willing to take on.
Investors got a glimpse of just how volatile shares of Cara can be when the stock crashed in December, losing 35% of its value in just one day. It wasn't a bad earnings result that sent investors into a panic but underwhelming results from its phase 2 clinical study of Oral Korsuva. This highlights just how important the drug, which treats itching associated with chronic kidney disease, is to Cara's future. The good news is that Korsuva Injection is further along in phase 3 trials, and in November, it showed encouraging results.
Source Fool.com
