Canopy Growth Just Made a Smart Move. Here's How to Profit
On Oct. 25, the Canadian cannabis company Canopy Growth (NASDAQ: CGC) announced that it wasn't going to wait for marijuana legalization to occur in the U.S. before proceeding to enter the country's market. With the implications of that major announcement upending investors' prior assumptions, it's no surprise that its shares have risen by more than 70% in the last month.
But there could be even more growth on the way. For investors looking for an entry into cannabis stocks, Canopy's decision might be an attractive place to start. Here's why.
Canopy's attempt at a foray into the U.S. market comes hot on the tail of its late September decision to divest its retail cannabis business in Canada. Selling off its retail outlets is expected to result in annual cost savings between CAD$70 million and CAD$100 million -- a significant sum when considering its fiscal year 2022 total operating expenses were near CAD$509.2 million.
Source Fool.com
