If You're Considering Buying Organigram Stock on the Dip, Read This.
Since the beginning of the year, a prevalent illicit market, oversupply, and poor inventory management have ravaged Canadian cannabis companies. The benchmark Horizons Marijuana Life Sciences ETF (TSX: HMMJ) reflects these woes, down by nearly 25% from Jan. 2 to Aug. 31. As stocks in the sector continue to slide, many investors are wondering if now is the time to buy the dip.
But buying stocks as they bottom out is not always a profitable tactic. Investors may be catching a falling knife that never rebounds. Let's dig deeper into one slipping stock, Canadian cannabis company Organigram Holdings (NASDAQ: OGI), and ask whether investors should act now and buy its shares for cheap.
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Source Fool.com
