If you have not been living under a rock, you probably have heard that marijuana stocks are blowing away stock market performances by over a thousand percent! Now everybody is flocking to sources trying to find which marijuana penny stocks to invest in. Now that marijuana is legal in Colorado and Washington, the potential for making money is huge, but this is a new business so there are many businesses out there that are pumps and/or are shams so you must be careful.
Medical marijuana penny stocks first came on the scene when various states started to launch their respective medical programs, but today, more and more states are recognizing its medical use and legalization is also picking up the pace, creating a new market, and possibly one of the biggest commodities ever. This is why this market is the new gold rush.
You have to watch out, like with any of these OTC/Pink Sheets because many of them release news that is all fluff but has nothing to back it up. Stocks like MJNA went up on Colorado's first legal day just because of the ticker name, but the company itself has little value. Same thing when the Agriculture Bill allowed for hemp production, HEMP went up but the company isn't worth much, they just road the news wave.
I AM NOT SAYING YOU SHOULD INVEST IN THESE COMPANIES, but I invested in companies that actually have established factories or greenhouses, that produce financials, and that operate on actual news rather than just weightless agreements with advertising companies or the likes. I cannot legally tell you which companies those are because I am currently invested but if you do your research, you should be able to find some good long term buys.
It is a risky market so don't think investing in any weed-related company will bring you riches down the line. There are a lot of pump and dumps and short sellers love pounding them down. Find legitimate companies and enjoy a market that will take off even more, now that the feds have allowed banks to process payments.
I do have reservations about the legalization of marijuana versus having it just used medically but it's a train that cannot be stopped so it's either you profit from something or you don't. Stay safe!