7 Tips For Beginners Investing In Cannabis

Posted 4 years ago

It’s not too late to begin investing in the Cannabis and/or Hemp space.


#1 - Companies that are vertically integrated. Meaning the Cannabis companies that own the farm, processing facilities and dispensary will be the companies that have a higher probability and will be able to move their inventory. Resulting in companies that will make substantially higher revenues.  

#2 - Companies that are investing in technologies to grow cannabis/hemp, whether through increasing yield, quality and the control against molds and rot, will be viable and able to outperform others in the market.

#3 - Consider investing in companies that are operating in the biotechnology around cannabis/hemp. Pharmaceutical opportunities to invest when choosing the right ones will have a big pay off.

#4 - Look at companies operating in hemp with products made for building materials, paper, packaging, plastics, etc.

#5 - Beginners investing in cannabis can hedge their investment with brands that are already well-established and that have profitable earnings with big backing.

#6 - Cannabis is gaining international markets. Beginners could invest in companies that are trustworthy and profitable in places like Canada, Germany and other countries around the world. These companies will be uniquely positioned and have enough capital to start buying up little operations.

#7 - Watch where big investment money goes and/or where big companies jump into the Cannabis market like Marlboro, Budweiser and Constellation wine brands. All three have jumped into the game and expected to be highly competitive and profitable.


Bonus Tips

#1 - I would stay away from investments in celebrities cannabis brands.

#2 - Organic cannabis products I feel will be key due to consumers preference.

#3 - Look for companies that are providing the cannabis farmers and hemp farmers with the tools and machinery to grow, process and supply the cannabis to dispensaries.


Written By: Scott Krauger