With the legalization of CBD in many countries in Europe and North America, the sector has opened up considerably to many opportunities. Consumption has increased, but also many financial possibilities linked in particular to the sale of cannabis products intended for consumption have increased.
There are now a plethora of stores both physical and digital dedicated to this activity. In parallel, many countries have approved the therapeutic use of the product. It is becoming more and more popular in the health community, generating nearly $25 billion in profits in the United States alone.
Some large companies see it as a significant financial opportunity. Now, some companies related to the CBD sector are listed on the stock exchange. These are essentially cannabis producing companies, companies specializing in the development of medical cannabis and companies working in the distribution of the equipment necessary for the production of cannabis. Here is an overview of some prominent publicly listed companies in the CBD industry.
The 5 listed cannabis companies
Companies in the CBD sector are mainly involved in the cultivation and sale of cannabis to companies, but also to consumers. In this category, Canada is the world’s leading cannabis producing country. However, it is one of the last to have legalized the use of this product for recreational purposes in 2018. It includes the following listed companies.
Aurora Cannabis
This Canadian cannabis production company was founded in 2006. It has managed to expand into more than twenty countries in recent years, developing a dozen cannabis brands mainly dedicated to therapeutic use.
Since 2017, Aurora Cannabis has been listed on the Toronto Stock Exchange, then on the New York Stock Exchange in October 2018. During the same year, it bought CanniMed Therapeutics, which allowed it to greatly increase its performance in the following years. . In the first quarter of 2022, the company achieved more than 37 million euros in turnover.
Canopy Growth Corp (CGC)
This Canadian company has, since 2016, become the first on the stock exchange in the production of cannabis with a market capitalization of more than eleven billion dollars. With more than 50 hectares of operating space in Ontario, CGC was the first company to trade cannabis in North America. In the first quarter of the current year, the company achieved a turnover of 82.61 million euros.
Cronos Group
Like the two companies mentioned above, Chronos Group is a Canadian company founded in 2012 and listed on the Toronto and New York Stock Exchanges since 2018.
With the democratization of cannabis, the shares of Cronos have risen in the market. In 2018, a takeover of the group was even mentioned with Altria, another American tobacco company. With a turnover of 25.3 million dollars in the first quarter of 2012 alone, Chronos Group is positioned as a company to follow very closely.
Hexo Corp.
This group is specifically focused on the distribution and supply of the Canadian recreational cannabis market. It is well known in the Canadian market for the very low prices of its products. Hexo notably distinguished itself through a partnership that led to the creation of cannabis-infused drinks in 2018.
GW Pharmaceutical
It is a company specializing in the development and production of cannabinoid drugs. They are intended exclusively for the treatment of various types of cancer, sclerosis or even epilepsy in children.
This company went public via the Alternative Investment Market of the London Stock Exchange in 2001, then joined the NASDAQ in 2013. However, it experienced a drop in its prices in 2018 due to a situation relating to the commercialization of Epidiolex, one of its products.
Pharmaceutical companies that invest in cannabis
These companies generally work in the research and development of drugs and health products with the main ingredient, cannabis.
The Tilray Group
It is also a Canadian company having achieved more than 150 million dollars in turnover during the last quarter of the year 2021. It is also one of the first companies in the sector to have shares listed on NASDAQ in the second quarter of 2018 at $17 a share.
The group also has good prospects for 2025 in terms of achievements. It is a stock market player to watch closely.
Amyris
Amyris is an American company founded in 2003. It mainly creates care products. Recently, she received an investment from a Swedish investment company.
Pfizer
Pfizer distinguished itself during the global COVID-19 crisis with a vaccine of the same name. It is also one of the most powerful pharmaceutical companies in the world. It achieves a turnover of 81.3 billion dollars during the year 2021; profits that were used to buy Arena Pharmaceuticals, a company specializing in pharmaceutical research on cannabinoids.
Sector supplier companies
These companies provide growers, as well as individuals, with the essentials for growing cannabis. These businesses are booming due to the growing need for individuals to grow their own cannabis at home.
- Grow Generation: This is an American company operating mainly in the sale of equipment necessary for hydroponics, but also of nutrients necessary for the growth of plants. Their clients are both businesses and individuals.
- HydroFram Group: This is a very old American company. It not only offers standard services related to the production of cannabis, but also manufactures its own machines useful for agriculture or breeding. These include heaters and water pumps.
- Sundial Growers: this is a Canadian company specializing in the sale and above all the production and distribution of cannabis for recreational and therapeutic use. It joined the stock market on the NASDAQ in 2019. The turnover made during the first quarter of this year 2022 is around 13 million euros.
Nevertheless, we must expect possible mergers and acquisitions in the months or even years to come.