Double-digit revenue growth should help the marijuana stocks on our list maintain their momentum
SmallCapPower | December 21, 2016: One of the biggest concerns with marijuana stock investing currently is that there are so many companies entering it, but only a select few are actually generating revenues that could support any sort of valuation. As companies wait for their production licenses to grow cannabis, then for their sales license to sell it, there is a long road to travel until a firm can start generating revenue. That being said, the marijuana stocks on our list today have experienced substantial revenue growth over the last four fiscal periods, and if this level of growth can be sustained into the New Year its valuations could continue to climb.
Canopy Growth Corp. (TSE:CGC) – $9.57
Pharmaceuticals
Canopy Growth Corporation, formerly Tweed Marijuana Inc., is a diversified cannabis company. The Company, through its subsidiaries Tweed Inc. (Tweed), Bedrocan Canada Inc. (Bedrocan) and Tweed Farms Inc. (Tweed Farms), is engaged in the business of producing and selling legal marijuana in the Canadian medical market. It is also focusing on producing and selling marijuana in the recreational market in Canada. Its core brands are Tweed and Bedrocan. Tweed’s commercial license covers approximately 168,000 square feet of its Smiths Falls facility and allows Tweed to produce and sell approximately 3,540 kilograms of medical marijuana per year.
- Market Cap: $1,112.20(mm)
- Quarterly Revenue Increase (Percentage) FQ-1 to FQ0): 22%
- Quarterly Revenue Increase (Percentage) FQ-2 to FQ-1: 39%
- Quarterly Revenue Increase (Percentage) FQ-3 to FQ-2: 45%
Mettrum Health Corp. (CVE:MT) – $6.21
Pharmaceuticals
Mettrum Health Corp. (Mettrum) is a producer of medical cannabis. The Company is also a licensed producer and distributer of industrial cannabis (hemp) products, including Mettrum’s functional food line, Mettrum Originals. It has a production capacity of over 12,000 kilograms of medical cannabis per year. Its total licensed production capacity is approximately 3,550 kilograms of medical cannabis per year. It produces approximately 20 strains, chosen from a genetic library of over 60 strains. These strains are incorporated into the Mettrum Spectrum, a classification system designed to foster a product selection discussion between clients, healthcare practitioners and Mettrum. It offers a professional physician interface, the Mettrum Cannabis Electronic Medical Records (EMR) application.
- Market Cap: $295.16(mm)
- Quarterly Revenue Increase (Percentage) FQ-1 to FQ0): 15%
- Quarterly Revenue Increase (Percentage) FQ-2 to FQ-1: 54%
- Quarterly Revenue Increase (Percentage) FQ-3 to FQ-2: 35%
Aphria Inc. (CVE:APH) – $4.58
Pharmaceuticals
Aphria Inc., formerly Black Sparrow Capital Corp., is a Canada-based company, which is engaged in producing and selling medical marijuana through retail sales and wholesale channels. The Company’s retail sales are primarily sold through the Company’s online store, as well as telephone orders. Its wholesale shipments are sold to other Medical Purposes Regulations (MMPR) Licensed Producers. It offers medical cannabis of various strains, including Kusawa, Tamaracouta, Panache, Churchill and Iroquois. The Company is also engaged in the research and development, and commercial production of cannabis oil.
- Market Cap: $511.73(mm)
- Quarterly Revenue Increase (Percentage) FQ-1 to FQ0): 58%
- Quarterly Revenue Increase (Percentage) FQ-2 to FQ-1: 4%
- Quarterly Revenue Increase (Percentage) FQ-3 to FQ-2: 32%
Aurora Cannabis Inc. (CVE:ACB) – $2.19
Fishing & Farming
Aurora Cannabis Inc. is engaged in the production and sale of medical cannabis. The Company is engaged in the business of producing and distributing medical marijuana pursuant to the Access to Cannabis for Medical Purposes Regulations (ACMPR). The Company’s product types include Tetrahydrocannabinol (THC), Cannabidiole (CBD), indica, sativa and hybrid. Its product range includes BLACK TUSK 2, CHESTER, KAINE and TOWER. The Company is also focusing on other products, which will be available for sale either as pre-milled buds (Borealis Blends) or as whole buds, including ANDROMEDA 2, HAIDUK, SENTINEL, SNOW DOME, STOKES and WARWICK #2.
- Market Cap: $604.80(mm)
- Quarterly Revenue Increase (Percentage) FQ-1 to FQ0): 152%
- Quarterly Revenue Increase (Percentage) FQ-2 to FQ-1: 457%
- Quarterly Revenue Increase (Percentage) FQ-3 to FQ-2: Nil
Emerald Health Therapeutics Inc. (CVE:EMH) – $1.30
Pharmaceuticals
Emerald Health Therapeutics, Inc., formerly T-Bird Pharma Inc., is a Canada-based company, which through its subsidiary, Emerald Health Botanicals Inc. (Botanicals), is engaged in the production and sale of medical marijuana.
- Market Cap: 88(mm)
- Quarterly Revenue Increase (Percentage) FQ-1 to FQ0): 26%
- Quarterly Revenue Increase (Percentage) FQ-2 to FQ-1: -6%
- Quarterly Revenue Increase (Percentage) FQ-3 to FQ-2: 73.3%
