Story Highlights

  • A bombshell earnings report prompted one cannabis stock to rally 44%.
  • But investors overlooking a hidden detail are putting their money behind the wrong name.
  • Anthony Planas reveals why the Street got the story wrong — and how you can profit from it.

Don’t blink … cannabis stocks are ripping higher.

In case you missed it, pot stocks are shaking off close to a yearlong bear market.

And one company in particular incited the sector’s rally: OrganiGram Holdings Inc. (Nasdaq: OGI).

The Canadian producer posted earnings that bulldozed investors’ expectations. That’s because its revenue shot up roughly 50% since last quarter.

Shares of OrganiGram closed 44% higher on January 15. But the gains didn’t stop there.

The Horizons Marijuana Life Sciences Index ETF (Toronto: HMMJ), an exchange-traded fund (ETF) with top North American cannabis holdings, rallied 6.5% on the day.

This was enough to lift other beaten-down names:

But the hype-fueled rally should raise questions in investors’ minds: What actually caused the rally? And is it too late to get in?

In this week’s Marijuana Market Update, I answer those exact questions. I tell you exactly what OrganiGram’s earnings mean — and which specific company is the best buy in the sector right now. (Hint: It isn’t OrganiGram.)

Profit From Wall Street’s Knee-Jerk Reaction

Wall Street is still overlooking one of the best-kept secrets in the cannabis sector.

This company saw revenue grow 337% since it went public last year. And unlike its peers, it’s in the black with positive earnings.

But this is only the start for this tiny Ontario-based company. That’s because, with the launch of Cannabis 2.0 in Canada, its products and services will be in huge demand.

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Good investing,

Anthony Planas

Internal Analyst, Banyan Hill Publishing