Cannabis stocks have flamed out this year

CNN
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Summary

Some leading cannabis companies have probably been oversold, since it's unreasonable to expect profits from companies selling recreational cannabis just yet. Fundamentals matter -- even for cannabis stocks What will it take for the sector to bounce back? This was the year when cannabis stocks were supposed to take off. Those aren't the only cannabis stocks that are struggling. Still, the shakeout for publicly traded cannabis companies was probably overdue.

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This was the year when cannabis stocks were supposed to take off. But shares of all the major pot stocks are down, despite hype about the legalization of recreational marijuana in Canada and some US states. The signing of the Farm Bill by President Trump last fall, which had the potential to boost CBD/hemp sales, hasn't helped as much as investors hoped. Cronos Group and Canopy Growth have plunged more than 60% from their highs earlier this year, and are down about 15% for 2019. The drop in value has hurt the performance of two leading consumer products companies that back them. Struggling Marlboro owner Altria has a nearly 45% stake in Cronos, while Corona...

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