One industry that is poised for significant growth over the next five years is the legal marijuana industry. Ever since recreational use was approved in the State of Colorado a few years ago, many new companies that have entered the industry are now publicly traded. Now that several more states have legalized use for recreation, and many more have legalized medicinal use, it is likely that the industry will only continue to grow. For those that are looking to make some money in the stock market should know about and consider investing in several different companies.
Corbus Pharmaceuticals (CRBP)
Of all stocks in the sector, Corbus Pharmaceuticals appeared to be the biggest winner in 2016. While much of the sector went through wild rides during the year, Corbus has seen a quick and consistent growth in stock valuation. It is currently trading around $8.50/share, which is five times its level at the beginning of the year. The company, which develops pharmaceuticals, has been developing an oral drug that has been showing very good progress in clinical trials. In 2017 the company will announce status and results for a few additional drug trials, which will take it once step closer to FDA approval.
Axim Biotechnologies (AXIM)
Axim Biotech has been another shining star in the industry. Over the past 12 months, the company’s stock has shot up over 2,000%. The company has revenue of over $35 million, but lost $4 million over the past 12 months. Investors have been most intrigued by the potential in a new product that is in the development stage. The company is working on a chewing gum, which will be used to help with a variety of ailments including anxiety. During 2017, the company will initiate a number of different clinical trials. Positive results from these trials will likely lead to further increase in stock value.
Signal Bay (SGBY)
Signal Bay will provide a valuable service to the marijuana industry in years to come. As opposed to directly selling the drug, Signal Bay is in the industry of ensuring quality. The company provides equipment and testing services that can test the quality and potency of the drug. The company is still in its infancy and is operating at a loss, but has continued to grow substantially as they have acquired competitors while trying to position themselves in California and other states on the West Coast that have approved legalization.