Cannabis stocks had an upbeat start Tuesday, with shares broadly up across US and Canadian markets.
The North American Marijuana Index, which tracks the top cannabis stocks in the US and Canada, was up 0.6% to 273.8 points on Tuesday. The Horizons Marijuana Life Sciences Index ETF slipped 0.2% to C$20.18.
The firm did not release any new news, however, it is expected to release its 2018 financial statements later this week.
Last week, Namaste released news that Calgary-based Choklat Inc, in which it acquired a 49% interest in March this year, has submitted its license application for edibles manufacturing. Choklat is the largest premium craft chocolate maker in Canada with existing sales through its e-commerce site and through a network of distributors across Canada.
Other gainers on Tuesday included True Leaf Brands Inc (CSE:MJ) (OTCQMKTS:TRLFF) (FSE:TLA), which announced Monday it has signed its first cannabidiol (CBD) supply agreement with Atalo Holdings Inc as the Canadian company prepares to roll out a line of CBD products for pets this summer.
Shares were up 2.2% at C$0.47 in Canadian trading.
Kentucky-based Atalo Holdings, a private hemp farmer and processor, will supply CBD oil to True Leaf, which is planning to debut in August its suite of new CBD products at SuperZoo, North America’s premier pet-industry trade show in Las Vegas.
Also gaining Tuesday was WeedMD Inc (CVE:WMD) (OTCMKTS:WDDMF), which received Health Canada approval to bolster its Strathroy facility on Monday.
The Toronto-based company announced it had received a licence amendment from Health Canada to include an additional processing area with semi-automated packaging lines, which have just been constructed and installed.
Shares were up 1% at C$1.74 in Toronto.
The processing room and packaging lines are currently undergoing final testing and calibration, and are expected to be fully operational in the third quarter of this year.
There were a number of laggards on Tuesday.
Last week, Jefferies initiated coverage of the stock with a Buy rating, and a price target of C$15, 115% above its current trading level, highlighting the disconnect between its valuation and the company’s positioning.
The cannabis company based in Nevada was uplisted to the OTCQX Best Market last week and is expected to release its first quarter financials on Thursday.
Aleafia Health Inc (TSE:ALEF) (OTCMKTS:ALEAF) shares were also lagging Tuesday, however, did not release any new news.
Shares were down 5.1% at C$1.12 in New York.
Contact Katie Lewis at [email protected]