Medical Marijuana Inc(OTCMKTS:MJNA) and American Cannabis Company are edging higher in the market ahead of next week pivotal U.S. election that could determine the fate of the fast growing marijuana industry. Nine states are poised to vote on whether to legalize the federally prohibited plant.
Legalization Chatter
Many investors are already betting that the nine states will legalize the plant a move that should go a long way in benefitting a good number of companies in the industry. Given the strong investor interest, the marijuana Index has more than doubled over the last few weeks an indication more investors are flocking into the industry.
American Cannabis continues to evoke the most interest in the industry having jumped by more than 188% over the past one month. Medical Marijuana, on the other hand, has soared by more than 140% as investors take note of the company’s growth prospects on the legalization of weed in more states.
American Cannabis and Medical Marijuana are not the only stocks eliciting strong interest in the cannabis space. GW Pharmaceuticals PLC- ADR (NASDAQ:GWPH) is one of the companies that could benefit from media attention ahead of the November 8 election. Terra Tech Corp(OTCMKTS:TRTC), on the other hand, could benefit a great deal on other states legalizing the plant given its already successful plays in California and Nevada.
Institution Investor Interest
A Hillary Clinton tenure is seen as good for the entire industry given that she has consistently reiterated her willingness to have weed re-categorized from a schedule 1 to a schedule 2 substance. Such a move would allow researchers to better investigate the plant a move that should benefit the industry at large.
Unlike in the past where the likes of Medical Marijuana Inc (OTCMKTS:MJNA) and American Cannabis Company Inc (OTCMKTS:AMMJ) drew attention only from small investors, institution investors are also starting to show strong interests. However, a good number of institutional investors remain cautious of whether the current cannabis stock prices are sustainable.
