(NEW YORK)–Now may be time to revisit cannabis stocks as an idea as equity research firm calls bottom within the CBD and cannabis stock sector.
Ludlow Research made a note to its subscribers that now may be the time to revisit cannabis and CBD related stocks as the sector may be nearing a bottom after its long correction.
Some of the key points they highlighted were:
– SAFE Banking Act in Congress
– FDA Framework for CBD Products
– Decrease in Production Outlook
– Lower Valuations
– High Bearish Sentiment and Short Positions
Bearish Sentiment Could Signal Buy Opportunity
They stated one of the biggest signals we may be near bottom is the very high bearish sentiment in CBD and cannabis stocks. For anyone that has road down this correction down knows the excitement in CBD and cannabis is all but dead, and that is exactly the time when you buy into a story. You should never buy into a hype when there is over excitement, but rather buy in when no one else wants to own this sector.
The key is you want to own a position BEFORE the run happens as with most situations like this you could see a violent short cover rally and some stocks jump 30-40% before you have chance to get in. So best bet is to slowly build position now before regulatory news is released.
Makes Call of Near-term Bottom
They made point that calling an exact bottom in any stock or sector is hard even for most professional analyst on Wall Street. Could this sector still have bit more downside form here? Yes, absolutely! But it is also safe to say that everyone who wanted to sell out has sold, and that the bias is now more to the upside then it is for the downside. They ended their alert by reminding traders to “SELL the greed and BUY the fear”.
You can read Ludlow Research upgraded of CBD and cannabis sector here
Stocks Being Upgraded
Endexx Corp. (OTC:EDXC)
Tauriga Sciences, Inc. (OTC:TAUG)
Singlepoint, Inc. (OTC:SING)
AppSwarm, Inc. (OTC:SWRM)
American Premium Water (OTC:HIPH)
The core stock to watch for potential breakout would be ETFMG Alternative Harvest (NYSE:MJ), which is the ETF that tracks the CBD and cannabis sector.
Other stocks to watch on the cannabis side were Aurora Cannabis (NYSE:ACB), Cronos Group (NASDAQ:CRON), and Canopy Growth Corp (NYSE:CGC).
On the CBD side watch CV Sciences (NASDAQ:CVSI), New Age Beverages Corp (NASDAQ:NBEV), Charlotte’s Web (OTC:CWBHF), Puration Inc (OTC:PURA), Kona Gold Solutions (OTC:KGKG), and Biohemp International (BKIT).
About Ludlow Research
Ludlow Research is a New York based equity research firm that focuses on providing research coverage and investor awareness services to emerging small-cap companies. For over 15 years we have worked to provide our readers with a simple way of evaluating the current and potential value of small-cap companies, while garnering these clients greater market awareness to new investors. For more information please visit www.ludlowresearch.com
This is NOT a solicitation to Buy or Sell any security, but rather is for informational purposes only. Content contained herein includes facts, views, opinions and recommendations of individuals and organizations deemed of interest. Wall Street Newscast (“WSNC”) does not guarantee the accuracy, completeness or timeliness of, or otherwise endorse these views, opinions or recommendations, or give investment advice. In Compliance with SEC Rule 17B WSNC may hold business relationships as mobile and tech developer with companies mentioned through its parent company, and thus should be considered a conflict of interest when reviewing this information. WSNC, or its affiliates, may hold a position in above securities from time to time, and thus should be considered a possible conflict of interest when reviewing this report and information. As of date of this alert, WSNC, or any of its affiliates, held no positions in securities mentioned above. These investments may involve a high degree of risk, thus investors are highly encouraged to consult with a financial adviser before any and all investments.
Safe Harbor Statements:
This website includes statements that may constitute forward-looking statements made pursuant to the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Although the Company believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected.
Small and Micro cap, or ‘penny stocks’, involve a high degree of risk, and we highly encourage investors to consult with a financial adviser before making any and all investment decisions when investing in these type of securities
- Cannabis Stocks in Spotlight as Bottom Called in Sector - November 11, 2019
- Textmunication (TXHD) Cannabis Merger Puts Stock on Watch for Potential Rally - October 31, 2019
- AI VentureTech to Utilize VectorSpace AI for Development of Finance and Medical Applications - October 14, 2019
- AI VentureTech Retains Accountant Firm to Prepare Financial Audits - October 4, 2019
- American Premium Water (HIPH) Rallies 40% on Possible Bottom in CBD Sector - September 24, 2019
- CBD Sector Gets Upgrade as McConnell Urges FDA Reg Framework - September 20, 2019
- FDA Changes to CBD Market Bullish for MetWood (MTWD) - September 19, 2019
- BioHemp (BKIT) Discusses International Focus for CBD Distribution in Online Interview - September 5, 2019
- AppSwarm (SWRM) Appoints High Tech Team from India to Company - August 29, 2019
- Sentinel (SENT) Token Rises 40% on Idex Exchange - August 9, 2019