October Recap: Conservative Cannabis Category Outpaced S&P 500

Image Source: Unsplash

The munKNEE Conservative Cannabis Stocks Index consists of 5 tobacco companies and 1 liquor company that are significantly invested in the cannabis industry. The Index outpaced the S&P 500 as of October 28th*, 9.5% vs. 8.7%, with all 6 constituents advancing, and is now DOWN just 1.1% YTD. Below is the performance of the constituents, in descending order.

1. Imperial Brands(IMBBY) was UP 19.5% in October* and has a Dividend Yield of 7.15%.
   • The company has a 19.9% stake in Auxly Cannabis Group Inc. (CBWTF).
2. Altria Group (MO) was UP 14.7% in October* and has a Dividend Yield of 8.12%.
   • The company has a 45% stake in Cronos Group Inc. (CRON).
3. British American Tobacco (BTI) was UP 12.1% in October* and has a Dividend Yield of 7.05%.
   • The company has a C$221M investment and product development partnership with Organigram Holdings Inc. (OGI).
4. Anheuser-Busch (BUD) was UP 11.5% in October* and has a Dividend Yield of 1.05%.
   • The company has a $100 million joint venture with Tilray Inc. (TLRY).
5. Constellation Brands(STZ) was UP 7.6% in October* and has a Dividend Yield of 1.30%.
   • The company has a 39% stake in Canopy Growth Corporation  (CGC).
6. Molson Coors (TAP) was UP 6.5% in October* and has a Dividend Yield of 2.90%.
   • The company has a 57.5%/42.5% joint venture, called TRUSS, with Hexo Corp. (HEXO) which was Unchanged in price in October.

In summary, the Conservative Cannabis Stocks Index was UP a record 9.5% in October* compared to going DOWN 11.0% in September and is now only DOWN 1.1% YTD. Its constituents have an average Dividend Yield of 2.95% which is up from an average of 2.8% in September.

The Index is referred to as "conservative" as:

• the Ancillary Pot Stocks Index is DOWN 62.2%,
  • Read: Suppliers Of Goods & Services To Cannabis Companies Outperformed S&P 500 In October
• the American Cannabis MSOs Index is DOWN 57.8% YTD,
  • Read: October Recap: American Cannabis MSOs Jump Record 22%!
• the Canadian Cannabis LPs Index is DOWN 54.8% YTD,
  • Read: October Recap: Canadian Cannabis LPs Index Jumped 16%
• the Psychedelic Drug Stocks Index is DOWN 51.1% YTD,
  • Read: October Recap: Major Psychedelic Drug Stocks Declined 9.9%

and none of the constituents in the above indices pay out any dividends.

---

More By This Author:

October Recap: American Cannabis MSOs Jump Record 22%!
October Recap: Canadian Cannabis LPs Index Jumped 16%
October Recap: Metaverse Stocks Index UP 3%; Meta Platforms Down 27%