"Seed-To-Sale" Cannabis Stocks Get A Breather In The Overall Downward Trend

The munKNEE Pure-Play "Seed-to-Sale" Pot Stocks Index went UP +1.0% last week but remains DOWN, - 1.3% so far in January and -60.6% from its 52-week high. The Canadian LPs segment is UP +1.9% YTD and the American MSOs segment is DOWN -1.1%. Below are the specifics by constituent per sector.

The munKNEE "Seed-to-Sale" Pot Stocks Index consists of:

• the 21 non-ancillary (i.e. pure-play) vertically integrated cannabis companies whose stocks trade for at least US$1/share, have a market cap of at least US$200M and trade on one or more of the Canadian and/or American stock exchanges made up of:
  • 5 Canadian Licensed Producers (LPs) and
  • 16 American Multi-State Operators (MSOs) which, in total,
  • represent 10% of the total universe of 212 cannabis and ancillary companies currently trading.

The non-tradable Index gives each constituent the same importance to provide a comparison of the performance of each with the others and the stated sector as a whole.

The munKNEE Pure-Play Canadian LP Pot Stock Index

Note that each constituent has hyperlinks to 3 areas of additional information which are imperative for any individual considering investing in this sector:

• The company name is hyperlinked to its web site to provide you with a description of the company and an analysis of its stock.
• The trading symbol is hyperlinked to additional financial data and commentary on the company (where available).
• The percentage change from its 52-week high in 2021 is hyperlinked to a chart of the company's stock performance.

The "financial distress" percentage is sourced from macroaxis.com (visit the site and type in the stock symbol to obtain detailed financial data on the health of the company) and the articles hyperlinked are sourced from Stone Fox Capital and/or Technical420 and provide analyses/commentaries on most of the constituents below to help a potential investor with insights into the burgeoning, yet volatile, cannabis sector.

Below is how the Canadian Licensed Producer constituents have performed so far in January, in descending order:

1. Aurora (ACB): +1.8% 
   • Has a 49% chance of going through some form of financial distress in the next two years
   • Read:
     • Aurora Cannabis: Investors Should Have No Confidence In This Company
     • 5 Key Takeaways From Aurora Cannabis Q1 Earnings Release
2. Cronos (CRON): +0.3%
   • Has a 50% chance of going through some form of financial distress in the next two years
   • Read:
     • Cronos Group: Still Hasn't Launched
     • The Cronos Group Could Be A Valuable Asset If They Ever Decide To Get Their Act Together
3. Tilray (TLRY): -2.4% 
   • Has more than a 63% chance of experiencing financial distress in the next few years of operation
   • Read:
     • Tilray: Numbers Keep Getting Worse
4. Canopy Growth (CGC): -3.8%
   • Has more than a 61% chance of experiencing financial distress in the next few years of operation
   • Read:
     • Canopy Growth Corp. Continues To Lose The Confidence Of The Retail and Institutional Investing Communities
     • Canopy Growth: Cracking The Piggy Bank Again
5. Organigram (OGI): -6.3%
   • Has less than a 1% chance of experiencing financial distress in the next few years
   • Read:
     • Organigram Holdings Had A Pretty Strong 2021 And Are Full Steam Ahead Going Into 2022,
     • OrganiGram: Positive Signs, But Struggles Persist
     • Organigram Q1 Financial Report Shows Major Improvements

The munKNEE Pure-Play American MSO Pot Stock Index 

Below is how the American Multi-State Operator constituents have performed so far in January, in descending order:

1. Jushi (JUSHF): +24.6%
   •  Has more than a 62% chance of experiencing financial distress in the next few years of operation
   • Read: Jushi: Focus On Progress, Not Perfection
2. Columbia Care (CCHWF): +13.6%
   • Has over a 74% chance of experiencing financial distress in the next few years of operation
   • Read: Columbia Care: Not Helping
3. Planet 13 (PLNHF): +11.1%
   • Has about a 25% chance of experiencing some form of financial distress in the next two years of operation
4. Ayr Wellness (AYRWF): +10.5%
   • Has more than 62% chance of experiencing financial distress in the next few years of operation
   • Read: Ayr Wellness: Focus On The Big Picture
5. Cresco (CRLBF): +2.8%
   • Has more than 62% chance of experiencing financial distress in the next few years of operation
   • Read: Cresco Labs: Right On Track In Difficult Market
6. Verano (VRNOF): +1.4%
   • Has about a 39% probability of financial distress in the next few years of operation
   • Read: Verano: Not A Great Quarter
7. Goodness Growth (GDNSF): +0.6%
   • Has more than 63% chance of experiencing financial distress in the next few years of operation
   • Read: Goodness Growth: Waiting On New York
8. Acreage (ACRDF/ACRHF): -0.4%
   • Has over a 70% chance of experiencing financial distress in the next few years of operation
   • Read: Acreage Holdings: Forgotten MSO
9. Trulieve (TCNNF): -2.3%
   • Has about a 36% probability of financial distress in the next few years of operation
   • Read: Trulieve Cannabis: Florida Market About To Over Heat
10. Gage (GAEGF): -5.0% 
    • in the process of being acquired by TerrAscend (TRSSF)
11. TerrAscend (TRSSF): -5.4%
    • Has more than a 60% chance of experiencing financial distress in the next few years of operation
    • Read: TerrAscend: Continue Avoiding This MSO
12. Green Thumb (GTBIF): -8.3%
    • Has less than a 1% chance of experiencing financial distress in the next few years
    • Read: Green Thumb: Not Priced For Future Growth
13. Curaleaf (CURLF): -8.6%
    • Has about a 39% probability of financial distress in the next few years of operation
    • Read: Curaleaf: Primed For Big 2022 After Indigestion In 2021
14. Valens (VLNS): -9.4%
    • Has a 50% chance of going through some form of financial distress in the next two years
15. Ascend Wellness (AAWH): -13.5%
    • Has a 50% chance of going through some form of financial distress in the next two years
    • Read: Ascend Wellness: New York Wildcard
16. 4Front Ventures (FFNTF): -14.0%
    • Has about a 40% probability of financial distress in the next few years of operation
    • Read: 4Front Ventures Reports Third Quarter 2021 Financial Results and Provides Business Update

The performance of our Pure-play "Seed-to-Sale" Index has been atrocious over the past 52 weeks (-60.6%) and is showing no sign of improving based on the -1.3% decline YTD.