The Canadian Cannabis Report - Monday, June 6

For the trading week ended June 3, my proprietary Canadian Cannabis Company Index (MCCCI) increased by 8.0% compared to the prior week when it decreased by 12.8%. The index consists of 22 stocks, many of which are among the most widely held holdings of the 3 ETFs (MJ, CNBS, and THCX) that I consider to be a reliable barometer of the Canadian cannabis sector. MCCCI's differentiated business model is both weighted and market capitalization based because I believe that this approach best represents the current landscape of the Canadian cannabis sector. Now let us look at this week’s good, bad, and ugly stocks, shall we?

Image by Herbal Hemp from Pixabay

The Good

There were no stocks that increased by more than 10% (but less than 20%) which is my metric for inclusion in this category.
 

The Bad

There were no stocks that decreased by more than 10% (but less than 20%) which is my metric for inclusion in this category.
 

The Ugly

There was 2 stocks that decreased by 20% or more, which is my metric for inclusion in this category: RDDTF -33.3% and FLWPF.
 

Valuation Metric Review

There was a decrease of 3.7% in the “Big Four” (all of which decreased) compared to last week when there was a decrease of 14.7%.
 

Recap

4 of the 22 stocks in the portfolio increased, as the poor performance of the "Big Four” continues to hamstring the MCCCI. There was a decrease of 1.4% in the relative strength index compared to the prior week when there was an increase of 2.9%. Let us see how this volatile sector has performed at the same time next week, shall we?