For the trading week that ended October 13, 2023, my proprietary Canadian Cannabis Company Index (MCCCI) decreased by 2.3% compared to the prior week when it decreased by 8.6%. The index consists of 15 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?

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The Good

There were no stocks that increased by more than 10%, which is my metric for inclusion in this category.

The Bad

There was 1 stock that decreased by more than 10% (but less than 20%) which is my metric for inclusion in this category: DLTNF -10.3%. I have pointed out many times the volatility of Delta 9 Cannabis Inc. which is a thinly-traded low market capitalization stock that trades for $0.03.

The Ugly

There were no stocks that decreased by 20% or more, which is my metric for inclusion in this category.

Valuation Metric Review

There was a 3.2% decrease in the “Big Four” (all of which decreased) compared to the prior week when there was a 9.9% decrease.

Recap

There was a 15.6% increase in the relative strength index compared to the prior week when there was a 9.1% decrease. None of the 15 MCCCI stocks increased a cautionary tale for Q4. Let us see how this volatile sector has performed at the same time next week, shall we?

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