3 Canadian LP's To Buy On The Dip

TM editors' note: This article discusses a penny stock and/or microcap. Such stocks are easily manipulated; do your own careful due diligence.

Although Canadian cannabis stocks continue to execute and advance, the sector has been trending lower and this is a theme that cannabis investors are closely monitoring. The recent weakness has taken place on light volume and momentum has been trending lower during this time.

We are not surprised by the recent pullback and view it as a great opportunity for investors prior to the opening of Canada’s recreational marijuana market. Today, we have highlighted 3 Canadian cannabis stocks that are levered to this opportunity and that investors need to keep an eye on.

Organigram Trades Lower on Strong Earnings

Organigram Holdings (OGI.V) (OGRMF) traded slightly lower after the marijuana producer released second quarter financial results and we are monitoring how the shares trade from here. The market initially responded favorably to these results, but Organigram gave up its gains and this is a trend worth watching.

When compared to the same period last year, Organigram’s results showed impressive growth, and this is a trend we do not expect to end anytime soon. The Canadian marijuana producer is in the middle of a major expansion which will have a significant impact (improvement) on the company’s fundamentals.

We consider Organigram to be an undervalued opportunity and see upside to current levels. The company has a number of potential catalysts and we are favorable on the shares due to the continued execution, the fully funded growth initiatives and strong balance sheet, and the management team which is laser focused on growth.

Organigram has an attractive valuation and we believe that the recent pullback has created a great opportunity for investors. We are monitoring the recent weakness and recommend keeping an eye on how the shares continue to move.

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Disclosure: This report was authored by and is property of Technical420. All information and data relied upon in drafting this report is publicly available. The author believes and considers its ...

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