The munKNEE.com's Pot Stock Index (PSI) was up just 1.3% this week after having been up an exceptional 7.6% the previous week, down 1% the week before that and UP 2.6% the first week of July. The details are as follows:

The pot stock universe has 400+ cannabis-related securities listed on the various Canadian and American stock exchanges of which approx. 300 actively trade. Of those 300 only 25 (that's just 8% of the total) fulfill the criteria for inclusion in the Pot Stock Index of being pure-play* cannabis companies (i.e derive 100% of their revenue from the sale of cannabis or cannabis-related products) whose stocks consistently trade for at least US$1/share.

Below are the major winners and losers for the week ending August 7th.

Major Winners

Six constituents went UP in excess of 5%, namely:

1. Trulieve (TCNNF) +16.2% (now UP 59% YTD)
2. TerrAscend (TRSSF) +15.6% (see why here)
3. cbdMD (YCBD) +11.2% (now UP 62% YTD)
4. Cresco (CRLBF) +10.5% (still DOWN 8% YTD)
5. Green Thumb (GTBIF) +7.0% (now UP 47% YTD)
6. Neptune (NEPT) +5.4% (now UP 7% YTD)

Another seven constituents had prices increases of less than 5% for the week. One constituent had no change in price.

Major Losers

4 constituents went DOWN by 5%, or more, namely:

1. Cronos (CRON) -13.9% (see why here)
2. Greenlane (GNLN) -12.2% (see why here)
3. Canopy (CGC) -9.0% (now DOWN 21% YTD)
4. Aphria (APHA) -6.5% (now DOWN 14% YTD)

Seven other constituents had price declines of less than 5% for the week.

Harvest Health (HRVSF) and IMCannabis (IMCNF) are on the verge of being included in munKNEE.com's PSI but have not been above US$1/share consistently over the past month.

Further details regarding the equal-weighted Pot Stock Index are as follows:

1. *The 25 pure-play constituents in the PSI are just that - pure - deriving 100% of their revenue from the sale of cannabis or cannabis-related products. As such, unlike every marijuana ETF (see this TalkMarkets article) and every other cannabis tracking index (see this TalkMarkets article), the PSI excludes "wanna-be" companies that generate little, if any, of their total revenue from the cannabis industry so as to reflect the true health of the marijuana industry in the U.S. and Canada. Such companies include GW Pharmaceuticals (GWPH), Arena Pharmaceuticals (ARNA), Abbvie, (ABBV), GrowGeneration (GRWG), Scotts Miracle-Gro (SMG), Innovative Industrial Properties REIT (IIPR), New Age Beverages (NBEV) and Alcanna (LQSIF).

2. The official definition of a "penny" stock is one that trades below US$5/share but, when it comes to pot stocks, that is where 92% of the total universe trades, so the more literal definition of stocks that trade for less than US$1/share is used.

3. The market capitalization of the 25 constituents in the PSI is US$962.8M, on average.

4. The constituents operate in 3 categories based on their primary area of focus and they are identified below within each applicable category:

• The Vertically Integrated (i.e. Seed-to-Sale) Category consists of 22 companies that grow, process, and sell cannabis and hemp flower and related products of which:
  • 8 constituents are Canadian Licensed Producers (LPs), namely: ACB; APHA; CGC; CRON; OGI;   ROMJF; TLRY and VFF
    • and they declined 4.8%, on average, this past week.
  • 11 constituents are American Multi-State Operators (MSOs), namely: ACRGF; AYRSF; CCHWF; CRLBF;  CURLF; GTBIF; JUSHF; PLNHF; SHWZ; TRSSF and TCNNF
    • and they advanced 13.6%, on average, this past week.
  • 3 constituents are only involved in the seed-to-sale of CBD from hemp, namely: AVCNF; CWBHF, and  YCBD
    • and they advanced 3.4%, on average, this past week.
• The Extraction Category consists of companies focused on the extraction of cannabis compounds and their infusion into consumer products of which:
  • 2 are NPSI constituents, namely: NEPT and VLNCF
    • and they declined by 2.2%, on average, this past week.
• The Consumption Devices Category consists of  companies focused on developing and selling personal consumption devices for cannabis consumers such as vape pens and inhalers.
  • 1 constituent is in this category, namely, GNLN
    • and it declined 12.2% this past week.

You have shown a serious interest in the cannabis sector by reading this article to the very end so don't stop here. Check out the following exclusive articles posted recently on TalkMarkets for more information on the marijuana market that is not to be found anywhere else, namely: 

1. Cannabis Central: Not All Pot Stocks Are Losers: These 10 Are UP An Average Of 23% YTD. and
2. Cannabis Central: These 8 Pot Stocks Have Gone DOWN 40% To 60% YTD

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