For the trading week ended September 3, my proprietary Canadian Cannabis Company Index (MCCCI) decreased by 1.2% compared to the prior week when it increased by 4.7%. The index consists of 23 stocks, many of which are among the most widely held holdings of the 3 ETFs (NY: 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.

Image by Herbal Hemp from Pixabay

The Good

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

The Bad

There were 2 stocks that decreased by more than 10% (but less than 20%) which is my metric for inclusion in this category: TGODF -12.6% and NEPT -10.6%. The Green Organic Dutchman Holdings Ltd. has bled cash for several years and has many challenges going forward. On 8/31/21 Neptune Wellness Solutions Inc. received a Nasdaq non-compliance notice and faces an uncertain future.

The Ugly

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

Recap

There was no change in the “Big Four” compared to the prior week when there was an increase of 4.3%. The relative strength index decreased by 2.0% compared to the prior week when it increased by 5.3%. Let us see how this volatile sector has performed at the same time next week, shall we? Disclaimer: The information provided in this article is for general informational purposes only.