2 American Cannabis Stocks Wall Street Analysts Love

: CURLF | Curaleaf Holdings, Inc. News, Ratings, and Charts

CURLF – With its apparent health benefits and an increasing push for the legalization of marijuana, the cannabis industry is attracting significant investor attention. Because the stigma of association with the plant is being shed at breathtaking speed, it appears that the industry is en route to the mainstream. This backdrop makes Wall Street analysts extremely bullish on Curaleaf Holdings (CURLF) and Green Thumb (GTBIF). So come on, let’s evaluate these names.

The cannabis industry’s changing legal landscape in the United States, which is highlighting the medicinal benefits of cannabidiol products, has been creating a favorable backdrop for cannabis companies. The legalization of recreational marijuana is slowly eking out victories on a state-by-state basis.

As of April 2021, 35 states and the District of Columbia had legalized marijuana for medical use. Sixteen of these states also allow adults to legally use marijuana for recreational purposes. In fact, there is now a growing acceptance of the plant as a legitimate option for patients suffering from chronic pain or seizures. The cannabis market is estimated to grow at a 28% CAGR over the next five years to hit $90.4 billion.

Senate Majority Leader Chuck Schumer said last month that he hopes to see an end to the drug’s prohibition by next year’s 4/20. This has given Wall Street analysts more confidence about the performance of financially sound American cannabis stocks Curaleaf Holdings, Inc. (CURLF) and Green Thumb Industries Inc. (GTBIF).

Click here to check out our new  Cannabis Industry Report for 2021

Curaleaf Holdings, Inc. (CURLF)

CURLF is a leading international provider of cannabis consumer products. The company’s Cannabis Operations segment produces and sells cannabis through retail and wholesale channels, while its Non-Cannabis Operations segment provides cultivation and processing. As of March 9, CURLF operated 101 dispensaries, 23 cultivation sites, and 30 processing sites.

This month, CURLF acquired Los Sueños Farms, the largest outdoor cannabis grower in Colorado, and its related entities. The transaction will include three Pueblo, Colorado outdoor cannabis grow facilities covering 66 acres of cultivation capacity, an 1,800-plant indoor grow and two retail cannabis dispensary locations serving adult use customers. The acquisition should significantly expand CURLF’s presence in the Colorado cannabis market and ultimately boost its sales.

CURLF’s net revenue grew by 169.8% year-over-year to $260.32 million in the first quarter, ended March 31, 2021. Its retail revenue grew 231.4% year-over-year, while its wholesale revenue increased 253.6% year-over-year. The company reported a $140.81 million gross profit, representing a 107% increase year-over-year. Its adjusted EBITDA increased 213% year-over-year to $62.63 million.

Analysts expect CURLF’s revenue to increase 107.3% to $1.30 billion in the fiscal period ending December 31, 2021. The company’s EPS is expected to increase 152% year-over-year to $0.21 in the fiscal period ending December 31, 2022. The stock has gained 144.7% over the past year.

Of the nine Wall Street analysts that have provided ratings for the stock, all rated it Buy. Closing yesterday’s trading session at $14.70, the $23.52 average analyst price target represents a potential 60% upside.

Green Thumb Industries Inc. (GTBIF)

GTBIF is a manufacturer and seller of medical and adult-use cannabis in the United States. It is also a retailer and owner of Rise Dispensaries. The company manufactures and distributes a portfolio of branded cannabis products that include Beboe, Dogwalkers, Dr. Solomon’s, Incredibles, Rythm and The Feel Collection. GTBIF has 13 manufacturing facilities, licenses for 97 retail locations and operations across 12 U.S. markets.

This month, GTBIF entered the Virginia cannabis market by signing an agreement to acquire 100% of Dharma Pharmaceuticals LLC, including an existing production facility and retail dispensary. Not only will this help GTBIF increase its  market base, but it will also allow it to serve Virginia’s patients and consumers and showcase the positive impact that the legal cannabis industry can have on local communities.

The company’s total revenue increased 89.5% year-over-year to $194.4 million for the first quarter, ended March 31. Its adjusted operating EBITDA grew 179.3% from its  year-ago value to $71.4 million. GTBIF reported $10.4 million in net income, indicating a 347.6% increase year-over-year. The company’s EPS came in at $0.05, compared with the prior-year quarter EPS of $0.02.

GTBIF is expected to generate 57.2% revenue growth year-over-year to $875.12 million in the current year, whereas its EPS is expected to grow 442.9% from the year-ago value to $0.38 in the current year. The stock has gained 203.3% over the past year.

All 12 analysts that rated the stock have rated it Buy. A $48.06 consensus price target represents a 64.3% potential gain from its last closing price of $29.25.

Click here to check out our new  Cannabis Industry Report for 2021


CURLF shares were trading at $14.63 per share on Wednesday afternoon, down $0.07 (-0.47%). Year-to-date, CURLF has gained 22.20%, versus a 12.47% rise in the benchmark S&P 500 index during the same period.


About the Author: Samiksha Agarwal


Samiksha Agarwal has always had a keen interest in financial markets. This has led her to a career as a financial journalist. Through her extensive knowledge of fundamental analysis, her goal is to help investors identify untapped investment opportunities in the stock market. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
CURLFGet RatingGet RatingGet Rating
GTBIFGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


:  |  News, Ratings, and Charts

How to Profit from the Growth Stock Crash?

The POWR Growth service has significatly outperformed the S&P 500 (SPY) despite a challenging environment for growth stocks. Now, there are subtle signs of improvement. Some of the best performing stocks were bought in the aftermath of market corrections and this time will be no different. Read on to find out how POWR Growth can help you profit for the rest of 2022…

:  |  News, Ratings, and Charts

5 High Growth Stocks to Buy Amid a Volatile Market

Concerns over aggressive interest rate hikes to fight the multi-decade high inflation and a looming recession have recently kept the stock market under pressure. However, growth stocks Taro Pharmaceutical (TARO), Superior Industries (SUP), Viavi Solutions (VIAV), CEVA (CEVA), and SMART Global Holdings (SGH) are well-positioned to rebound.

:  |  News, Ratings, and Charts

Bull vs. Bear Contingency Plans

The S&P 500 (SPY) has endured its 2nd trip down towards bear market territory before a bounce ensued. This last downturn is thanks to the ugly earnings from both WalMart and Target. This is indeed a precarious time and we have to contemplate the odds of bull vs. bear market and the related contingency plans we would enact in our portfolios. 40 year investment veteran, Steve Reitmeister, shares that and more in the commentary below…

:  |  News, Ratings, and Charts

4 Top-Rated Stocks Under $10 to Buy This Month

Though the major stock market indexes made a comeback yesterday following statements from the Biden administration hinting at the possibility of removing U.S tariffs on China, concerns over surging inflation and consequent monetary policy tightening are anticipated to keep the stock market under pressure in the near term. Therefore, we think it could be wise to bet on fundamentally sound low-priced stocks Assertio Holdings, Inc. (ASRT), Overseas Shipholding Group, Inc. (OSG), SunCoke Energy, Inc. (SXC), and Global Cord Blood Corporation (CO). These stocks are top-rated in our proprietary rating system.

:  |  News, Ratings, and Charts

Bull vs. Bear Contingency Plans

The S&P 500 (SPY) has endured its 2nd trip down towards bear market territory before a bounce ensued. This last downturn is thanks to the ugly earnings from both WalMart and Target. This is indeed a precarious time and we have to contemplate the odds of bull vs. bear market and the related contingency plans we would enact in our portfolios. 40 year investment veteran, Steve Reitmeister, shares that and more in the commentary below…

Read More Stories

More Curaleaf Holdings, Inc. (CURLF) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All CURLF News