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If that happens and the result is positive, marijuana stocks could be back in the mainstream, potentially sending their valuations soaring in April.
This week, the House of Representatives is expected to vote on the Marijuana Opportunity, Reinvestment, and Expungement .
But on the flip side, it can facilitate expansion while also making it easier to do business with the banks , and it would likely lead to major pot stocks listing on a major exchange like the NYSE or Nasdaq — currently U.S.-based marijuana companies resort to trading over the counter and the Canadian Securities Exchange.
In August 2021, the company announced it acquired senior convertible notes in MSO MedMen Enterprises, which would allow it to take an equity stake in the business.
Canopy Growth has struggled with profitability and being able to incorporate results from their operations could help significantly improve its financials and make the stock a better buy.
In December 2020, the MORE Act passed the House, but that’s as far as it would go, and it would not even be voted on in the Senate.
A year ago, there was optimism around pot stocks as the Democrats obtained control of both the House and Senate for the first time in a decade, giving investors hope that marijuana reform could be on the way.
If you aren’t prepared to hang on for years, then it can be a dangerous strategy to buy on news of excitement surrounding a marijuana bill.