Cronos Group Inc (NASDAQ: CRON) is flying early on in the trading session yet again this morning, and for good reason. The launch of the Canadian recreation cannabis industry is set to take place in little more than a month, and the company has done a good job of preparing thus far. So, excited investors see opportunity ahead and are sending the stock on a run for the top. Today, we’ll talk about:
- Recent news surrounding CRON that’s sending the stock soaring;
- what we’re seeing from the stock today; and
- what we’ll be watching for ahead.
CRON Flies With Anticipated Commercial Launch In Canada
Recently, we’ve seen quite a bit of positive movement in the cannabis sector after deals started to be made surrounding recreational cannabis in Canada. In early October, Canada will become a recreational marijuana country, allowing for the use of the plant for recreational purposes among adults.
As a result of the coming launch of the commercial cannabis industry in Canada, we’ve seen several agreements being made in the sector. Private and public companies as well as government agencies are preparing for the launch of the industry, and CRON has done a great job of doing just that thus far.
Recently, the company announced a series of agreements, all of them surrounding the supply of its recreational cannabis products to retailers in the Canadian cannabis sector. These are no small agreements either. In fact, to date, the company has signed agreements that surround territories representing 50% of the population in Canada. These wide-reaching agreements will likely make the company’s brands some of the most well-recognized brands in the Canadian cannabis industry, leading to ample opportunities for CRON.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to dig in the market is that the news causes moves. In the case of Cronos Group, the news has been nothing but positive as of late with the launch of the recreational cannabis industry in Canada just around the corner and the company’s great work in preparation of this launch. So, it comes as no surprise to see that the stock has been soaring in the market as of late. Of course, our partners at Trade Ideas were the first to alert us to the gains. Currnetly (10:05), CRON is trading at $12.13 per share after a gain of $2.19 per share or 21.99% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on CRON. In particular, we’re interested in following the story surrounding the company’s continued work in the Canadian cannabis sector. After all, this industry in infancy has the potential to create incredible opportunities for those that grab the bull by its horns early on as the company seems to be doing. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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