The market and cannabis sector last week
Last week (ended April 13), overall market sentiment was positive, with the S&P 500 rising 2% and the TSX 30 gaining 44 basis points. The cannabis sector ended the week positively, breaking its losing streak.
All five cannabis sector ETFs in the above chart ended in positive territory last week. The Horizons Marijuana Life Science ETF (HMMJ) gained 10.5%, while the ETFMG Alternative Harvest ETF (MJ) rose 7.9%.
Among individual cannabis stocks, MedReleaf (MEDFF) emerged as the biggest gainer last week, rising 25.5%, and Cronos Group (CRON) followed, rising 24%. Hydropothecary (HYYDF), which was in the news last week for completing its agreement with the SAQ (Société des alcools du Québec), gained 17.6%.
Aphria (APHQF) rose 11.8% last week, while Canopy Growth (WEED) and Aurora Cannabis (ACB)(ACBFF) both rose 7.8%. Organigram (ORGMF) followed, rising 5.8%, while Supreme Cannabis (SPRWF) gained 3% and CannTrust (CNTTF) gained 2.4%.
Performance this year
While these stocks had a positive run last week, most stayed in negative territory YTD (year-to-date). For example, Aphria has fallen 44% YTD, while CannTrust has fallen 30%. Similarly, MedReleaf and Aurora Cannabis have fallen 28% and 26%, respectively. In this series, we’ll discuss recent developments in the cannabis sector and why stocks rose last week.