The legal cannabis industry in Canada has tripled in size in its first year
The average cannabis consumer knows that the number of sales within the market is growing and rapidly. In the real world, the Cannabis industry is thriving.
In the first ten months of legal cannabis use in Canada, sales have grown by 185%, and if they remain on target, they will reach a total annual growth of 222% by the end of this quarter. The numbers would not be what they are without the significant contributions from Alberta, and this province has done none other than a fantastic job. There is a total of over 270 cannabis retail locations across the region, providing cannabis jobs at each one.
The phase two portion of cannabis legalization has emerged, and it is expected that another 3 million consumers will enter the cannabis market in the next six months, which is a 50% increase in the consumer base, and in response stocks are budding. For the cannabis investor, stocks will be stronger as revenue growth catches up and equals capital spending, which is necessary for future growth. The cannabis stocks look at the improvement of the bottom lines as a translation into stronger share prices.
More growth to come
As we move into 2020, the cannabis industry in Canada is poised for an even stronger growth that will be reflected in the worth of cannabis stocks. According to Statistics Canada, the legal recreational cannabis market has the potential to become a $7 billion a year industry. The anniversary of the legalization of marijuana in Canada has celebrated its first year, and the legal cannabis industry has tripled in size.
Monthly cannabis sales are increasing at a double-digit pace.
Several cannabis industry businesses have already made the transition into a more profitable direction, but the overall achievement, as mentioned before, is largely due to Alberta. The disappointing numbers from Ontario and British Columbia's cannabis retail stores contributed to the poor start in those regions. The most critical component of the long-term success of the legal cannabis industry is the expected increase in female consumers as compared to stage one.
The differences in the success between roll out 1 and 2 of legalization involve the difference that there are currently stores operating, whereas before, retail locations were nonexistent. The more stores that open, the more products that consumers can expect to have available for purchasing. Cannabis jobs will be available as more stores open, and more of the promised products start to show up on the shelves.
So, we all have to wait for the new roll-out, before we can reap the benefits of added jobs, which trickle down to help add revenue and cannabis stock price increase. This will lead to more cannabis profits, which will help to raise the current stock prices. The second round of legalization, edibles, topicals, and extracts is looking to outdo the first roll-out. Is it due to the products available or the poor implementation of the first-year of the Canadian legal cannabis industry? Only time will tell, as we wait patiently for the products to hit the shelves of our local dispensaries.