Cannabis stocks declined Tuesday amid a wider market selloff and disappointing results from Aurora Cannabis' latest quarter where the Canadian company reported a nearly 20% decline in recreational cannabis sales.
Green Thumb Industries (GTBIF) , Curaleaf Holdings (CURLF) , Cresco Labs (CRLBF) and Harvest Health & Recreation (HRVSF) are some of the U.S. multi-state operators that were falling Tuesday afternoon.
Green Thumb and Curaleaf fell 3% and 2.19%, respectively, while Cresco Labs closed down 1.76% but rose about 1% after hours. Harvest was down 4.5%.
Aurora Cannabis stock, however, climbed on Tuesday, after fiscal-fourth-quarter revenue lagged expectations but Cowen called the company's cost-cutting efforts "on track."
The investment firm affirmed the Calgary, Alberta, company's stock market perform and maintained its C$8.50 (US$6.69) target price on the shares.
On the positive side, cannabis adoption could be coming to the deep south.
Legislative leaders in Mississippi have requested that Republican Governor Tate Reeves convene a special legislative session soon to discuss medical marijuana access.
The request comes after the lawmakers said they have reached an agreement on a draft legislation to regulate medical marijuana access in the state last week.
The new legislation being proposed would permit qualified patients, including those with chronic pain, to obtain herbal cannabis, among other types, from licensed facilities.
Last year, 73% of Mississippi voters voted to approve Initiative 65, which provides for a state-regulated marijuana access system for qualified patients.