Cannabis Stocks Watchlist: Mergers and Legalization

See how cannabis stocks such as Sundial Growers, Cara Therapeutics, Canopy Growth, Tilray and more performed in the market this past week.
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Since the Democrats have taken back control of the Senate, marijuana legalization has come into the spotlight. Federal legalization advocates acquired a huge endorsement this week from Senate Majority Leader Chuck Schumer, who said he is working on a bill that will give states the authority to legalize marijuana if the states choose to.

If you're looking for the best stocks to invest in in the cannabis sector, TheStreet's Debra Borchardt recently shared her top stock picks in the cannabis sector for 2021.

For more in-depth coverage of the cannabis sector including buy and sell recommendations and investment strategies, subscribe to read Borchardt on Real Money.

Here is a list of the cannabis stocks to watch and their performance from this past week by the percentage change at the close of trading on Jan 29.

Aurora Cannabis Inc | Increased +4.69%

Aurora Cannabis  (ACB) - Get Report was one of the 'buy-the-dip' candidates this past week after it fell more than 13% the previous week after a downgrade from a Jefferies analyst.

TheStreet Quant Ratings rates Aurora Cannabis Inc. as a Sell with a rating score of D-.

Aphria Inc. | Decreased -5.07%

Aphria  (APHA) - Get Report and Tilray's merger could pave the way for the companies to be major players in the European cannabis market, according to technical420.

TheStreet Quant Ratings rates Aphria as a Sell with a rating score of D.

Tilray Inc | Increased +0.44%

Tilray  (TLRY) - Get Report turned positive this past week after it jumped at the opportunity to supply cannabis for an 18-24 month study by a French government health agency. Tilray also has 25.11% short interest and could become a favorite of the Reddit traders.

TheStreet Quant Ratings rates Tilray as a Sell with a rating score of D-.

Canopy Growth Corp | Increased +18.55%

Canopy Growth  (CGC) - Get Report continues to be a favorite in the cannabis sector for Jim Cramer but several cannabis investors are looking at other cannabis companies. Will Canopy Growth maintain its recent climb?

TheStreet Quant Ratings rates Canopy Growth Corp as a Hold with a rating score of C.

GW Pharma | Increased +7.60%

Global market reports are forecasting worldwide legalization of medicinal marijuana by 2028 and GW Pharma  (GWPH) - Get Report could be a huge beneficiary of that legalization in the medicinal marijuana space.

TheStreet Quant Ratings rates GW Pharma as a Sell with a rating score of D+.

Cara Therapeutics | Decreased -2.35%

Cara Therapeutics  (CARA) - Get Report fell this past week but some option traders bet on the stock moving higher in early Jan. before it increased over 15%. Can shares of Cara Therapeutics go even higher?

TheStreet Quant Ratings rates Cara Therapeutics as a Sell with a rating score of D.

Sundial Growers | Increased +25.35%

I try to avoid covering stocks at this share price but the "WallStreetBets" subreddit turned this stock trading under $1 into a cannabis favorite of the Reddit trading army. Sundial Growers  (SNDL) - Get Report was one of the stocks Robinhood limited the trading of.

TheStreet Quant Ratings rates Sundial Growers as a Sell with a rating score of E+.

NOTE: Recently, Quantitative Analysis by TheStreet Quant Ratings objectively rated these stocks according to its risk-adjusted total return prospect over a 12-month investment horizon. Not based on the news on any given day, the rating may differ from Jim Cramer's view or that of this articles' author.