Cronos (CRON) - Get Cronos Group Inc Report  is the "New King in the North" among the cannabis players, a Stifel analyst wrote, prompting an upgrade on the stock to buy from hold. 

At the same time Stifel's Andrew Carter lowered his price target on the stock to C$14 (US$10.66) from C$16.50. The target represents a potential 21% upside from the stock's Thursday closing price.

Carter sees Cronos's C$2 billion of cash on hand making it "unconstrained" in its ability to invest toward a global cannabis market opportunity of $200 billion. 

Cigarette maker Altria (MO) - Get Altria Group Inc Report invested $1.8 billion (C$2 billion) in Cronos in March.

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That investment will help Cronos build its U.S. CBD business and demonstrate "breakthrough product potential" in the Canadian market, the analyst wrote.

Carter says a recent pullback in the stock should be a buying opportunity for savvy investors due to its "advantaged and enhanced position."

The U.S.-traded shares at last check were down 4.6% to $8.46 on Friday.