Cannabis Stock Valuations Reflect No Expectation Of Federal Reform: Study
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 14 2025
0mins
Source: Benzinga
Valuation Analysis of U.S. Cannabis Operators: A study by Viridian Capital Advisors indicates that U.S. multi-state cannabis operators (MSOs) are trading at levels reflecting no expectation of federal reform or tax relief, with valuations slightly above predicted worst-case scenarios due to market factors rather than optimism for policy changes.
Future Growth Potential: The only potential growth catalysts identified are state-level adult-use legalization in Florida and Texas, which could benefit certain MSOs, while the overall sentiment remains cautious as investors do not anticipate immediate federal action on cannabis reform.
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About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
