rtmark
LearnBonds.com

Buy Cronos Group Stock Price on Dip, Its New King in the North

Cronos Group (NASDAQ: CRON) stock price tumbled sharply since the beginning of this year. The shares are down 26% year to date, down almost 50% from 52 weeks high that it had hit at the end of the first quarter.

The share price selloff is supported by trader’s concerns over lower than expected growth in demand.

In addition, increasing market competition and a low entry barrier for new players have been hindering the upside momentum. Higher valuations contributed to the selloff.

CRON Cronos Group Inc. daily Stock Chart

Buy Cronos Group Stock Price on Dip

Cannabis markets experienced a significant boost after it is legalized in several U.S. states. Some research firms believe the market has the potential to reach $200 billion valuations in the coming years.

Consequently, cannabis-related companies have been aggressively expanding their production and footprints to capitalize on the emerging market.

Stifel believes with C$2B of cash in the bank along with backing from Altria (NYSE: MO) provides Cronos Group unconstrained ability to capitalize on the $200B global cannabis opportunity. Stifel increased CRON ratings to Buy, saying “Crowning a New King in the North.”

Cronos Group Expanding In U.S. and Canadian Markets

The company is taking several steps to expand its presence in Canadian and U.S. markets. It has established a new global R&D center in Israel, opened Cronos Device labs, and announced the acquisition of a new state-of-the-art fermentation facility in the latest quarter.

CRON is seeking to capitalize on increasing demand from the U.S. markets. Consequently, it has recently acquired Redwood Holding’s hemp-based CBD platform.

The CEO said, “As we look ahead, we will continue to capitalize on this momentum by building on our partnerships with Altria and Gingko Bioworks and leveraging our collective resources and expertise to realize the significant potential in the growing cannabis industry.”

Overall, the Cronos Group stock price is likely to bounce back in the coming days. This is because of the potential growth in the cannabis markets. The recent selloff is only due to market-related uncertainties – which are short-term in nature.

Trusted & Regulated Stock & CFD Brokers

What we like

  • 0% Fees on Stocks
  • 5000+ Stocks, ETFs and other Markets
  • Accepts Paypal Deposits

Min Deposit

$200

Charge per Trade

Zero Commission

Rating

64 traders signed up today

Visit Now

75% of investors lose money when trading CFDs.

Available Assets

  • Total Number of Stocks & Shares5000+
  • US Stocks
  • German Stocks
  • UK Stocks
  • European
  • ETF Stocks
  • IPO
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 Zero Commission
  • NASDAQ Zero Commission
  • DAX Zero Commission
  • Facebook Zero Commission
  • Alphabet Zero Commission
  • Tesla Zero Commission
  • Apple Zero Commission
  • Microsoft Zero Commission

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
  • Paypall
  • Skrill
  • Neteller

What we like

  • Sign up today and get $5 free
  • Fractals Available
  • Paypal Available

Min Deposit

$0

Charge per Trade

$1 to $9 PCM

Rating

Visit Now

Investing in financial markets carries risk, you have the potential to lose your total investment.

Available Assets

  • Total Number of Shares999
  • US Stocks
  • German Stocks
  • UK Stocks
  • European Stocks
  • EFTs
  • IPOs
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 $1 - $9 per month
  • NASDAQ $1 - $9 per month
  • DAX $1 - $9 per month
  • Facebook $1 - $9 per month
  • Alphabet $1 - $9 per month
  • Telsa $1 - $9 per month
  • Apple $1 - $9 per month
  • Microsoft $1 - $9 per month

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
All trading carries risk. Views expressed are those of the writers only. Past performance is no guarantee of future results. The opinions expressed in this Site do not constitute investment advice and independent financial advice should be sought where appropriate. This website is free for you to use but we may receive commission from the companies we feature on this site.
Avatar

Based in Saudi Arabia, Siraj has a strong understanding of and passion for accounting and finance. He has worked for international clients for many years on several projects related to the stock market, equity research and other business, accounting and finance related projects. Siraj is a published financial analyst on the world's leading websites including SeekingAlpha, TheStreet, MSN, and others.