You don’t have to buy shares of a marijuana grower to profit from growth in the cannabis sector. Actually, some of the biggest winners in 2020 belong to companies that aren’t pure-play pot stocks. These top stocks include GW Pharmaceuticals (NASDAQ:GWPH) and Innovative Industrial Properties (NYSE:IIPR).
GW Pharmaceuticals ranks as the largest cannabinoid-focused biotech. Innovative Industrial Properties is the leading real estate investment trust (REIT) specializing in the medical cannabis market. Both stocks have jumped more than 20% year to date. But which is the better cannabis play now?
The case for GW Pharmaceuticals
Many people have viewed cannabadiol (CBD) as an effective treatment for epilepsy for years. But GW Pharmaceuticals became the first to win FDA approval for a CBD drug in treating two rare forms of epilepsy in 2018. That drug, branded as Epidiolex, emerged as a tremendous success story.
GW reported revenue of $120.6 million in the first quarter of 2020, more than tripling the amount from the prior-year period. Epidiolex generated $116.1 million…