Canopy (NASDAQ:CGC) stock represents the cannabis industry at large. It was the first company to be publicly traded in North America, and it is the industry leader today. Its products span from edibles and drinks, to vapes, dried flower and concentrates, to capsules and hemp.
Not only is it the oldest firm in the industry, it is, perhaps not coincidentally, the largest. That makes it a pioneer in many ways, and therefore it possesses an ever-important first-mover advantage.
In addition to the company’s first-mover advantage, it is also hitting its stride financially as macro-environmental factors swing in its favor.
The U.S. is transitioning to a new administration that looks to benefit the cannabis industry overall, while Canopy is itself improving internally. The net effect is that the company and stockholders have a lot to be excited about. External factors are favorable, internal operations are improving and the company is expanding its footprint.
Cannabis has moved one step closer to federal legality, as a bill to decriminalize marijuana passed the U.S. House of Representatives recently. This is the first time a decriminalization bill has passed a chamber of Congress. The MORE Act (Marijuana Opportunity Reinvestment and Expungement Act) is highly unlikely to pass in the GOP-held Senate, however.