LOS ANGELES (AP) – Cannabis stocks have had a harsh let down this year as investors’ enthusiasm about the prospects for strong growth and blockbuster company mergers dimmed.
Shares in some of the biggest marijuana companies, including Tilary, MedMen and Aurora Cannabis, are down more than 50% so far. The S&P is up 25.5% by comparison.
Experts say approval of one or two pending mergers could boost investor sentiment.
While industry analysts project the market for marijuana products will continue to grow over the next decade, cannabis companies still face hurdles with government regulations.