ETFs are a terrific method to diversify your risk by allowing you to invest in a basket of stocks. The HMMJ is one of the most popular marijuana ETFs, and it is currently trading at $6.43, down 75% from its all-time high.
The cannabis industry’s general decline has resulted in an extended bear market, which has fallen heavily on HMMJ as well. Innovative Industrial Properties (NYSE:IIPR), Canopy Growth, GW Pharmaceuticals, Aphria, and Cronos Group are the top five holdings of HMMJ as of October 2, 2020, accounting for 63 percent of the fund.
We can see that the ETF contains a decent mix of typical licensed producers, as well as ancillary pot companies and medical marijuana players, giving you exposure to a variety of marijuana-related verticals.
IIPR is a marijuana-focused real estate investment trust with a market cap of US$130 and a year-to-date gain of 75%. While cannabis companies struggle to stay profitable, IIPR provides a consistent stream of cash flow, resulting in a 3.6 percent projected dividend yield.
The company’s dividend yield has climbed by 368 percent in the last three years, and its concentration on acquisitions will help fund future dividend hikes as well. Large medical marijuana companies like Trulieve Cannabis and Cresco Labs are among IIPR’s clients.
Sales have climbed from US$6.42 million in 2017 to US$45 million this year. Sales are expected to climb by 147 percent to $110 million in 2020, and by 76.3 percent to $194 million in 2021, according to analysts following the company.
We can see why the HMMF ETF’s largest holding is an ancillary marijuana company.
Is the MJ ETF a wise investment?
MJ may have historical significance as the first cannabis ETF, but that does not make it a successful investment. To begin with, I am skeptical of the large allocation to cigarette stocks. But, more crucially, I’m not sure MJ will be able to fully realize the cannabis industry’s development potential.
Here’s the problem. Almost all of the real cannabis operator stocks it owns are based in Canada. Tilray (TLRY), Canopy Growth (CGC), and Cronos (CRON) are all creating profit margins that are significantly lower than those of US companies like Trulieve (OTCQX:TCNNF) or Green Thumb Industries (OTCQX:GTBIF):
Is Horizon a wise investment?
Horizon Therapeutics Public Limited Company is now assigned a Zacks Rank 3 on Zacks’ proprietary data, and we predict the HZNP shares will return in pace with the market over the next few months. Horizon Therapeutics Public Limited Company also gets a B VGM Score (this is a weighted average of the individual Style Scores which allow you to focus on the stocks that best fit your personal trading style). Horizon Therapeutics Public Limited Company may be cheap, according to valuation metrics. With a Bargain Score of B, it’s a fantastic choice for value investors. HZNP’s financial strength and development prospects show that it has the ability to outperform the market. It has a current Growth Score of C. With a Momentum Score of A, recent price fluctuations and earnings estimate revisions indicate that this is a good stock for momentum investors.
Is HMMJ under active management?
HMMJ is an index (or passively managed) ETF that tries to replicate the performance of the North American Marijuana Index, net of fees, to the greatest extent practicable. This quarterly rebalanced index was created to provide exposure to the performance of a basket of publicly traded North American life sciences companies with significant marijuana-related business operations. The North American Marijuana Index selects from a current universe of companies with operations that may comprise one or more offerings of biopharmaceuticals, medical manufacturing, distribution, bio-products, and other marijuana-related ancillary businesses.
“All eyes were on the Canadian cannabis industry’s upward momentum into 2021 after its powerful recovery in late 2020,” stated one analyst.
How do you tell the difference between HMMJ and HMMJ U?
The ticker symbol “HMMJ” will be used to trade HMMJ units denominated in US dollars. Both the HMMJ and the HMMJ are legal in the United States. The same exchange traded fund is referred to by U tickers. The currency in which they trade is the only distinction between the two listings.
Is Michael Jackson being passively managed?
Tobacco stocks make up about 20% of MJ’s portfolio, which is managed passively. Pesticides, fertilizers, and plant feeds for the cannabis and tobacco industries are among the other assets in MJ’s portfolio.
Is DX a good investment?
1 (100%) analyst recommends DX as a Strong Buy, 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0%), 0 (0 What is DX’s expected earnings growth in 2022-2022?
What is the purpose of Horizon Company?
Horizon Therapeutics plc is a biopharmaceutical firm dedicated to discovering, developing, and commercializing treatments for people suffering from rare and rheumatic diseases. Horizon’s products are largely sold in the United States, which accounted for 97 percent of Horizon’s global revenues in 2019. Horizon completed a tax inversion in 2014, relocating its legal headquarters to Ireland to take advantage of Ireland’s low tax rates and favorable corporation tax regime. The change of the company’s name to Horizon Therapeutics plc was authorized by the company’s shareholders on May 2, 2019.
Horizon’s medication pipeline is focused on TED, gout, uncommon disorders, and inflammatory diseases. Tepezza (teprotumumab), Krystexxa (pegloticase), Actimmune (interferon gamma), Duexis (ibuprofen + famotidine), Pennsaid (2 percent topical diclofenac), Rayos/Lodotra (prednisone), Vimovo (naproxen/esomeprazole magnesium), Buphenyl (sodium phenylbuty (glycerol phenylbutyrate). The business joined the Pharmaceutical Research and Manufacturers of America in 2016. (PhRMA).