Trading volume is one indicator of liquidity, a word which here means, the ease with which something can be bought or sold. Arguably, there are better indicators of stock liquidity, the bid-ask spread and the market depth at the best bid/offer being two of them but that's a conversation for another day. That said, don't count out volume just yet. Volume is a useful way to screen for stocks that might have the liquidity you need.
Before we get to the stocks, here’s a brief explanation regarding how we put this list together.
To compile this list, we looked across our global marijuana stock universe, took the trailing 30-day average trading volume for each stock, multiplied that by the price, and converted all amounts to U.S. dollars. The following are the twenty marijuana companies with the highest 30-day average dollar volume:
Note: Some companies appear twice, this is because they have listings on multiple exchanges and have high trading volume on both. The corollary to this is that some companies only made the list once even though they have multiple listings.
Hint: the home country listing usually has the highest volume, one reason why it's better to trade foreign stocks directly instead of through the OTC Markets.
Scotts Miracle-Gro (NYSE:SMG)
GW Pharmaceuticals Plc (NASDAQ:GWPH)
Cara Therapeutics Inc. (NASDAQ:CARA)
Canopy Growth Corp. (TSX:WEED)
Insys Therapeutics Inc. (NASDAQ:INSY)
Aphria Inc. (TSX:APH)
Zynerba Pharmaceuticals Inc. (NASDAQ:ZYNE)
Aurora Cannabis Inc. (TSXV:ACB)
Compass Diversified Holdings Inc. (NYSE:CODI)
Canopy Growth Corp. (OTC:TWMJF)
Organigram Holdings Inc. (TSXV:OGI)
Eco Science Solutions Inc. (OTC:ESSI) *
Aphria Inc. (OTC:APHQF)
Terra Tech Corp. (OTC:TRTC)
22nd Century Corp. (NYSE:XXII)
OWC Pharmaceutical Research Corp. (OTC:OWCP)
Cannabis Science Inc. (OTC:CBIS)
Medical Marijuana Inc. (OTC:MJNA)
Innovative Industrial Properties Inc. (NYSE:IIPR)
Invictus MD Strategies Corp. (TSXV:IMH)
* Shares of Eco Science Solutions were suspended from trading by the SEC for ten days starting last week. We kept it in the list despite this for one main reason: It shows how easily investors can get caught up in a hyped stock that isn't a sound investment. This leads into some of the reasoning behind SEC stock suspensions; they are intended to prevent possible fraud from spreading, especially in highly promoted and/or highly traded stocks.
We hope this list of 20 marijuana stocks with high volume inspired you to do further research on some of these names as you hunt for opportunistic and liquid investments in the cannabis space. A great place to continue your research is through the company's marijuana stock profiles through the linked tickers above. You can find a company description, recent news and a custom stock chart in every marijuana stock profile.
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Investing in nanocap, microcap, and small cap stocks is highly speculative. The publishers of DailyMarijuanaObserver.com are not registered as Investment Advisors or Broker-Dealers in any jurisdiction whatsoever. The information contained on DailyMarijuanaObserver.com (“this site”) has been prepared solely for informational purposes. Nothing on the site is an offer or solicitation to buy or sell securities. Investors should seek financial advice regarding the appropriateness of investing in any securities mentioned from their financial advisor.