As earnings season kicks into high gear, analysts are closely following the numbers that are reported by some of the best known cannabis companies. 

Expectations are high for cannabis companies and the market has responded negatively to high-profile operators that reported numbers which missed expectations.

Aphria, Inc. (APHA.TO) (APHA) was one of the first Canadian cannabis producers to release quarterly financial results. During the conference call, the management team highlighted the risk of price compression in Canada and this comment put additional pressure on Canadian cannabis producers. 

As more and more states legalize marjiuana, federal legalization in the U.S. seems inevitable. Not only are more states passing legislation to permit recreational use, but a vast majority of Americans also support legalization. According to a recent survey, Pew Research found that 91% of people in the U.S. believe marijuana should be legal for either medical or recreational use, with 60% in favor of both. President Joe Biden is in favor of decriminalizing marijuana, while Senate Majority Leader Chuck Schumer is ready to push ahead with full legalization efforts even if Biden isn't completely on board just yet.

As more and more states legalize marjiuana, federal legalization in the U.S. seems inevitable. Not only are more states passing legislation to permit recreational use, but a vast majority of Americans also support legalization. According to a recent survey, Pew Research found that 91% of people in the U.S. believe marijuana should be legal for either medical or recreational use, with 60% in favor of both.

Canada’s unsold cannabis inventory remains close to an all-time high, but the glut may be showing signs of easing as production fell sharply in December.

The amount of unsold dried cannabis held in stock by cultivators, processors, wholesalers and retailers levelled off in December at 1.14 billion grams, down slightly from a month earlier, according to the Health Canada data.

2 Marijuana Stocks To Watch Before Next Month

As marijuana stocks still wait for better trading there is still time to build up your investment portfolio. With only a few cannabis companies starting to see better trading now is the time to consider looking for top marijuana stocks to buy. Now there is no concrete way to know exactly when things will rise again. With this uncertainty of when things will recover further investors are looking to prepare themselves for the day that happens. However, like any good investment, you must make sure you do your research beforehand.

Canopy Growth (NASDAQ:CGC) has struggled to break even for years. Under then-CEO Bruce Linton, the company focused primarily on generating sales growth and uncovering more opportunities for the long term. However, now that sales growth is harder to achieve, and the pandemic shining a light on struggling businesses, investors aren't as willing to overlook a poor bottom line.

Hey Justin,

We’ve been listening to your new album, and we tend to agree: Georgia’s got some of the best peaches. No doubt. ‍

But respectfully, line two of “Peaches” is where we disagree.

See, like you, we’re big fans of cannabis. We treat it like it’s our job. Because, well, it is. We’re Flowr, one of Canada’s leading licensed producers. We grow award-winning strains in the heartland of top-tier cannabis production: Kelowna, British Columbia, Canada. So when we heard you, a homegrown, household-name, card-carrying Canadian superstar, say he gets his weed from California… Honestly, that was tough to hear.

But we thought, “Wait. Let’s give this man a chance.” This is a good moment to talk about something that’s been on our minds recently.

The home grow conversation, just about everywhere, is a contentious one. It has been the basis for the formation of the entire commercialized cannabis industry, everywhere, one way or another. It is also a right that is being defined, pretty much globally, as one with a constitutional basis as reform begins to seriously roll.

Yet twenty years on, in Canada, at least, authorities are wondering, again, out loud, if the entire proposition needs to be re-examined – and for reasons stemming from both public safety and the need to curtail the illicit market.

The legalization of recreational marijuana in Canada in 2018 brought a lot of excitement, but not necessarily results.

"It's not what people thought it would be, at least not yet," Kyle Murray, Vice Dean at the University of Alberta School of Business, said.

After a boom in the cannabis industry following legalization in 2018, experts are predicting a rough patch for the sector in the coming years.

Alberta has 611 cannabis stores, more than any other province in the country.

“There’s clearly a demand for cannabis,” said Trevor Fencott, the CEO of Fire & Flower, one of the largest cannabis retailers in Canada.

“We have a vibrant retail industry in Canada, we have a vibrant ancillary services industry in Canada for legal, accounting, all that other stuff that we built in there, that’s important.”

In the two-and-a-half years since legalization, the marijuana market has had some struggles. The initial hype was followed by a high demand that producers and sellers initially couldn’t keep up with.