Editors note: The Weekly Stash was taped and edited prior to the news yesterday afternoon from President Biden.
People in Florida stocked up on cannabis ahead of Hurricane Ian and that was probably the smart move. Many of the biggest cannabis companies in the state had to close at least some of their dispensaries in hard-hit areas. Trulieve (OTC: TCNNF) and Verano both had 3 stores that remained closed. Trulieve said the storm had zero impact on growth or processing despite the closures.
Earlier this week, the SEC filed charges against 8 for a stock promotion scheme that included three cannabis stocks. Elegance Brands, Emerald Health Pharmaceutical and High Times were the stocks that Jonathan Mikula promoted in his newsletter Palm Beach Venture. Emerald and Elegance both had to pay fines and some of their people are now barred from serving as an officer in the company. High Times paid for the promotion but wasn’t charged.
It’s the beginning of Crotober when many outdoor cultivation sites begin harvesting their cannabis. This year though with prices continuing to plunge, harvest time might not be so celebratory. Cannabis Benchmarks said it expects wholesale prices to keep falling.
Speaking of falling, sales fell in the state of Nevada for the fiscal year 2022. Despite tourism rising in the key market of Las Vegas, sales fell by 4% versus last year. That’s troubling because the state was just coming out of covid lockdowns in 2021. Sales fell below the billion-dollar level to $965 million.
Another state is trying to address falling prices by asking legislators to just say no to new licenses. Michigan is drafting new legislation to place a moratorium on licenses in the state. However, not everyone wants that and some places like Detroit haven’t even opened any stores yet.
And finally, One World Products (OTCQB: OWPC), a fully-licensed hemp and cannabis producer in Colombia — owned by former Detroit Pistons point guard Isiah Thomas — is one step closer to commercialization. The company received its second round of funds from its recent $10 million financing deal to help grow the industrial hemp operations and grow industrial sales.