Republicans and Democrats alike are singing President Trump’s praises thanks to a new bill he recently signed into law.
With the stroke of a pen, Trump transformed a tiny corner of the marijuana market into a thriving, multi-billion-dollar industry.
And not only could this action directly impact thousands of marijuana producers…
But as I’ll show you today, it could also transform the $400 billion Drug Store market — and create extraordinary investment opportunities for investors like you.
First, the Facts
To set the stage, there are a couple of important things you need to know about the marijuana market.
First of all, marijuana is derived from the cannabis plant.
This plant contains dozens of different chemicals known as “cannabinoids.” Two of the most popular are THC and CBD.
THC is the ingredient in cannabis that makes you feel “high.”
But CBD is the ingredient that’s believed to have medicinal benefits.
That’s why CBD is being used as a treatment for a wide variety of ailments — from anxiety and inflammation, to chronic pain and cancer.
But despite all of its potential powers, CBD has received very little attention so far.
However, that’s all about to change…
$6 Billion Sales Surge
You see, Christmas came a little early for CBD last year.
On December 20th, 2018 President Trump signed the U.S. Farm Bill into law.
And buried within that bill is an important provision — a provision that’s set to ignite a major sales surge for CBD.
You see, this provision removed hemp (a type of cannabis plant that contains large amounts of CBD) from the Controlled Substances Act.
That means, under U.S. federal law, it’s now legal to produce hemp. Which also means that it’s now legal to sell CBD.
This is a massive opportunity — for businesses, and investors like you…
Sales Are Set to Spike
According to researchers with Brightfield Group, thanks to this new law, CBD sales are set to explode in 2019.
The market is expected to grow from $619 million in 2018, to $5.9 billion by the end of 2019. That’s an 853% growth rate in a single year!
And that’s why retailers are jumping in…
For example, last week, CVS, the $184 billion drug store giant, announced it will start selling CBD products in about eight hundred of its stores throughout the country.
These products include creams, sprays, roll-ons, lotions, and salves.
But to be clear, CVS doesn’t make these CBD-based products itself…
For that, it relies on a company called Curaleaf…
Meet Curaleaf
Curaleaf (OTC: CURLF) operates forty-two cannabis retail stores across nine states, and it expects to have sixty-nine stores by the end of the year.
Last year, it brought in $77 million in sales, more than triple its prior year’s numbers.
In September of 2018, the company became the first multi-state operator to launch its own line of CBD products. These products include patches, tinctures, and topical lotions.
And those are the products that CVS is selling.
To start, its products will be sold in eight hundred CVS stores. But the expectation is that they’ll be in 10,000 stores by year-end.
Given this major new sales channel, CURLF is surely on the brink of a breakout — right?
Not so fast.
Time to Buy?
The day after the CVS announcement, CURLF shares jumped about seventeen percent.
And since the beginning of the year, its shares have doubled. This gives the tiny company a market cap of more than $4 billion.
At that level, this stock has clearly come too far, too fast.
Furthermore, key shareholders hold eighty-one percent of the company's outstanding shares. If those investors decide to take some profits, the market would get flooded with their shares — and Curaleaf’s stock price could drop like a rock.
That’s a big risk.
But if you’ve been reading our articles lately, you already know the biggest risk…
There Is Such a Thing as Being “Too Early”
When a huge market like CBD starts to explode, it’s very hard to pick the eventual “winners.”
Will the winner be an upstart like Curaleaf?
Or perhaps it’ll be an existing giant like CVS (NYSE: CVS) instead?
At the moment, it’s very difficult to predict. But what we do know is this:
With annual sales of about $200 billion, even if CVS captured a huge chunk of 2019’s expected $5.9 billion in CBD sales, that would hardly move its needle.
And once retail competitors like Walmart, Walgreens, and Amazon start selling CBD-based products, it’s highly unlikely that CVS would capture the majority of the market anyway.
How to Play this for the Biggest Profits
So, as investors, what’s the play here?
After all, someone is going to reap the rewards of this massive new market!
Well, if you’ve already registered to attend tonight’s “Marijuana Millionaire” Summit, you’ll find out the answer later today.
And if you didn’t sign up for this event in time, check out Wayne’s article from last week here »
That’s where he shows you how to navigate a fast-growing emerging market like CBD.
As you’ll see, his strategy could help you find companies with the most upside potential, and the least amount of risk.
Happy Investing!
Best Regards,
Founder
Crowdability.com
