The U.S. Marijuana Index tracks the leading cannabis and hemp stocks in the United States and provides information that investors need. The Marijuana Index is owned and managed by ManifestSeven (MJIC, Inc.) The Index is for informational purposes and, it is not designed to be an endorser of the companies it lists.

That said, the U.S. Marijuana Index delivered 158% returns from November 2017 to October 2018. Although the market saw significant volatility in marijuana policy during the course of the year due to a hard-line policy stance taken by the new U.S. administration under President Donald Trump, more recent developments have been encouraging to marijuana investors. Over the same period, although fueled by the Trump rally, the S&P 500 has generated only 9.78% returns. 

Graph Credit: marijuanaindex.com

With 30 states and the countries Uruguay and Canada voting to legalize some form of marijuana, the opportunities for business have increased. More business opportunity provides an impetus for investors.

Stocks on the Marijuana Index

The marijuana index is equally weighted among 25 companies that have at least 50% of their operations in the marijuana business. In 2019, the Index increased the minimum trading requirements for companies who want to join the Index. Companies now require a minimum weighted average market capitalization of $100 million and daily trading volume of $2 million. This requirement is rebalanced each quarter.

Most stocks on the index are listed in over the counter (OTC) markets, which perhaps adds to the investment risk. However, one of the largest companies on the index is the U.K.-based firm GM Pharmaceuticals (GWPH) that commands a market cap of close to $5.25 billion but trades on the NASDAQ via an American Depository Receipt (ADR). Another company, Innovative Industrial Properties (IIPR), is listed on the NYSE.

These are the stocks that make up the U.S. marijuana index as of May 2019.

Company Ticker Symbol Market Cap (in millions)
GW Pharmaceuticals Plc GWPH $5,246.97
Curaleaf Holdings Inc CURA:CNX $4,937.82
Green Thumb Industries Inc GTII:CNX $1,444.79
Green Growth Brands Inc GGB:CNX $952.26
Acreage Holdings Inc ACRG.U:CNX $907.05
iAnthus Capital Holdings Inc IAN:CNX $885.57
Innovative Industrial Properties Inc IIPR $844.01
Harvest Health & Recreation Inc HARV:CNX $750.15
Origin House OH:CNX $743.05
MariMed Inc MRMD $647.90
Flower One Holdings Inc FONE:CNX $547.55
CV Sciences Inc CVSI $492.93
Medmen Enterprises Inc MMEN:CNX $463.29
Kushco Holdings Inc KSHB $433.93
Charlottes Web Holdings Inc CWEB:CNX $393.04
Cresco Labs Inc CL:CNX $362.23
Liberty Health Sciences Inc LHS:CNX $259.90
Trulieve Cannabis Corp TRUL:CNX $239.08
TILT Holdings Inc TILT:CNX $237.89
Planet 13 Holdings Inc PLTH:CNX $235.60
Mjardin Group Inc MJAR:CNX $136.05
Terra Tech Corp TRTC $77.10
Grow Generation Corp GRWG $74.71
Golden Leave Holdings Ltd GLH:CNX $70.70
DionyMed Brands Inc DYME:CNX $52.47

Source: The Marijuana Index, 2019

Pot Politics

Marijuana stocks, particularly in the United States, react to political moves associated with cannabis. For example, if politicians criticize the industry, the stocks can plummet. The cannabis industry is an evolving one, so investors should expect volatility if they invest in this sector.