Marijuana stocks got a boost today following the reintroduction of a long-awaited bipartisan banking bill aimed at reforming the cannabis industry. Senators Jeff Merkley (D-OR), Steve Daines (R-MT), and Representatives Dave Joyce (R-OH) and Earl Blumenauer (D-OR) refiled the bill in their respective chambers on Wednesday. Top movers included:
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- Canopy Growth (NASDAQ:CGC)
- Tilray (NASDAQ:TLRY)
- Cronos (NASDAQ:CRON)
- Trulieve Cannabis (OTC:TCNNF)
The Secure and Fair Enforcement (SAFE) Banking Act, as it’s known, has a goal to offer crucial banking and financial services to legitimate marijuana businesses while also protecting banks that collaborate with them from federal backlash. Senator Merkley highlighted the urgent need to transition from an all-cash model, which he believes encourages robbery, money laundering, and organized crime. With the bill’s reintroduction, there’s now a clear route for the SAFE Banking Act to make its way through the Senate Banking Committee and ultimately be voted on in the Senate.
Of the aforementioned stocks, the biggest winner so far is Trulieve, with a gain of 13.05%. In addition, it is also the most favored by analysts, with a Moderate Buy rating and more than 95% upside potential, thanks to an average price target of $11 per share.
