The Priceline of Pot and a Game Changer for the Marijuana Industry: How Smart Investors Are Seeing Green

Unless you’ve been living under a rock, there’s a good chance you’ve heard that the Marijuana Industry is undergoing explosive growth across the United States.

While support for federal legalization of marijuana continues to grow, a small group of legal marijuana companies are strategically positioning themselves to cash in on this fast-growing trend in a really big way.

“The Priceline of Pot” and a “Game Changer” for the Marijuana Industry: How Smart Investors Are Seeing Green

Many experts agree that Legalized Marijuana is quickly becoming the next big gold rush as it continues to spread like wildfire across the United States. 

Needless to day, smart entrepreneurs are rushing to stake their claim in this promising new industry. The “Green Gold Rush” is quickly spawning numerous opportunities for growers, retailers, wholesalers, shippers, fertilizers, accessories, and of course the edibles. In other words, this is just the beginning!

Unfortunately, most investors know very little about legalized marijuana and because of this, they’re simply not prepared to capitalize on the opportunity to start a new business in this emerging industry.  

Luckily, there are a number of relatively easy ways the average investor can make impressive returns investing in the public markets. One good example is Leafbuyer Technologies, Inc. (OTC: LBUY).  This Denver, Colorado based company is a well-established industry leader, and is currently poised to profit from several, if not all areas of the booming legalized marijuana space.

Many people who got rich during the California Gold Rush of 1849, were not gold miners. Many savvy entrepreneurs became millionaires by building successful companies that provided prospectors and miners with important services and supplies.

In fact, California’s first millionaire was Sam Brannan, an ex-Mormon who hyped the Gold Rush in his newspaper, The California Star. He then profited from the Gold Rush by supplying miners—at extravagant prices—through his general stores in San Francisco and Sacramento. For a time, Brannan’s sales topped $5,000 a day. That’s the equivalent of $125,000 in today’s dollars.

Keep reading, and you’ll find more information on a savvy technology company may be uniquely positioned to profit from the marijuana boom, just like the entrepreneurs who got rich selling supplies during the Gold Rush back in the 1800s.

This company could very well be the best investment opportunity we’ve come across in years. 

Not only has Leafbuyer Technologies, Inc. (OTC: LBUY) been called a“game-changer” by NBC, but it has also been referred to as the “The Priceline of Pot” by thestreet.com.

Why? Well, because LBUY has become the definitive online resource for finding legal cannabis deals and specials. The company’s website, Leafbuyer.com, helps connect millions of consumers with dispensaries and suppliers all over the USA.

Remember what Priceline.com did for the global travel industry? Well that’s what Leafbuyer.com could soon do for the thriving legal marijuana industry. 

This is great news for investors, because LBUY is currently being traded on US stock exchanges, making it one of the very few, publicly-listed companies with solid growth and fundamentals available in the public markets.

Look at it this way. In a few years, the fast-growing legal cannabis arena could leave many investors reminiscing sadly over the ground-floor companies that got away, or it could leave them basking in the rewards of the lucrative opportunities they took advantage of.

Leafbuyer.com (OTC: LBUY)  is on the verge of being recognized by “The Street” which could blast the company’s stock into the stratosphere, in the near future!

In other words, smart investors may soon be embracing the ground-floor appeal of this new publicly traded company that’s being dubbed The “Priceline” of the legal cannabis industry. 

How Leafbuyer.com is Disrupting the Marijuana Industry (OTC:LBUY)

In case you didn’t know, Leafbuyer.com has already grown into the largest cannabis deals network in the entire country, with 5 million users monthly. First launched in Colorado, LBUY is poised at the epicenter of the projected expansion of America’s legal marijuana industry. It has already saved active pot consumers over $5 million, and that number is growing exponentially. Following the 2016 election, the company is expanding into California, Florida, Nevada, Massachusetts, Arkansas, and North Dakota.

LBUY currently services over 250 of the 600 dispensaries in the Denver area and based on its 1st quarter numbers, LeafBuyer.com is fast approaching a one million dollar run rate. And that’s after targeting just one potential market.

Obviously,the company’s growth rate will accelerate as it expands into 28 new markets. Assuming LBUY can duplicate its proven business model in each state, it’s easy to see how this up and coming company could quickly become one of the marijuana industry’s the biggest, and most influential players.

Chances are, you are familiar with Groupon, a company that connects its subscribers with local merchants who offer a variety of deals. Well, during 2016 Groupon raked in a whopping $3.1 billion.

Groupon has done for the consumer coupon industry, what Priceline.com has done for the global travel industry. And that’s exactly what LBUY has the potential to do for the legal marijuana industry!

LeafBuyer’s national network of cannabis deals and information already reaches millions of consumers every month. It is also the official cannabis deals platform of TheCannabist.com (owned by The Denver Post) and WestWord.com. 

The company is working with partners in each state, and plans to launch nationwide marketing initiative in the coming months. It goes without saying, as it opens new markets, Leafbuyer will scale operations as it offers an ever-growing selection of cannabis deals to more, and more consumers.

Cayla Shortley, Director of Sales at LeafBuyer is quoted as saying:

“We are excited to expand our platform to new and growing markets across the country. We are now beyond the tipping point. Our success in Colorado can be attributed to a customer-centric focus and intense grassroots marketing.”

“We have witnessed a strong demand for our online platform stemming from Colorado,” said Andre Leonard, Marketing Manager of Leafbuyer.com. “With the success we have had in the hub of the cannabis gold rush, it was an easy decision that our next step would be to scale operations nationally to these new markets.” 

When you consider how big the legal marijuana market is projected to grow in the near future, it’s easy to see how LBUY is on its way to becoming a monster Cash Cow!

Yes, we’re currently witnessing the first stage of a cannabis GOLD RUSH!

The only question is… will you get in on the ground floor? Or will wait until everybody knows that cannabis stocks are a great investment?

There’s an old saying that goes like this, “when everybody knows it’s a good investment, it’s no longer a good investment”.

And that holds true now, more than ever. Smart investors know that timing is a critical factor when it comes to profit hunting. Everybody knows what they say about the early bird. That’s right. He’s the one who gets the worm, or in this case, the massive returns. 

The dot.com era in the ’90s was responsible for turning Yahoo and eBay into the giant, multi-billion dollar companies they are today.Well, there’s another company that’s considered by far one of the most successful stories to come out of the ’90s dot.com boom. That company is Amazon.

All you have to do is watch the news to see that Amazon is on an absolute tear this year. Jeff Bezos and company recently acquired WholeFoods for 13.7 billion, and they’re fast on their way to becoming a $1 trillion-dollar juggernaut.

So How Big is the Legalized Marijuana Opportunity?

According to Forbes magazine, North American Marijuana sales grew by 30% to an astonishing 6.7 BILLION dollars.  They also estimate North American sales are projected to exceed 20 Billion dollars by 2021. That’s an annual compounded growth rate of 25%. In case you didn’t know, this growth rate is larger and faster than the dot-com era growth rate of 22%.

In other words, this represents one of the most exciting industries for investors that we have seen in more than a decade.

And if that’s not enough to grab your attention, you’ll be excited to know that in Canada, recently legalized recreational marijuana, promises to spark a brand new $22.6-billion industry. A new study also suggests that the Canadian pot industry will easily eclipse the sale of beer, wine, and spirits… all combined.

A soon-to-be-released Deloitte report entitled “Recreational Marijuana: Insights and Opportunities”, concluded that Prime Minister Justin Trudeau’s legalization of cannabis next year could add much needed fuel to Canada’s lagging economy.

Mark Whitmore, vice-chair of Deloitte, said in an interview on Wednesday (2).

“There hasn’t been anything like this — and granted it wasn’t legislated — but you think of the dot-com … flurry,”

The November 2016 election in the United States was a turning point, when we saw four more states vote to legalize recreational marijuana. This brought the total number of recreational use states to eight.

At the time of this writing, there are a total of 29 states, along with the District of Columbia that allow legal use of medicinal marijuana. And a number of states have pending medical and recreational marijuana legislation in the works. 

One of the biggest markets that will continue to have a huge impact on the legal recreational cannabis industry was the state of California, which boasts the 6th largest economy in the world.

Billions and billions of dollars could potentially be made from legal marijuana sales, in California alone.  That, in conjunction with the passage of marijuana laws in states like Florida, means that more than half of the American population will have legal access to medical or recreational cannabis. 

In fact, Nevada is shooting to be the first state in the nation to legalize cannabis social clubs. Imagine watching dozens of social clubs for pot users popping up along on the Vegas Strip. Of course, other states will follow Nevada’s lead, especially if the clubs offer states another stream of tax revenue from the sale of legalized marijuana.

We can all agree that it doesn’t take a genius to see that cannabis is already on its way to becoming a huge industry serving a massive consumer market!

Millions of marijuana users across America could rely on Leafbuyer.com (OTC: LBUY) to get connected to the best deals at dispensaries in their local areas. Plus, a variety of businesses using the company’s website are already thriving, and watching their sales increase exponentially.

Widespread acceptance of marijuana has become a huge part of pop culture with celebrities like Morgan Freeman, Patrick Stewart, Snoop Dogg, and Rihanna to name a few, being openly candid about their love affair with weed.

On top of that, a recent CBS News poll from 2017 shows that support for legalizing marijuana is higher now than ever. It concluded that a whopping 61% of Americans think cannabis should be legalized. This is a 5% increase from last year, and the highest percentage that has ever been recorded in the poll. (5)

The bottom line? A staggering 88% of Americans are openly in favor of marijuana use for medical or recreational purposes. That’s almost 9 out of 1o adults!

Colorado was the first state to legalize recreational marijuana, and while the naysayers said the initiative would never be a success, the numbers have proven them wrong, year after year. In just 10 months, the state saw 1 billion dollars in legal cannabis sales during 2016. (7)

According to the Tax Foundation, nationwide legalization of marijuana could generate up to $28 billion in additional tax revenues for federal, state, and local governments. (8). Needless to say, this is a great reason for bureaucrats to lend their support to the legalization of pot in their respective states.

Analysts at Cowen and Co. estimate the cannabis sector could be worth $50 billion by 2026 if you include black market sales entering the legal market. (9)

The fast-growing cannabis industry has helped many reluctant state legislators recognize the economic benefit of legalizing marijuana, and the taxes could reel in significant revenue for their state.

It’s simple logic. As more and more states legalize marijuana, more and more marijuana users will use Leafbuyer.com to find the best deals! (OTC: LBUY)

Below you’ll see the market cap on some marijuana stocks dominating the market right now, and how they’ve performed in the past year. (Figures are as of March 17th, 2017)

GW Pharmaceuticals (NASDAQ: GWPH): $3.0 billion, up 64%

Canopy Growth Corp. (NASDAQOTH: TWMJF): $904 million, up 259%

Aphria (NASDAQOTH: APHQF) $440 million, up 381%

Aurora Cannabis (NASDAQOTH: ACBFF): $482 million, up 299%

AXIM Biotechnologies (NASDAQOTH: AXIM): $562 million, up 1,720%

Corbus Pharmaceuticals (NASDAQ: CRBP): $450 million, up 431%

Medical Marijuana (NASDAQOTH: MJNA): $221 million, up 254%

While many of these stocks look maxed out, LBUY is just getting warmed up. And with the nationwide expansion of legalized Marijuana, Leafbuyer is perfectly poised to profit from an inevitable growth in revenue. 

Although the legal cannabis boom is still in its infancy, it’s quickly becoming mainstream. Shares of LBUY could be ready to take off as more traders uncover what could be the first “Green Gold Rush” in American stock market history!

By Maxwell Carlton 

Source: https://goo.gl/ct5ybC

Will These Be the Top Marijuana Stocks to Own in 2018?

GW Pharmaceuticals, Canopy Growth, and Insys Therapeutics have catalysts that could cause their shares to soar next year.

The marijuana market is growing rapidly and that's creating a lot of interest in owning marijuana stocks. However, investors need to pick what marijuana stocks to buy carefully. There's likely to be more losers in this industry than winners, and it could be a long time before any of these companies deliver consistent earnings per share.

If you're wondering what marijuana stocks could be top stocks in 2018, you might want to consider the catalysts ahead for GW Pharmaceuticals (NASDAQ:GWPH), Canopy Growth (TSX:WEED)(NASDAQOTH:TWMJF), and Insys Therapeutics(NASDAQ:INSY).

Eyes on the finish line

Unlike marijuana companies that are selling medical marijuana at dispensaries in states with medical marijuana laws on the books, GW Pharmaceuticals is pursuing Food and Drug Administration approval of a marijuana-based drug for epilepsy, and a decision from the FDA could happen early in 2018.

The drug -- Epidiolex -- has already delivered impressive efficacy in late-stage clinical trials, and if the FDA gives it a blessing, Epidiolex can sidestep the risk that Washington, D.C., starts enforcing federal laws prohibiting marijuana sales in states that have legalized it.

Although an approval of Epidiolex isn't guaranteed, results from its trials shows that it reduces the number of monthly seizures in patients with rare forms of childhood-onset epilepsy by about 40%. What makes this finding particularly impressive is that patients participating in trials were heavily pre-treated, having received a median of four prior therapies.

Clearly, Epidiolex offers important new hope to patients whose disease is inadequately controlled by currently available options. According to GW Pharmaceuticals, that's a big addressable market. There are 470,000 children with epilepsy in the U.S. alone, and one-third of epilepsy patients continue to endure seizures despite receiving treatment with existing medicines. Since epilepsy drugs can cost thousands of dollars per year, if Epidiolex is approved and it's priced similarly, it could generate annual sales into the nine figures.

While GW Pharmaceuticals hasn't filed for FDA approval of Epidiolex yet, management has said it's on track to file in the middle of 2017. That suggests a filing will happen soon. If the FDA awards Epidiolex a priority review, then a decision could come six months after the application is accepted by the FDA. Based on that timeline, Epidiolex could be commercially available by the middle of 2018, assuming manufacturing inspections go well and the Drug Enforcement Administration is quick to schedule it.

Going global

The U.S. marijuana market is getting bigger as more states pass pro-pot legislation, but it faces risks because federal laws still schedule marijuana as a Class 1 drug.

Rather than risk the Trump administration's crackdown of marijuana markets in America, it may be a better bet to look north of the border to Canada, where medical marijuana has been legal since 2001 and recreational marijuana could become legal soon.

IMAGE SOURCE: GETTY IMAGES.

The biggest marijuana stock in Canada is Canopy Growth, the well-funded marijuana producer behind the popular marijuana brand Tweed. Canopy Growth has over $100 million on its balance sheet, and it did $40 million in marijuana sales last fiscal year. It's using its deep pockets and cash flow to boost grow capacity, acquire smaller competitors, and establish itself as the go-to online marketplace for legal weed when recreational marijuana gets the green light in Canada.

As of now, the Canadian marijuana market is worth about $80 million per year, but analysts think it could grow to $5 billion once recreational marijuana markets are up and running. Undeniably, Canada offers Canopy Growth a big opportunity, but the company isn't relying solely on Canada to fuel future sales.

Last year, it acquired Medcann to gain access to Germany's emerging marijuana market, and in September, German regulators are expected to announce whether Canopy Growth will be awarded one of 10 licenses to grow marijuana within its borders. Canopy Growth also owns part of Bedrocan SA, giving it exposure to Brazil, and AusCann, allowing it access to Australia.

Currently, Canopy Growth's share price values the company at about $1.3 billion. Undeniably, that's a rich valuation for a company with only tens of millions of dollars in sales and no profits last year. However, if the recreational market in Canada (and elsewhere) leaps forward in 2018, shares could still head higher.

Getting back on track

It's been a rough go for Insys Therapeutics investors. The company's been under scrutiny ever since former executives were arrested on charges of illegally marketing its opioid spray Subsys for off-label use. A revolving door in the C-suite and ongoing investigations have done little to help the company stay focused on launching its marijuana-based drug, Syndros, and developing cannabidiol drugs like Epidiolex for tough-to-treat epilepsy.

The challenges have sent shares reeling, but Insys Therapeutics has a new CEO, and he's saying all the right things.

On the company's last quarterly conference call, management said it wants to resolve outstanding investigations, and now that it has DEA scheduling in hand for Syndros, it should begin marketing it soon. Furthermore, it appears ready to jump-start its drug research program for cannabidiol, a non-psychoactive chemical cannabinoid found in cannabis that's the active ingredient in Epidiolex.

It's anyone's guess when (or if) the company settles investigations, but investors would likely applaud news of that happening. It's also unclear how much of the market Syndros will capture, but the opportunity there is big enough to move the needle for investors, too. Syndros is an oral formulation of the THC-drug Marinol, and the generic Marinol market is worth about $200 million annually. 

Getting its marijuana research and development back up to speed could also be good news. In addition to researching CBD in epilepsy, it's evaluating CBD as a pain treatment alternative to opioids as well.

Overall, this is a beaten-down marijuana play with a lot of potential market-moving news in the coming year or two, and that could make it a top-performing marijuana stock in 2018. 

By Todd Campbell

Source: https://goo.gl/MzHxDE

10 Canadian Marijuana Stocks For Your Portfolio

Unlike its southern neighbor, Canada legalized medical marijuana back in 2001. That means that the industry has evolved a lot more and is not plagued with restrictions across state lines, as is the case in the United States, where there are about 28 states where pot is allowed for medical use. Further, a task force commissioned by the Canadian government came out with a report in November 2016 with recommendations for changing the current regulations and paving the way for legalization of pot for recreational purposes as well. In the United States, currently only 8 states have legalized marijuana for recreational use.

(Read Also: Legal Weed Market To Triple In 5 Years)

While uncertainty prevails in the United States, investors could get a piece of the pot action by investing in Canadian stocks traded in the country in the over-the-counter (OTC) markets. Most of these stocks can be labeled as penny stocks, so any investment may carry a significantly higher risk component. Here's a look at some of those companies.

Market Cap: $1.2 billion1. Canopy Growth Corp.

With its market cap exceeding a billion dollars, Canopy (OTC: TWMJF) is touted as Canada’s first unicorn in the pot market. While the company sells its produce under various brand names, the brand ‘Tweed’ has had the most recognition, thanks to its affiliation with rapper Snoop Dogg. The 1-year return for the stock in the OTC market has been 316% as of February 2, 2017.

2. Aurora Cannabis

Market Cap: $514 million

Aurora Cannabis (OTC: ACBFF) debuted on the Canadian venture stock exchange (TSX) in October 2016. In addition to producing dry cannabis, Aurora received a license to sell cannabis oil in January 2017. It has been around longer in the OTC market, returning 345% over a 1-year period as of February 2, 2017.

3. Aphria Inc.

Market Cap: $474 million

The company calls itself one of the lowest cost producers of marijuana. Aphria (OTC: APHQF) produces dry cannabis as well as cannabis oil of varying qualities and strength. In its last reported financial statement, it sold nearly 639 kgs equivalent of product in three months up to November 2016. The stock put up an extremely robust performance, giving 386% return for the 1-year period as of February 2, 2017.

4. SupremePharma

Market Cap: $164 million

The company produces marijuana under the banner of its wholly-owned subsidiary 7Acres. In December, SupremePharma (OTC:SPRWF) announced a private placement financing deal worth CAD 55 million or close to $42 million USD to expand its Hybrid Greenhouse facility and other working capital requirements. The stock’s 1-year return is 334%

5. OrganiGram Holdings

Market Cap: $215 million

This company's portfolio includes dry cannabis and cannabis oil, along with accessories like vaporizers that can be purchased on its website. Although it promises organic produce, OrganiPharma (OTC: OGRMF) issued a product recall in December 2016 because the products contained pesticides not approved for marijuana growing. The stock has still managed to return almost 270% for a 1 year period as of February 2, 2017.

6. Emblem Corp.

Market Cap: $182 million

Emblem (OTC: EMMBF) is another newly-listed company on the Canadian exchange. A few days after listing, the company announced that it was sitting on a cash pile of CAD 27 million that it was looking to deploy in expansion. Soon after, it got a go-ahead from Health Canada to begin production of cannabis oil.

7. PharmaCan Capital/The Cronos Group

Market Cap: $169 million

This company is in the business of investing in pot growers and companies in the marijuana business. PharmaCan’s (OTC: PRMCF) portfolio currently consists of 6 companies. It owns 2 of these companies completely—the rest it holds a minority stake in. The stock has had a rocky year, and has still returned 592% for the one year period as of February 2, 2017.

8. Emerald Health Therapeutics

Market Cap: $70 million

Emerald Health Therapeutics (OTC: TBQBF) is also a producer of dry cannabis and cannabis oils for medical use based out of British Columbia. New Cannabis Ventures reports that the company raised CAD 10 million in equity from Dundee Capital. The stock has been on an upward trend with a whopping 629% return for a 1 year period as of February 2, 2017.

9. THC BioMed International

Market Cap: $51 million

This is primarily a bio-tech company engaging in research & development on marijuana also dabbling in providing training and solutions to licensed growers. A big boost for THC BioMed (OTC:THCBF) came in December 2016, when it got the green light from the authorities to start shipping marijuana plants for licensed growers across the country. But the upside was short-lived as the company announced in January 2017 that it will be restating its financials, causing the stock to take a hit. Even so, the 1-year return as of February 2, 2017 is an impressive 747%

10. iAnthus Capital

Market Cap: $38 million

This company is scooped cannabis based businesses south of the border in 4 states across the United States. Last December iAnthus (OTC:ITHUF) announced its first complete cannabis related acquisition with the $4.375 million purchase of Colorado based Organix, a medical and recreational pot dispensary. iAnthus’ other investments also include financing and management deals with 3 other companies, totaling potentially 8 licenses for marijuana businesses, 9 dispensaries and 4 cultivation facilities. The 1-year return on the stock is close to 16%

Source: http://www.investopedia.com/investing/10-canadian-marijuana-stocks/

Medical Marijuana ETF To Debut Soon

It is often said in the exchange traded funds (ETFs) business that “all of the good ideas are taken.” Well, maybe not. The legal marijuana industry is booming in the U.S. and, as of now, there is not a dedicated ETF that investors can tap to play that trend.

That could change as ETF Managers Group (ETFMG), a New Jersey-based company that helps ETF sponsors bring their products to market, has filed plans for the Emerging AgroSphere ETF. Assuming the Emerging AgroSphere ETF comes to life, it will track an index created by BE Asset Management.

That index "tracks the performance of the exchange-listed common stock (or corresponding American Depositary Receipts (“ADRs”) or Global Depositary Receipts (“GDRs”)) of companies across the globe that (i) engage in lawful medical research intended to lead to the production of government-approved prescription drugs which utilize natural or synthetic versions of the cannabidiol CBD and other cannabis-based extracts, (ii) are involved in the production or sale of products which are legal derivatives of industrial hemp, or (iii) are involved in the supply chain of either category of company. The Fund will not invest in any companies that are focused on serving the non-medical marijuana market in the United States, Canada or any other country unless and until such time as the production and sale of non-medical marijuana becomes legal in the United States, Canada or such other country, respectively," according to a filing with the Securities and Exchange Commission (SEC).

Interested investors should note that Emerging AgroSphere ETF, again assuming it hits the market, will focus on medical marijuana. That means the ETF will not be a play on the highly lucrative recreational marijuana markets that are popping up across the U.S. Colorado is generating handsome tax revenue from legal recreational marijuana and the same could hold true for other states in the future. For example, during the 2016 elections, Californians voted to legalize marijuana for recreational use, and the largest U.S. state by population will see its first recreational pot stores open in 2018.

"Currently, 28 states plus the District of Columbia have laws and/or regulations that recognize, in one form or another, legitimate medical uses for cannabis and consumer use of cannabis in connection with medical treatment," according to the ETFMG filing with the SEC. "Even in those states in which the use of medical marijuana has been legalized, its sale and use remains a violation of federal law."

The filing did not contain a proposed ticker or expense ratio for the marijuana ETF. Those are often signs that a new ETF is close to coming to market, so it could be a while before investors can access the Emerging AgroSphere ETF.

By Todd Shriber

Source: http://www.investopedia.com/news/maybe-medical-marijuana-etf/

Here's Why This Marijuana Stock Jumped 15% This Week

Despite a host of operational struggles (more on that in a minute), Insys Therapeutics '(NASDAQ: INSY) share price climbed 15% this week after management provided a limited update on its progress developing medicine made using marijuana's chemical cannabinoid, cannabidiol (CBD).

A welcome bit of news

On Wednesday, Insys Therapeutics management put out a press release announcing that patients who have been participating in safety studies for its oral CBD -- a non-psychoactive chemical cannabinoid -- would be allowed to continue receiving up to 40 mg/kg/day of CBD through investigator studies, at no cost.

IMAGE SOURCE: GETTY IMAGES.

In reporting this news, Insys Therapeutics' interim CEO Dr. Santosh Vetticaden said, "We are pleased that investigators have deemed it appropriate to continue patients on Cannabidiol Oral Solution beyond 48 weeks of treatment and we remain dedicated to making our product available to them."

The update on the company's CBD program doesn't provide a lot of meat for investors to digest, but it does suggest that Insys Therapeutics hasn't abandoned programs to develop CBD for epilepsy and, possibly, other indications. Lately, I had started wondering if the company's operational struggles due to its opioid pain medication Subsys would lead it to sideline its CBD program, especially since GW Pharmaceuticals (NASDAQ: GWPH)  has plans to file a competing CBD medicine for Food and Drug Administration (FDA) approval soon.

A company without a rudder?

Over the past two years, Insys Therapeutics has been mired in controversy surrounding its sales and marketing of Subsys, a fentanyl spray. Subsys won an FDA okay in 2012 for use in breakthrough cancer pain, a specific type of pain experienced primarily by patients with terminal forms of late-stage cancer. Despite a relatively limited addressable patient population, Subsys' prescription volume and Insys Therapeutics' sales surged to more than $300 million per year in 2015.

However, recent investigations suggest Subsys' rising demand wasn't due to increased use in cancer patients, but an over-the-top marketing campaign that has since led to the arrest of former Insys Therapeutics' executives on kickback charges.

Subsys' investigation has created a revolving door in Insys Therapeutics' C-suite. The company's CEO Michael Babich was shown the door in late 2015, and he was replaced by founder and chairman Dr. John Kapoor. Babich was arrested in December for his alleged role in the kickback scheme.

Last summer, Kapoor announced he would be stepping down from the top spot to pursue other opportunities, and he made good on that promise on January 9th. In his place stepped Vetticaden, the company's chief medical officer, who, according to SEC filings, received an option grant for 30,000 shares of common stock and will receive "additional cash compensation (above and beyond his normal salary as chief medical officer) in the form [of] a $25,000 monthly cash stipend payment for each month in which he serves as the Interim CEO."

Currently, it's unclear how the company's search for a permanent CEO is progressing, how long Vetticaden will remain in his interim position, or how focused management is on its research and development (R&D) projects, given all the distractions.

Big question marks

Even a small hint that R&D is continuing on CBD is good news, but there are so many questions that need to be answered before I think that this stock is investment-worthy, again.

For one, the Subsys case is still underway and it's unclear if it could result in costly fines or other penalties to Insys Therapeutics. Subsys' sales have also been falling steadily as doctors shun opioids because of their abuse potential, and it's not clear when those sales will find their floor.

The launch timing of Insys Therapeutics' reformulation of the marijuana-based drug marinol remains unknown because the company's yet to receive DEA scheduling, despite winning FDA approval last year. Furthermore, while the company's researching ways to expand its spray technology to other medications, there's no telling when that research will lead to an FDA application for approval.

Given that backdrop and the fact that Insys Therapeutics appears to be miles behind GW Pharmaceuticals in developing CBD for epilepsy, it's not hard to make a case for investors to continue approaching Insys Therapeutics' stock cautiously.

Last year, GW Pharmaceuticals reported results from three separate trials of its CBD drug Epidiolex, showing it reduces monthly seizures in rare forms of childhood epilepsy by about 40%. Assuming GW Pharmaceuticals files for FDA approval, as expected, Epidiolex could become commercially available as soon as 2018.

Therefore, until Insys Therapeutics' questions get answered, all but the most aggressive of investors might be better off focusing on other investment ideas.

10 stocks we like better than Insys Therapeutics 

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By Todd Campbell
Read more: http://www.fool.com/investing/2017/02/17/heres-why-this-marijuana-stock-jumped-15-this-week.aspx#ixzz4ZMSjtBlY

Marijuana Stocks: Plenty of Business Diversity, Yet One Common Theme

Marijuana, excuse the pun, has been growing like a weed for some time now. Just 21 years after California became the first state to legalize cannabis for medical purposes, there are now a total of 28 states that have legalized medical marijuana. Likewise, just a little over four years after voters in Washington and Colorado voted to legalize recreational pot, eight states in total have done so.

Marijuana's blazing growth

One reason cannabis has been gaining such rapid momentum in the U.S. is the improving opinion of pot among the general public. National pollster Gallup has been conducting surveys on marijuana for nearly five decades, and the percentage of the public that'd like to see it legalized nationally has increased from just 25% in 1995 to 60% (an all-time high) in 2016. As favorability toward the drug improves, more and more states have been legalizing pot either for medical or recreational uses.

Image source: Getty Images.

governments have played their role, too. Legally growing and selling marijuana provides new channels of revenue for state governments to collect taxes and licensing fees. In Colorado, $135 million in tax and licensing revenue was collected in 2015 on $996.2 million in legal weed sales, while in California, the passage of Prop 64 this past November (which legalized recreational pot) is expected to add an estimated $1 billion in tax revenue to the state.

Lastly, the significant growth potential behind marijuana has been an allure. Legal marijuana sales hit $6.9 billion in 2016 according to cannabis research firm ArcView, a 34% increase from the previous year. ArcView believes this figure could grow to $21.6 billion by 2021, while investment firm Cowen & Co. believes legal pot sales could tip the scales at $50 billion by 2026.

Marijuana stocks offer plenty of business diversity

This latter point is what's attracted a flurry of marijuana companies to go public in recent years, giving investors a veritable sea of marijuana stocks to choose from.

One thing marijuana stocks definitely don't lack is business diversity, offering investors a lot of ways to potentially capitalize on marijuana's growth.

Image source: GW Pharmaceuticals.

Perhaps the most well-known cannabis stock is cannabinoid-based drug developer GW Pharmaceuticals (NASDAQ: GWPH) . GW Pharmaceuticals has discovered more than five dozen different cannabinoids from the cannabis plant, and it uses these cannabinoids to access the natural CB receptor system in our bodies. Easily the most successful experimental drug to date in GW's portfolio is Epidiolex, a cannabidiol-based drug that met its primary endpoint in phase 3 studies for two types of childhood-onset epilepsy, Dravet syndrome and Lennox-Gastaut syndrome.

Along those same lines, Medical Marijuana (NASDAQOTH: MJNA) licenses its cannabinoid testing and research to the medicinal cannabinoid industry. Medical Marijuana also provides management and consulting services, as well as chewing gum-based cannabis products.

But there are numerous pot stocks outside the biotech realm. Right now there are companies that are:

• Developing marijuana breathalyzer devices for law enforcement;
• Focused on consulting services for pot businesses;
• Manufacturing THC-infused beverages and foods;
• Providing banking solutions to marijuana companies;
• Developing cloud-based technology to run point-of-sale and ordering systems for pot retailers;
• Providing marketing services;
• Leasing cultivation space and facilities;
• Developing new and innovative lighting products for indoor grow farms.

This list could go on for quite some time. The point is that retail sales from dispensaries are far from the only way marijuana businesses are looking to take advantage of legal sales growth.

Image source: Getty Images.

Marijuana stocks share one common theme

Unfortunately, despite this business diversity, marijuana stocks do share something in common: they're basically all losing money, and there's nothing to suggest that this money-losing trend will ebb anytime soon.

Some investors might be quick to point to INSYS Therapeutics (NASDAQ: INSY) , a profitable stock commonly called a "marijuana stock", to debunk this thesis. However, INSYS generated essentially all of its $55.2 million in sales during the third quarter from a sublingual drug known as Subsys, which isn't marijuana-based. It's not exactly fair to refer to Insys as a marijuana stock until it generates a decent percentage of its sales from its dronabinol-based medicines.