The Small-Cap Marijuana Stock You'll Want on Your Radar | The Motley Fool
Thursday, Feb 1, 2018

The marijuana industry is growing at a breakneck pace, which is a big reason why investors haven't been able to stay away from marijuana stocks. A majority of the largest pot stocks (those carrying a $200 million market cap or higher) have doubled or tripled in value over the trailing year.

But this industry is about more than just double-digit sales growth. The public has also shifted its perception of cannabis in a big way. What was once viewed as a taboo topic is now a mainstream discussion. Nearly two out of three respondents in Gallup's October 2017 survey favored the idea of nationwide legalization. We witnessed Mexico legalize medical pot in June 2017, Canada push forward with legislation to green-light recreational marijuana by July 2018, and a multitude of U.S. states (29 in total) legalize cannabis in some capacity since 1996.

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Yet, in spite of these steps forward for the North American marijuana industry, numerous hurdles remain. For example, the U.S. would almost assuredly be the most lucrative market for weed if it were legal. However, it remains a Schedule I substance at the federal level, meaning it's entirely illegal, has a high potential for abuse, and has no recognized medical benefits.