According to Jim Cramer everyone is crazy about marijuana when news comes out that Canada is planning to legalize it on a national level. According to him, companies engaged in this business will "fly to the heavens" in the long run.
The effect of legalizing marijuana in Canada will drain long after this happens and will be a critical moment for the industry. Potentially, cannabis will face strong competition against the beverage, beer, sports drink, tea, coffee, tobacco, and all kinds of medicines, and these are trillions dollar business.
At the moment there is a stock buyout of any company in the cannabis industry, but according to Cramer, when the markets and emotions subsided, Canada's legalization has started, investors will start choosing more closely where to buy and what to buy.
The recent example is Canopy Growth, which reached a 52-week growth on Tuesday as news that they could buy the US-based Cannabis Sativa-based Evergreen Company and subsequently closed the session with 6.82%. Shares of Constellation Brands rose slightly by 1.45%.
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