Yes, legal weed is currently in a bubble. People are being just as stupid here as they were with Bitcoin. Canopy currently has a market cap of $12.3 billion on sales TTM sales of just under $88 million. Tilray is far worse with a market cap of $19.7 billion on TTM sales of $27.6 million. Anyone buying Tilray at these prices is making an astoundingly risky bet for what I consider to be very limited upside.
it's certainly feeling like a bubble. it'll be interesting to see who emerges on top in a few years, when all the dust settles. tilray got way over-hyped because it was the first public pot stock on the nasdaq.
but like cryptocurrencies, the pot industry isn't going anywhere. at the state level, things have progressed past the point of no return. it's only a matter of time before the feds come around and reschedule cannabis. that'll probably cause another cycle of new investment.
Extremely overpriced, I would advise everyone to stay far away from marijuana stocks. "Once it becomes more legal and laws become more relaxed their profit margins will shrink to almost nothing since people will be able to easily grow their own.
we are a very long way from market saturation. there is an incredible amount of new demand. it's actually fucking annoying as a consumer---like 80% of the people i see in the shops now are normie weekend warrior types who take forever at the counter because they've smoked weed like twice in their life.
and there's no way most people will ever grow their own. especially when you consider how hyper-consumerist society is now. growing takes months of preparation, hard work and often good luck (regarding weather, unless you have good indoor growing space).