Image Source: UnsplashFor the trading week ended December 20, 2024, my proprietary Canadian Cannabis Company Index (MCCCI) decreased by 1.4% compared to the prior week when it decreased by 8.6 %. The index consists of 14 stocks, many of which are among the most widely held holdings of the 3 ETFs (MJ, CNBS, and THCX) that I consider to be a reliable barometer of the Canadian cannabis sector. MCCCI’s differentiated business model is both weighted and market capitalization-based because I believe that this approach best represents the current landscape of the Canadian cannabis sector. Now let us look at this week’s good, bad, and ugly stocks, shall we?The GoodThere was 1 stock that increased by more than 10%, which is my metric for inclusion in this category: ROMJF +10.1%. Rubicon Organics Inc. has been on an upward trend since they obtained a secured credit agreement last month.The BadThere was 1 stock that decreased by more than 10% (but less than 20%) which is my metric for inclusion in this category: CBWTF -13.9% On 11/8/24 Auxly Cannabis Group Inc. reported lackluster Q3 results of operation and the stock has trended downward since then.The UglyThere were no stocks that decreased by 20% or more, which is my metric for inclusion in this category.Valuation Metric ReviewThere was a 1.8% decrease in the “Big 4” (3 of which decreased) compared to the prior week when there was a 9.5% decrease. The stock-price-based metric decreased by 4.6% compared to the prior week when it decreased by 8.6%.RecapThere was a 1.4% decrease in the relative strength index compared to the prior week when there was a 8.6% decrease. 3 of the 14 MCCCI stocks increased, as froth hamstrings the sector. DEFCON 1 alert remains in effect, given challenging metrics. Let us see how this volatile sector has performed at the same time next week, shall we?Author’s Note: Apologies that ongoing health issues have caused a temporary sabbatical from my weekly report.More By This Author:The Canadian Cannabis Report – Monday, Nov 25
The Canadian Cannabis Report – Monday, Nov 18
The Canadian Cannabis Report- Monday, Nov 11
