A recent sale in my portfolio capturing some significant gains and booking profits.
The recent run-up in Marijuana stocks has been a sight to behold. Investors seem to be in a FOMO frenzy, whether purely an excitement and positioning for the legalization or recreational use of marijuana in Canada come summer 2018, or a Santa Clause rally, or year-end window dressing by institutions…it’s hard to tell. However, when the market offers such spectacular returns in a short amount of time, I remain skeptical of whether this momentum will hold. See the following chart of the Marijuana Index and the returns in the last few weeks/months.
I could be making a mistake by selling too early, but I decided to sell and take my profits in one of my marijuana stock holdings. I came upon this company purely by dumb-luck and decided to gamble and take some risk in my tax free account – and that has paid off pretty well.
I sold and closed my position in Canada House Wellness (CHV.C). I sold CHV.C @ CAD$0.67. I bought the stock just over a month ago and the stock price has more than doubled since.
Total Profit: 112.7%
Holding Period: 35 days
Full Disclosure: Our full list of holdings is available here.