Cannabis Stocks are at Risk without Help from Trump

Cannabis stocks seem to be gaining favor again.  This, following the confirmation of RFK Jr. as Secretary of Health and Human Services.

Terrance Cole is President Trump’s pick to lead the Drug Enforcement Agency (DEA).  And unlike RFK, he is no friend to the cannabis industry.  Check out this 2024 post from Cole:

With that goofy grin and sense of bureaucratic entitlement, Cole has made it clear that the last thing he’ll ever sign off on is the legalization of rescheduling of cannabis.

Then consider U.S. Attorney General Pam Bondi.  While serving as the Attorney General of Florida, Bondi filed a 57-page challenge to a ballot initiative that would’ve allowed sick people access to medical cannabis.  Including veterans and first responders.

There’s also the new White House Budget Director, Russ Vought, who pushed to roll back state level cannabis reforms.  And Senator Majority Leader John Thune, who opposed the reclassification of cannabis under the Controlled Substances Act.  He has signaled that he believes it's perfectly acceptable for cannabis to hold the same classification as heroin and LSD. 

And of course, there’s House Speaker Mike Johnson.  Johnson voted against a bill designed to protect state cannabis programs from federal intervention.  He also voted against amendments to ease restrictions on carrying out studies on Schedule I substances, and voted in favor of a 2021 anti-reform measure to remove protections for universities that research cannabis.

Understand, I’m not telling you about this because I find any lawmaker’s opposition to cannabis legalization both misguided and flawed.  Indeed, that is how I feel.  But the point of bringing this up today is to provide you with some clarity on cannabis policy as it pertains to cannabis stocks.

Cannabis Stocks: where do we go from here?

As you know, I helped Energy & Capital readers make an absolute fortune in cannabis stocks.  My three biggest winners were:

But that was at the dawn of the legalization movement.  And while it’s still very much underway, those looking to get rich from cannabis stocks are likely to be disappointed. 

The only way we’ll see any legitimate progress on legalization or at the very least, rescheduling, is if President Trump personally pushes for it.  And whether or not that’ll happen is anyone’s guess.

So while I remain optimistic that we’ll continue to see positive developments at the state level, on a federal level, I’m not holding my breath.  And I’m certainly not betting on any big moves in cannabis stocks based on the assumption that the Trump administration will make reform a priority.

That being said, if you want to keep some cannabis stocks on your radar, these are the ones you should keep an eye on:

• Curaleaf (OTCBB: CURLF)
• Trulieve Cannabis (OTCBB: TCNNF)
• Green Thumb Industries (OTCBB: GTBIF)
• Verano Holdings (OTCBB: VRNOF)
• Cresco Labs (OTCBB: CRLBF)

Of course, we’ll continue to follow any and all cannabis policy in Washington.  And if we see any indication that Trump will take the reins on this, we’ll certainly let you know.  As there could still be an opportunity here to make a few bucks.

In the meantime, if you’re looking for an opportunity that won’t require a lot of waiting and watching, consider this bitcoin loophole strategy that’s already allowed us to score gains in excess of 6,700%.  That’s far more than you’ll ever make from cannabis stocks.  

Based on recent returns, this is the kind of thing that can turn $5,000 into more than $348,200.  And if you don’t believe it, just look at the evidence for yourself.

To a new way of life and a new generation of wealth…

Jeff Siegel

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Jeff is an editor of Energy and Capital as well as a contributing analyst for New World Assets.

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