Prospects of Marijuana Banking Reform Drive Canopy Growth Stock Up by 20%
Thursday, 18 April 2024, 16:59
Support for SAFER marijuana
Current law discourages banks from extending loans to marijuana businesses or allowing them to open bank accounts. If passed, the Secure and Fair Enforcement Regulation (SAFER) Banking Act would change this.
- The NCSL argues that SAFER won't legalize cannabis but will enable banks to serve marijuana businesses in states where it is legal, reducing operating costs.
- Legislators push for the reform to facilitate state regulation, reduce crime rates, and enhance business profitability.
Investment Considerations
Analysts caution against expecting Canopy Growth to turn profitable soon, with projections extending to 2028. Investors should review long-term prospects and industry trends before making investment decisions.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.