Why MedMen Stock Deserves Investor Attention
You don’t have to be a contrarian investor to see why MedMen Enterprises Inc (OTCMKTS:MMNFF, CNSX:MMEN) stock could be worth considering.
But if you are a contrarian investor, then this just might be the biggest opportunity on the market.
Unless you’ve been living under a rock, you’ve probably heard of the cannabis boom. Once deemed a highly illegal substance, pot has now grown into a full-fledged industry, with some companies commanding billions of dollars in market capitalization.
In recent months, though, sentiment has changed towards the marijuana industry.
Investors seem to have realized that, while the marijuana industry has serious growth potential, not every pot company can achieve what it set out to do. And, as another earnings season has kicked off, anything that’s less-than-stellar could trigger a sell-off.
MedMen Enterprises Inc happens to be one of the heavily sold-off pot stocks.
Headquartered in Culver City, California, MedMen operates 32 cannabis retail stores, meaning it is already one of the bigger players in America’s pot retail business.
And that was just a start. Including its pending acquisitions, the company is licensed for 70 retail stores in nine states. (Source: “Corporate Presentation October 2019,” MedMen Enterprises Inc, last accessed October 30, 2019.)
MedMen reported earnings on Monday, October 28 after the closing bell…and investors didn’t take the news that well. In the trading session following the earnings release, MMNFF stock plunged a staggering 21.6%. Ouch!
And things didn’t get much better after that. On Wednesday, when the U.S. Federal Reserve lowered its benchmark interest rates and the market rallied, MedMen stock slipped another 4.6%.
Usually, when you see a stock dropping by this much, it indicates that something went seriously wrong at the company. So, is this the case with MMNFF?
Let’s take a look.
Published: November 01, 2019
Founder & Interim Editor of L.A. Cannabis News