Virginia just voted to legalize recreational cannabis, making it the first southern state to go legal. This is another big step forward for the U.S. cannabis industry and another big win for cannabis investors.
I’m going to reveal one company, valued at $1 billion and growing quickly, that could be the best investment play on Virginia’s big legalization move.
Why Virginia and Why Now?
Virginia is the 16th U.S. state to legalize recreational cannabis. Here are some more details from mjbizdaily.com.
Virginia lawmakers on Saturday narrowly approved compromise legislation legalizing a commercial recreational marijuana program that could generate nearly $1.5 billion in annual sales within five years of the scheduled Jan. 1, 2024, start. Virginia would become the country’s 16th state and the first in the South to legalize adult-use marijuana as soon as Gov. Ralph Northam signs the bill, as he is expected to do.
Marijuana legalization may already be putting pressure on alcohol companies.
The maker of Jack Daniels, Brown-Forman (NYSE: BF-A) (NYSE:BF-B), released its annual report on Thursday, which included a laundry list of risks -- among them, recreational marijuana.
"Consumer preferences and purchases may shift due to a host of factors, many of which are difficult to predict," it noted, "including… the potential legalization of marijuana use on a more widespread basis within the United States."
Recreational marijuana use is currently permitted in Colorado and Washington, while at least 22 states have legalized cannabis for medical use.