I bought 5000 shares of Medical Marijuana, Inc (ticker symbol MJNA) last week. The stock price was 20 cents per share. I’m convinced marijuana will be legalized in the United States (it’s already legal in Colorado and Washington State, 20 other states allow for medical marijuana). In his State of the State message last week, New York Governor Andrew Cuomo announced that medical marijuana would be made available at 20 NY hospitals. That is just the beginning. I’m sure more legalization of marijuana initiatives will be on state ballots in November. Even President Obama said in an recent interview with The New Yorker that he considers weed to be similar to alcohol. The tide for legalization of marijuana is growing stronger. I also bought more shares of Lorillard (LO) maker of Newport cigarettes and a leader in the electronic cigarette market. I’m betting that the tobacco companies will be heavily involved in the marketing, distribution, and tax collection of marijuana in the years ahead. I’m playing the Long Game because it will probably take 10 years for weed to be completely legalized. If I’m right, the share prices of these stocks will soar!
Despite legalization here in Washington for recreational marijuana (medical was already legal), the state is dragging its feet in implementing the law.
Bob, the Mexican drug cartels aren’t happy with the legalization of one of their cash crops. That may account for some of the slow-down.
That was weird. After reading it, I got this picture of George Kelley looking like one of those arch-villains in the old pulp magazines, secretly behind the Opium Empire stretching its tentacles across the United States as you sit in your underground lair wearing a cape and playing on your organ…..
No, Dan. I’m just here counting my money. MJNA closed up on Friday when the Market was down 300 points.
A long game indeed. When I was in college (late 1970s), I had a professor who assured us that the major tobacco companies already had packaging and promotional material ready for the day marijuana was legalized. I’d love to see some of that disco-era advertising they came up with!
Me, too, Deb! Part of the push for legalization of weed is the states’ need for something to tax to pay for increasing Medicaid costs.
Deb, I remember hearing that too.
I picture Jim Carrey in the outfit from The Mask, saying “Smokin’!”
Jeff, MJNA is smokin’! Since I bought the stock last week, it’s moved up 11 cents to 31 cents a share. Every time MNJA moves up a penny, I make $50. UPDATE: I just checked MJNA and it’s up to 35 cents a share this morning!
Capitalist pig! Exploiter of the masses! Dope pushing destroyer of children! Oppressor of the proletariat! (Add smiley face here.)
One of the obstacles for the state is that boo is still illegal on the federal level. Many investors don’t want to back weed here for fear that Uncle Sam will crack down on it. I don’t think the cartels have much to do with it.
Bob, last week when the President said that he considered marijuana equivalent to alcohol I think that sent a strong signal to the Federal drug enforcers. Colorado and Washington State are experiments. If things work out, legalization will follow in all of the states.
Bob’s right, but ALSO there are a lot of blue noses in the admin end of the state government who want to throw every imaginable roadblock in front of the go-and-buy-it reality, including shy high taxing. That ounce I could have bought for $10 in 1968 will cost $450 once it’s available. Prices like that will push a lot of smokers into the black market. Those same blue noses at the Fed level will never allow a legal marajuana drug.
Even here where medical marijuana is supposed to be legal, the state is constantly raiding the farms and dispensaries in search of illegal use (selling on the side or w/o Med-M prescription card) and then cleaning out the entire stock, packaged and in ground. Plus they keep records of everyone who has a medical marijuana card and have raided (“inspected”) the homes of those people, supposedly looking for health code violations (non-flushing toilet, etc.) while really looking for any other drugs and just hassling in general. The marijuana is bad! majority will not go down easily or soon.
Rick, you’re right. There will be resistance to legalization of marijuana. But the tide is turning for legalization. By the way, I just checked MJNA and it’s now 38 cents a share. I’ve almost doubled my investment in a week!
A guy was murdered by five teenagers in a pot sale gone bad last week, here in town. The black market is still the only place to buy recreational boo right now. And as Rick observed, the anti-weed crowd is doing all it can to slow down the process of allowing stores to open. Personally, I don’t use the stuff, but I hate to see the law abrogated via these back door tactics.
Bob, I’m not a weed user either. But I am a capitalist so when I see an opportunity to invest in an emerging market, I’m ready to go. Colorado’s roll out of legalized marijuana may become the model. I’m with you on the tactics of the opponents of legalized marijuana. It’s the Law. Deal with it.