2020 Cannabis Report
KeyStone’s 2020 Cannabis Report is a follow up to our initial report on the Cannabis sector (released in late 2018). The initial report highlighted some troubling features of the Cannabis space which resulted in an unacceptably high level of risk and led to our recommendation to avoid Cannabis stocks at legalization and into 2019. Now just over a year since federal legalization we provide an updated outlook on the sector as companies have began to post track records. In our 2020 report we provide industry commentary and review the now 215 Canadian-listed Cannabis stocks, grouping each by revenue and profitability into 4 categories. We consider the sector generally to possess well above average risk but there will be a number of select winners over the next 2-5 years. After categorizing each of the 215 companies we provide speculative ratings on a few potential winners that are currently operating profitability, dominating their primary market and rank attractive on a current valuation basis.