10 Best Pot Stocks To Invest In According to Analysts

2. TerrAscend Corp. (OTC:TSNDF)

Share Price (As of December 23): $0.65

Analyst Upside: 160%

Next on our list is TerrAscend Corp. (OTC:TSNDF), a Canadian cannabis company that has vertically integrated licensed operations in the US and retail operations in Canada. TerrAscend’s products include flowers, concentrates, topicals, tinctures, and edibles. The company offers a variety of cannabis products and owns or licenses several brands including Gage Cannabis, Cookies, Lemonnade, Ilera Healthcare, State Flower, Wana, and The Apothecarium, among others.

TerrAscend Corp. (OTC:TSNDF) continues to hold a solid market share in the US, including the leading market share position in New Jersey. Despite the losses, the company is improving its cash flow. During Q3 2024, the company posted a ninth consecutive quarter of positive cash flow from continuing operations and a fifth straight quarter of positive free cash flow, driven by an increase in sales. The net loss during the quarter was attributed to several one-time non-cash accounting items totaling $13 million, which include a reversal of bad debt expense in Q2 2024.

The company is focused on an aggressive M&A policy to support growth. The company announced the signing of a definitive agreement to acquire the assets of Ratio Cannabis LLC in Ohio. The company’s expansion into the sixth state has opened the gates for it to establish operations in the Midwest. Ratio Cannabis is a high-performing dispensary in Ohio, with no competition within a 20-mile radius, which is expected to add to the company’s revenue. This also expands TerrAscend’s retail footprint to 38 dispensaries across all six states.