In this article, we are going to discuss the 15 states with the best weed in America.
Cannabis culture is deeply embedded in human history and continues to evolve in modern times. Most early civilizations didn’t grow the plant to get high but as herbal medicine, since the ancient varieties of hemp had very low levels of THC – the chemical responsible for the drug’s psychoactive properties. Even until 1995, the average THC content in cannabis seized by the Drug Enforcement Administration was around 4%, but with a growing acceptance of ganja around the world, as well as legalization in many countries and states, cultivators and connoisseurs have developed increasingly sophisticated breeding techniques that have enabled them to select for more potent strains, each one better than before. As a result, much to the pleasure of the potheads out there, the average THC content of America’s favorite herb had already skyrocketed to 17% by 2017 … with no end in sight even today.
READ ALSO: 20 States with the Highest Weed Consumption in the US
Cannabis Industry in the United States:
The United States of America is the country that consumes the most weed in the world. According to Whitney Economics, the country’s legal cannabis industry witnessed its 11th consecutive year of growth in 2024, with annual retail revenue estimated to be between $30.2 billion and $30.7 billion. The increasing legalization of cannabis and rising acceptance of its use for medical purposes are the key factors fueling the industry. Growth is also expected to come from new markets, such as Kentucky finally launching its medical cannabis program last month.
However, despite the growth, 2024 was overall a very turbulent year for the American cannabis sector. The decriminalization process is going slower than expected and legalization ballot measures in Florida, and South and North Dakota failed to pass. Wholesale prices are also at record lows and despite all the efforts, the legal industry still faces stiff competition from the unregulated black market. As a result, the American Cannabis Operator Index, which tracks the market value of firms in the industry, has fallen by over 64% since a year ago, and more than 93% since its peak in April 2019. A recent survey by Whitney Economics revealed that only 27.3% of cannabis operators nationwide are profitable. According to the US Chamber of Commerce, 65.3% of all small businesses in the US are profit-making, so the cannabis sector is trailing far behind the national average.
As of the writing of this article, 24 states have legalized recreational weed in America, in addition to the District of Columbia. However, possessing or selling marijuana remains a crime under federal law, punishable by prison time and fines.
Fastest Growing Category in the Cannabis Industry:
As ready-to-use products gain traction among cannabis consumers, the pre-roll category has emerged as one of the fastest-growing segments in the industry. Pre-rolled joints are hassle-free, easy to pass around and come in multi-packs. They’re great for entry-level consumers who aren’t yet familiar with the art of rolling, and they’re also highly convenient for medical cannabis patients, who may lack the mobility or dexterity to grind and roll.
According to a recent study by Custom Cones USA and Headset, cannabis pre-rolls witnessed the biggest increase in sales revenue among all categories between June 2023 and June 2024, surging by 11.89% during the period. The pre-roll category accounted for more than $4.1 billion in sales and sold over 394 million units during the time and went from a 13.2% market share in the beginning of 2023 to a record-high 15.9% share in mid-2024.
Considering its massive success, it doesn’t come as a surprise that nearly all major industry players have jumped on the pre-roll bandwagon, offering a wide array of ready-to-light joints to their consumers. Among these companies is also Tilray Brands, Inc. (NASDAQ:TLRY), which shipped an eye-popping 50 million pre-roll cones to its clients in Q2 of 2025. The company continues to innovate and expand its portfolio to keep its consumers excited and even recently launched several new offerings under its Redecan and Good Supply brands, just in time for the holidays.
Tilray Brands, Inc. (NASDAQ:TLRY) has a highly diversified global portfolio with businesses in medical adult-use cannabis, beverages, spirits, wellness products, and a vast array of consumer-connected lifestyle brands. The company operates in over 20 countries across five continents with a portfolio of over 40 consumer-connected lifestyle brands and 20 vertically integrated facilities that produce approximately 90% of its products in-house.
The core business of Tilray is cannabis and it operates the largest cannabis business in Canada by revenue, the leading medical cannabis business across Europe, and the largest branded hemp business in North America. However, cannabis is a notoriously tough business to profit from and Tilray hasn’t been able to turn a single annual profit over the last four years. This forced the company to diversify beyond cannabis and so it expanded into the craft beer industry with the acquisition of several breweries from Ab InBev and Molson Coors. What started off as a venture is now a serious segment and Tilray is now among the top five craft beer businesses in the United States in terms of scale.
Tilray Brands, Inc. (NASDAQ:TLRY) reported a total revenue of $211 million for Q2 of 2025, and though it was up 9% YoY, the figure fell short of the broader market consensus of $218 million, due in part to a 16% decrease in the company’s Canadian adult-use cannabis sales. Tilray reported an operating loss of $42.2 million during the quarter, up from the $41.8 million loss it posted a year ago. The company’s reported cash flow for the first half of FY 2025 was a negative $76 million, up from the $46.3 million cash it burned during the same period a year earlier.
Despite all the aggressive diversification and expansion, Tilray Brands, Inc. (NASDAQ:TLRY) is struggling to turn a profit and so the company has recently announced its Project 420, a comprehensive plan focused on enhancing margins and profitability with an aim to achieve $25 million in cost savings, synergies, and cost avoidance initiatives. The company’s strategy to diversify geographically is also paying off and Tilray’s international business grew by 25% YoY in Q2 2025 as it launched new commercial products and expanded its reach across Europe.
Tilray Brands, Inc. (NASDAQ:TLRY) was included in our list of the 11 Best Cannabis Stocks to Invest in.
While we acknowledge the potential for TLRY to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TLRY but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
With that said, here are the US States with the Best Quality Weed.
A close-up shot of a cannabis plant, showing its intricate details.
Methodology:
To collect data for this article, we have referred to various websites and public forums on platforms such as Reddit, Quora, etc. looking for the States with the Best Weed. We picked states that appeared multiple times in the aforementioned sources, assigned them a score of 1 each time they were recommended on these websites, and then summed up the scores and ranked our list accordingly. When two or more states had the same score, we ranked them by their total prevalence of cannabis use.
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15. Kentucky
Insider Monkey Score: 2
Cannabis is the foremost cash crop throughout the Bluegrass State, despite the fact that adult-use weed remains outlawed there. However, medical marijuana is now officially legal in Kentucky as of January 1, 2025, with qualifying patients able to purchase cannabis products in several counties.
14. Florida
Insider Monkey Score: 2
Florida, with its population of over 22 million people, is home to the country’s largest medical marijuana market, boasting an annual revenue of $2 billion. However, the Sunshine State rejected a ballot measure to legalize recreational cannabis in November, despite historic levels of funding, a rigorous advertising campaign, and even an endorsement from President Donald Trump.
13. New York
Insider Monkey Score: 2
The Empire State cannabis industry surpassed the historic milestone of $1 billion in retail sales last month, with nearly 300 dispensaries now open statewide. With an annual overall weed consumption of 62.3 metric tons, NYC is included among the Cities with the Highest Weed Consumption in the World.
12. Arizona
Insider Monkey Score: 2
The total cannabis sales in Arizona amounted to almost $920 million for the first nine months of 2024, with $732.5 million in recreational sales and $187.4 million in medical cannabis. The Grand Canyon State also collected $199 million in total tax revenue during the period, with most of it going to community college and provisional community college districts.
11. Massachusetts
Insider Monkey Score: 2
Cannabis retailers in the Bay State boasted $1.65 billion in sales of adult-use products in 2024, setting a new annual record for the Commonwealth. Massachusetts residents are now also weighing in on the state’s proposed regulations for cannabis cafes and lounges, which are expected to further boost sales this year.
10. Nevada
Insider Monkey Score: 2
Nevada’s legal dispensaries logged $829 million in taxable sales in FY 2024 that ended in June, down almost 2% from FY 2023. The state’s legal industry continues to suffer primarily due to a thriving black market that makes $242 million to $370 million in sales annually, representing a third of Nevada’s entire cannabis market. Nevada is counted among the most weed-friendly states in the US, with a total cannabis demand estimated to be between 3.2 million and 4.4 million pounds per year.
Nevada is ranked among the Top 10 States with the Best Weed in 2025.
9. Hawaii
Insider Monkey Score: 3
In 2000, Hawaii became the first state to legalize medical marijuana through the state legislature, rather than through the citizen initiative process. However, the Aloha State’s first dispensary opened 17 years later in Maui, and as of December 2024, Hawaii had 25 dispensaries, 30,035 registered in-state patients, and 2,609 caregivers.
8. Oklahoma
Insider Monkey Score: 3
Though recreational use of cannabis remains illegal in Oklahoma, the state is one of the biggest sources of black-market weed in the country, according to the Oklahoma Bureau of Narcotics. While it is hard to calculate the value of the illicit market, officials estimate that illegal marijuana grown in the state is worth somewhere between $18 billion and $44 billion a year.
7. Alaska
Insider Monkey Score: 4
Alaska’s marijuana tax, levied at the wholesale level, is among the highest in the United States. As a result, the illicit market still accounts for nearly 62% of the overall cannabis sales in The Last Frontier. The state’s cannabis industry is saying that a change in the tax rates is desperately needed to help legal marijuana businesses compete with the black market.
6. Michigan
Insider Monkey Score: 7
Michigan is the state with the highest per capita sales of weed in America at $132.41, according to data provided by Headset – a cannabis market intelligence firm. However, prices are falling rapidly due to oversupply, adding to the pressures on the already strained cannabis operators.
The Great Lake State’s licensed retailers recorded a whopping $3.27 billion in adult-use cannabis sales in 2024, up 9.9% from 2023.
