5 Best Cannabis Stocks To Buy Now

1. The Scotts Miracle-Gro Company (NYSE:SMG)

Number of Hedge Fund Shareholders: 29

Topping the list of best cannabis stocks to buy now is The Scotts Miracle-Gro Company (NYSE:SMG). While not a cannabis pure play, it does have far more exposure to the industry than some of the other stocks that could’ve been considered for this list, including several major pharmaceutical companies that are dabbling in cannabis-based treatments, and brewers that are busily concocting cannabis-infused alcoholic beverages.

Hedge fund ownership of The Scotts Miracle-Gro Company (NYSE:SMG) hit a five-year low in the first quarter of this year, but has shot up by 50% over the past two quarters. Jack Woodruff’s Candlestick Capital Management added a stake of 500,000 SMG shares to its 13F portfolio during Q3, while First Eagle Investment Management maintained the largest position in the stock for the fourth straight quarter, owning nearly 1.58 million shares.

The Scotts Miracle-Gro Company (NYSE:SMG), which is best known for its lawn care products, has been steadily building a formidable cannabis products business under the Hawthorne label since 2014, which sells everything from indoor gardening products, to lights and nutrients. Hawthorne accounted for 30% of Scotts’ sales in 2021, up from 20% just two years earlier. The company would like to eventually sell its own cannabis directly to consumers if federal legalization becomes a reality.

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