In this piece, we’ll take a look at the 5 Best Marijuana Stocks To Buy Now. For more such companies, go to 14 Best Marijuana Stocks To Buy Now.
5. Vector Group Ltd. (NYSE:VGR)
Number of Hedge Fund Holders: 16
Vector Group Ltd. (NYSE:VGR) is a holding company serving the tobacco and real estate industries. The company manufactures and sells cigarettes to adult smokers in the United States. Vector Group Ltd. (NYSE:VGR) produces cigarettes in 100 different combinations under the Pyramid, Grand Prix, Liggett Select, Eve, and Eagle 20’s brands.
On November 02, 2022, Vector Group Ltd. (NYSE:VGR) reported its Q3 2022 results, posting revenue of $378.0 million, recording a YoY decline of 42%. The company’s Normalized EPS for the quarter stood at $0.24, missing the market consensus by $0.03. The YoY decline in revenue came because of the spin-off of Douglas Element in the Q4 of 2021, which now reports its results separately.
According to Insider Monkey’s database, 16 hedge funds held shares of the company at the end of the third quarter of 2022. Renaissance Technologies was the most bullish fund on the company’s stock at the end of Q3 2022.
4. The Scotts Miracle-Gro Company (NYSE:SMG)
Number of Hedge Fund Holders: 29
The Scotts Miracle-Gro Company (NYSE:SMG) is North America’s biggest manufacturer and distributor of branded consumer lawn and garden products. The Scotts Miracle-Gro Company (NYSE:SMG) products include grass seed, plant food, fertilizer, and weed control. Hawthorne Gardening Company, a subsidiary of the company, supplies hydroponic gardening products to consumers for cannabis cultivation.
On November 08, 2022, Gaurav Jain, an analyst at Barclays, upgraded his rating on The Scotts Miracle-Gro Company (NYSE:SMG) to Overweight from the previous Equal Weight. The analyst currently has a target price of $75 on the stock and believes that the company will be able to deliver $6-$8/share in free cash flow over the next three years.
As per Insider Monkey’s proprietary database, 29 hedge funds were bullish on The Scotts Miracle-Gro Company (NYSE:SMG), as of the end of the third quarter. First Eagle Investment Management was the biggest stakeholder in the company’s stock at the end of Q3 2022.
3. Jazz Pharmaceuticals Plc (NASDAQ:JAZZ)
Number of Hedge Fund Holders: 43
Jazz Pharmaceuticals Plc (NASDAQ:JAZZ) is a global biopharmaceutical business dedicated to improving patients’ lives via identifying, developing, and commercializing effective medications that meet unmet medical needs. Jazz Pharmaceuticals Plc (NASDAQ:JAZZ)’s subsidiary, GW Pharmaceuticals, is a global leader in the research, production, and delivery of regulatory-approved cannabis-based medicine.
On November 09, 2022, Jazz Pharmaceuticals Plc (NASDAQ:JAZZ) reported its Q3 2022 results, posting revenue of $940.6 million for the quarter, recording a growth of 12.2% over the same period last year. The company’s Normalized EPS of $5.17 beat the market estimates by $0.50.
43 hedge funds were long on the company’s stock at the end of the third quarter, according to Insider Monkey’s database. Polaris Capital Management had the biggest long position in the company at the end of Q3 2022.
2. Altria Group, Inc. (NYSE:MO)
Number of Hedge Fund Holders: 47
Altria Group, Inc. (NYSE:MO) is an American firm that makes and sells cigarettes, moist smokeless tobacco, machine-made cigars, and other tobacco products through its subsidiaries. In 2019, Altria Group, Inc. (NYSE:MO) purchased a 45% stake in Cronos, a global cannabinoid corporation that conducts cannabis research, technology, and product development.
On October 27, 2022, Altria Group, Inc. (NYSE:MO) announced its result for the third quarter of 2022. The company’s revenue during the quarter was recorded at $5.4 billion, a decrease of 2.1% YoY. The Normalized EPS of $1.28 missed the market consensus estimate by $0.02.
According to Insider Monkey’s database, 47 hedge funds had stakes in Altria Group, Inc. (NYSE:MO) at the end of the September quarter. Arrowstreet Capital remained the leading stakeholder of the company at the end of the third quarter.
1. Philip Morris International Inc. (NYSE:PM)
Number of Hedge Fund Holders: 63
Philip Morris International Inc. (NYSE:PM) is an international tobacco company based in the United States that makes and distributes cigarettes and other tobacco-related products. In 2016, Philip Morris International Inc. (NYSE:PM) invested $20 million in the Israeli tech company Syqe Medical, which develops inhalers for cannabis molecules infusion.
On November 02, 2022, Pamela Kaufman, an analyst at Morgan Stanley, increased his price target on Philip Morris International Inc. (NYSE:PM) to $109 while keeping an Overweight rating on the stock. The analyst stated in a research note that the company’s recent agreement with Altria Group, Inc. (NYSE:MO) would allow Philip Morris International Inc. (NYSE:PM) to regain control of IQOS distribution in the United States.
As per Insider Monkey’s database, 63 hedge funds had stakes in Philip Morris International Inc. (NYSE:PM) at the end of the third quarter. GQG Partners remained the leading stakeholder in the company at the end of Q3 2022.
Here is what Coho Relative Value Equity Fund has to say about Philip Morris International Inc. (NYSE:PM) in its Q3 2022 investor letter:
Coho is not immune to the earnings pressure exerted by a strong USD, although the portfolio on the whole has modestly less foreign revenue exposure relative to the S&P 500 Index. The two most impacted Coho stocks includes Philip Morris International, which essentially derives all of its revenues outside the U.S. Harkening back to Table 1, the decline in Philip Morris earnings for 2022 versus the reported earnings in 2021 is entirely related to the strengthening dollar. On a constant currency basis, Philip Morris’ earnings in 2022 would be up mid to high single digits.
You can also take a look at 12 Very High Yield Dividend Stocks To Buy and 10 Best Companies to Invest In India for Beginners.
