CannabisCanada remains one of the world’s most important cannabis markets, with full legalization across the country for both recreational and medical use. With cannabis derivatives coming to the market later this year, extraction-service companies are in a strong position to grow. MediPharm Labs (OTC: MEDIF) is one such company that is trading at a bargain today.

The recent slide in stocks has made MediPharm even more affordable, stock was priced just above a dollar before markets opened on Tuesday. Cannabis producers don’t have the infrastructure and technologies that processors do. MediPharm can help other major cannabis players to process and extract resins, concentrates, distillates, and targeted cannabinoids. This will allow for products ranging from cannabis-infused drinks to novel pharmaceuticals and supplements.

The derivative market is unproven at this stage, so there’s risk in this pick, but the potential upside is impressive. Analysts predict a long-term target price of $7, suggesting a significant return for patient investors. The stock market is declining today, and this stock may fall even lower. Investors willing to take risk on a bargain alternative pick could find it to be an affordable portfolio addition in 2020.

Key Data:

  • 1 Year Price Growth: -60.84%
  • YTD Price Growth: -65.58%
  • 3 Month Price Growth: -61.65%

All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.