CrescoMarijuana stocks have been hit by heavy sell-offs in 2019, with investors losing confidence due to weaker than expected profits and overvaluation. However, 2020 looks much better for the wider industry, especially as more American states move to legalize recreational marijuana use. Cresco Labs Inc. (OTC: CRLBF) is a promising pick for the year ahead, and alternative investors will want to take a closer look. This company is focused on legal marijuana retail.

The biggest positive factor in the pipeline for Cresco is the upcoming legalization of marijuana in Illinois, the company’s home market. Illinois will be the second-largest state to legalize, behind only California. This could create a significant upside in sales, which could help to boost the bottom line.

In addition, Cresco has increased its acquisitions, giving it a strong retail presence in Nevada and Arizona. The company will purchase Tryke’s Reef Dispensaries, with a Las Vegas flagship location that is one of the highest-grossing marijuana outlets in the world.

Cresco also secured $50 million in new revenue from GreenAcreage in a sale/leaseback deal, giving it cash to use in its expansion efforts.

On top of Cresco’s potential to become one of America’s largest Marijuana retailers, the price of this stock makes it attractive. The average BUY rating from analysts and a target price of $11.77 suggest a strong upside next year.

Key Data:

  • 1 Year Price Growth: 63%
  • YTD Price Growth: -12.91%
  • 3 Month Price Growth: -20.83%

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