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The only constant in cannabis right now is that things move quickly — and what a week it’s been.
There was a slew of earnings this week, including Kush Bottles, a maker of cannabis packaging, and Innovative Industrial Properties (IIPR), a cannabis-focused real estate investment trust, or REIT.
Their earnings were two bright spots among a backdrop of slumping cannabis stocks, many of which have lost over 50% this year. IIPR operates on a sale-leaseback model, which in turn, helps cash-starved cannabis companies with capital. That’s a good business to be in right now — the stock gained over 10% after it reported Q3 earnings on Wednesday, and continues to climb.
For Kush Bottles, Cowen analyst Vivien Azer maintained her outperform rating, citing the company’s 186% revenue growth and growing CBD business. But Azer expects Kush Bottles’ vape business to decline by 20-25% next year, amid a spate of lung injuries linked to vaping.
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Source:: Businessinsider – Finance