AMC Entertainment is among the year’s top meme stocks, but it could be a bit short on future opportunities for fresh growth. Between the heavily negative affects of covid on its income and over $11 billion accumulated debt, the company does not seem like it has a lot of room to reimagine itself, either.
Investors looking at stocks to fuel their portfolio’s expansion will probably be wise to look elsewhere. Thankfully, there are some good profitable stocks in the cannabis sector that fit that bill and will outperform AMC through the upcoming years. Let’s take a look at two of these
1. Planet 13 Holdings
Planet 13 Holdings is special due to it having something no other cannabis business has: a superstore close to the tourist-swamped Strip in Las Vegas. Back in 2019, this one spot was driving around 9% of the company’s revenue for the whole state. And even with all the negative influence from the pandemic, the company still got a quarterly revenue boost of 41.8% y/y in Q1.
Also, Planet 13 is expanding its business at a fast pace. Since June 24, the company started its first new store that is not inside Las Vegas, located in California. That will be a huge increase to its revenue, since it will be the third store. Over the upcoming five years, it is planning to open eight or more new locations.
Thus, it is reasonable to predict that Planet 13 will grow in size numerous times before this decade ends. Which is something that AMC certainly can’t do.
2. Jushi Holdings
Jushi Holdings is having a good moment. The market is catching on to its revenue increasing as a result of fast scaling of its whole business.
In 2020, Jushi’s overall revenue went up to 689.6% from 2019, raking in $80.8 million in income. Then, in the initial three months of 2021, it made $41.7 million. With growth like this, the company can easily double or triple its sales by 2022, and it is hard to find any other cannabis company that can make money that quickly.
Author: Scott Dowdy