Canopy Growth Corp (TSX:WEED) looks to test old highs as it closed just under $40 per share on Tuesday. The stock has been doing well recently as news came out that the company was applying to be the first pot stock to be traded on the NYSE.
The company also distanced itself from rival Aurora Cannabis Inc (TSX:ACB) and its aggressive acquisition strategy when Canopy Growth CEO Bruce Linton said he wasn’t interested in spending “a dollar to buy a dime.”
It’s just another way Canopy Growth has shown to take a different approach from its key rival, which seems intent on acquiring its way to becoming the largest stock in the industry. Earlier this year, Aurora acquired CanniMed Therapeutics Inc in what was a very long and dramatic battle between the two companies.
Canopy Growth, meanwhile, has sat back and watched as cannabis companies have been paying large values for the sake of obtaining market share and key positions around the world.
The lack of moves hasn’t hurt the stock, as year-to-date Canopy Growth’s stock has risen more than 20%, while Aurora’s share price has plummeted around 30%.
At a 52-week high of $44, Canopy Growth is within striking distance of the high it reached earlier this year. On Tuesday, the share price was up more than $3 for an increase of nearly 10% in one day, despite any significant developments taking place.
Investors are getting bullish on pot stocks again, and Canopy Growth in particular is getting a lot of action. The stock could finally be poised to break through $50 a shar
