An index overlooking the North American public cannabis market added four new stocks into its list of constituents on Tuesday (April 24).
Described as overseeing the top performing cannabis stocks in the U.S. and Canadian markets, these two indices will also create the overall North American Marijuana Index. The companies added to the index are: General Cannabis (OTC:CANN); Liberty Health Sciences (CSE:LHS; OTC:LHSIF); Hiku Brands (CSE:HIKU; OTC:DJACF); and Isodiol International (CSE:ISOL; OTC:ISOLF).
These stocks will also be split into the Canadian and U.S. indexes respectively. Hiku and Isodiol will join the Canadian index while General Cannabis and Liberty Health will be added to the American one.
The index offers an overall look into cannabis public market in North America
The entire North American Index now follows 43 publicly traded companies across all major Canadian and American public exchanges. The breakdown between the two indices is 17 constituents for the Canadian one and 26 for the U.S. index.
Due to the decline in Canadian cannabis stocks that has taken ahold of the industry since early this year, the Canadian index has seen a steady decline in its value so far in 2018. At the start of the trading year, the Canadian index was valued at 812.81 points.
On Tuesday, the Canadian Marijuana Index was valued at 625.70 points. On the other hand, the U.S. index was valued at 88.58 points. At the start of the trading year, however, the U.S. index was valued at 105.39 points.
According to the organizers, the minimum trading requirements for a company to join the index have been increased since the last quarter.
These restrictions now mandate for a company to reach a minimum market capitalization of US$80 million and a daily trading volume of US$2 million. The companies looking to be added to the index also need to have a share price of at least US$1.
Additionally, index organizers state companies with a revenue stream over US$5 million the previous year are exempt from these rules.
Observers of the industry have a few options when it comes to tracking a large grouping of cannabis stocks. The performance from these informational indices can give shareholders a superficial look into the overall performance of the sector.
Thanks to the distinction between the two indices investors can see differences between the two North American markets.
Don’t forget to follow us @INN_Cannabis for real-time news updates!
Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: Isodiol International and Hiku Brands are clients of the Investing News Network. This article is not paid-for content.
The post 4 Stocks Added to North American Cannabis Index appeared first on Investing News Network.
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