Cannabis Stocks

Cannabis stocks represent one of the most overhyped investments of the past decade, with shares of Tilray and Canopy Growth plunging over 90% from peak valuations. Federal legalization in the U.S. repeatedly stalled, while oversupply in Canada crushed producer margins, turning early exuberance into a brutal correction. These stocks underperformed the broader market by more than 80% since their 2018 highs, a stark underperformance compared to the S&P 500's resilience during the same period. Investors chasing quick gains in marijuana learned a costly lesson: hype does not replace fundamentals, as the industry's speculative bubble burst with no recovery in sight.