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Is Wall Street secretly stopping analysts from recommending cannabis stocks?
Frankly, it wouldn’t be surprising.
Wall Street doesn’t want to break federal laws related to cannabis. And that has meant stopping analysts from issuing Wall Street BUY ALERTS on specific stocks.
That’s changing right now.
Go here for my No. 1 cannabis Pre-IPO to BUY NOW.
A new report from CNBC highlights the efforts by top Wall Street firms – including Bank of America and Goldman Sachs – to stop analyst coverage.
For the last 14 months, Wall Street analysts at these firms attempted to initiate coverage of pot stocks.
At Goldman Sachs one analyst named Judy Kong wanted to recommend the sector.
But the company’s chief technology officer had BLOCKED access to any website related to cannabis.
Meanwhile, a Bank of America analyst ran into similar roadblocks while researching KushCo Holdings.
But new Wall Street BUY ALERTS from Wall Street firms have started within the last 60 days.
Cowen & Co. has been an early advocate of investing in legal cannabis. And that helped the New York bank land the Tilray (NASDAQ: TLRY) listing on the NASDAQ.
Legal cannabis sales could reach $80 billion by the year 2030, according to Cowen analyst Vivien Azer.
Over at JP Morgan, the firm has issued BUY alerts on GW Pharmaceuticals (NASDAQ: GWPH).
And at Piper Jaffray, analyst Michael Lavery projects that annual sales will soon reach $15 billion to $50 billion in the industry. He went on to recommend Canopy Growth (NYSE: CGC) and Tilray.
The Next Wall Street Buy Alert – Click Here Now
Currently, only three Wall Street analysts cover “pot stocks.”
Meanwhile, Goldman Sachs was the financial advisor to Constellation Brands (NYSE: STZ) regarding its $4 billion investment in Canopy Growth.
And Bank of America Merrill Lynch provided the financing required for Constellation to make that investment.
Wall Street has been happy to collect fees for advising and financing cannabis stocks.
But analysts have been more cautious about recommending specific stocks to their clients.
That’s changing right now.
These analyst recommendations will encourage institutional investors including hedge funds and pension funds to BUY these stocks.
That could create a new wave of buying – sending these stocks surging.
The bottom line: Get ready for more Wall Street Buy Alerts.
My No. 1 pot stock for 2019 could be a new recommendation from Wall Street.
In fact, right now I’m loading up on Pre-IPO shares – before this stock goes public.
Click here for my urgent briefing (it’s FREE).
Yours in Profits,
Ian Wyatt