Stocks started out with a positive bias, but the early bullishness waned as the day continued. Cannabis stocks started the week dragging. Apparently, they had a case of the Mondays.
Surna hosted a conference call for shareholders at 4:15pm EST today. We imagine attendance was high as many market participants are eager for more information about the business and recent management changes.
The adult use market is now officially in four states: Colorado, Washington, Oregon and Alaska. The latter two will not officially come online for several more months. The two existing states have generated significant sales. However, the regulated cannabis model is still in need of significant refinement as regulators learn how this market functions.
The state of Washington launched its adult use side by missing a critical step in addressing its existing medical market. Washington’s medical program is barely regulated with most cannabis grown by collectives, in small, untested quantities. Anything that is medical should be held to a higher standard for patients. We wouldn’t want them to be consuming cannabis that has pesticides, mold or other issues. We want existing operators to have the operators to thrive, but hope they would rise to the occasion and prepare for a regulated industry for the betterment of the whole space.
Because Washington has had so many issues with the discrepancy between its adult use and medical programs, regulators and industry leaders recognized the issue. The individuals and committees have been working together to bring the entire cannabis marketplace under better oversight. Today, we see progress.