[ad_1]
RomoloTavani/iStock by way of Getty Photos
Jefferies stated that it’s nonetheless bullish on the hashish sector regardless of sluggish retail gross sales final 12 months, forecasting double-digit annual development into 2033.
The funding financial institution stated in a latest notice that whereas retail gross sales solely grew by 2.2% in 2022, it sees gross sales climbing 13% a 12 months into 2025 after which roughly 10% yearly into 2033.
Regardless of the optimistic outlook, Jefferies trimmed its business retail gross sales estimates. The financial institution now sees gross sales of $37.3B in 2025, down from its earlier forecast of $41.4B, and gross sales of $71.2B in 2033, down from its prior projection of $80.4B. It additionally now sees federal legalization of marijuana within the US occurring in 2028 quite than 2026.
It added that better institutional entry and liquidity appeared “now nearer than ever,” however that inventory costs “now seize more and more seen strengths and weaknesses.”
Jefferies stated that regardless of “distinctive” obstacles, “near-term operational supply nonetheless impresses vs. different shopper sectors” and that “worth considerations had been overdone.”
The financial institution added that “business headwinds and lack of entry to capital ought to speed up business consolidation, and with this, a extra rational and worthwhile business construction.”
Jefferies maintained purchase rankings on seven Canadian-listed hashish shares it covers, together with Cresco, Curaleaf, Inexperienced Thumb, TerrAscend, Trulieve, Ayr Wellness and Columbia Care.
Extra on hashish shares:
[ad_2]
Source link
