Shares of Canopy Growth Corp (NASDAQ:CGC) are trading lower Wednesday, pulling back from a sharp rally on Monday. The stock is seeing a downturn as initial excitement wanes following a social media post by President Donald Trump over the weekend that lifted the entire cannabis sector.
What To Know: On Monday, Canopy's stock jumped 20% after Trump shared a video highlighting the potential medical benefits of CBD for seniors and hinted at policy changes that could include Medicare coverage. The post ignited hopes for an accelerated path to federal cannabis reform in the U.S., a critical market for Canadian producers.
Canopy Growth, known for its portfolio of brands like Tweed, has long been preparing for U.S. legalization, notably through its strategic partnership with beverage giant Constellation Brands.
Wednesday’s price action suggests investors are securing profits from the speculative rally, acknowledging that the road to any concrete legislative change remains complex and uncertain.
Benzinga Edge Rankings: Benzinga Edge rankings for the stock show a moderate Momentum score of 40.95 and a negative long-term price trend.
CGC Price Action: Canopy Growth shares were down 5.14% at $1.38 at the time of publication Wednesday, according to Benzinga Pro.
How To Buy CGC Stock
Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.
For example, in Canopy Growth’s case, it is in the Health Care sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.
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