Some people are still talking about GameStop.
Some are talking about the current price run in cryptocurrencies.
Few are talking about a sector that has quietly been making gains over the past few days.
While mainstream outlets are talking about the hot stories of the moment, they're missing a story that everyone will know about before long.
Recent market roller coasters, day-to-day politics, and the ongoing pandemic have been all anyone's talked about. What they've missed is the fact that the marijuana market has come roaring back.
But it's true.
Big-name pot stocks like Aurora Cannabis (NYSE: ACB), Canopy Growth (NASDAQ: CGC), and Tilray (NASDAQ: TLRY) enjoyed healthy rises in their stock prices earlier this week.
Some of this is due to internal events at the different companies. Tilray, for instance, made an agreement with a U.K.-based company where Tilray's medical cannabis products will be imported for patients across the U.K.
Likewise, Canopy Growth announced that it expects to turn a profit by the second half of 2022.
One important thing that's lifting the entire industry, however, is the state of U.S. politics.
With a change in administrations comes a change in agenda. Three high-profile Senate Democrats are using that to lead the way on marijuana reform on the federal level. Recently, Senate Majority Leader Chuck Schumer and Sens. Cory Booker of New Jersey and Ron Wyden of Oregon released a joint statement promising to put forward and advance "comprehensive cannabis reform legislation."
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This was just the latest bit of good news for the industry. Back in November, it rallied following ballot initiatives that expanded sales in some states. When the Democrats later won the Senate runoffs in Georgia, marijuana stocks soared even more.
These developments make it much more likely that the country will see comprehensive marijuana reform over the next few years, and industry leaders are preparing for just that.
One important thing to remember is that the efforts of these senators won't necessarily result in marijuana becoming legal in all 50 states. Individual states would still have some say in what can and can't be sold, but a change would mean companies would face far fewer hurdles in the market.
That would put U.S. growers at an advantage, as many of them would simply need to expand the operations already in place. Canadian companies, meanwhile, would face the challenge of entering a completely new market.
Legalization at the federal level is a tall order for the Democrats thanks to an already full plate. But when you consider the deficits and employment crisis caused by the pandemic, this is one revenue source they can't easily ignore.
That's what the big names in the industry are counting on, and it's what investors should pay attention to.
One advantage investors have is that this story isn't being widely reported. The biggest hurdle working against investors is time.
While there are a number of different ways to play this new surge in marijuana stocks, Jimmy Mengel has one that may rise above the rest.
The big names are sure to see their values climb, but smaller plays like this will really take off when the market expands.
It's an unknown stock buried deep in an unknown story. Uncover it for yourself for a chance at massive gains before the crowd learns about it.
Keep your eyes open,
Ryan StancilContributing Editor, Outsider Club
Ryan is an associate editor and regular contributor to Outsider Club. Since 2014, his articles have offered commentary on technology and geopolitics to help readers make sense of the constantly changing landscape and how it affects their investments.