The legal cannabis industry is still in the early innings of growth and as such, it is fragmented, fraught with risk and also chock full of potentially compelling growth stories. As legal marijuana is still a nascent business, many of the largest companies in this space are not that large at all, by broader market standards.
Aurora Cannabis (NYSE:ACB) and Canopy Growth (NYSE:CGC) are two of the largest marijuana companies trading on major U.S. exchanges, but those stocks have a combined market value less than $19 billion. Meanwhile, Aphria (NYSE:APHA) is even further down the roster, with a market capitalization of just $1.82 billion as of yesterday, putting the shares of the Canadian medical marijuana firm squarely in small-cap territory.
Indeed, Aphria stock has the makings of a small-cap growth story and recent price action in the shares reflects as much. On Friday, May 24, the Aphria stock price surged 14.66% on volume that was more than twice the daily average after Jefferies analyst