Cannabis stocks surge on legalization hopes — Here's why

Vivien Azer, Cowen and Company, joins ‘Power Lunch’ to discuss the surge in cannabis stocks as investors anticipate legalization if there is a Biden presidency. Subscribe to CNBC PRO for access to investor and analyst insights on cannabis and more: https://cnb.cx/2BT2E7y

Things may go green in four states this fall, as voters will decide on legalizing and taxing marijuana.

Arizona, Montana, New Jersey and South Dakota all have measures up for a vote to legalize and levy recreational marijuana.

Thus far, 11 states have legalized recreational pot: Alaska, California, Colorado, Illinois, Maine, Massachusetts, Michigan, Nevada, Oregon, Vermont and Washington state.

Levying legal weed is looking attractive at a time when states are anxious to boost their coffers.

Jurisdictions often slap an excise tax, along with a state general sales tax, on pot sales.

Just don’t count on legalized marijuana to singlehandedly save state budgets.

That’s because the amount of revenue they can collect will depend on the structure of the tax and the ease of obtaining a license for growing and selling the product, according to Ulrik Boesen, senior policy analyst at the Tax Foundation.

“You can have a good tax system, but if your regulatory system isn’t effective, you won’t see the revenue,” he said.

Boesen pointed to Oregon as an example of a state that’s been relatively successful at legalizing and levying marijuana.

“Oregon has a low tax rate and a flexible licensing system, so there are a lot of growers and retailers,” Boesen said. The Beaver State applies a 17% excise tax on the retail price of pot, generating $102 million in tax revenue during the 2019 fiscal year.

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27 Comments

  1. Laurence alfred on September 6, 2023 at 1:42 am

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  2. Alpha Status Stocks on September 6, 2023 at 1:43 am

    Excellent APHA Video here https://youtu.be/9onhQzzU9og



  3. Chris Molloy on September 6, 2023 at 1:44 am

    😎



  4. Its Skiner on September 6, 2023 at 1:47 am

    Federally legalize it all over 50 states. America will be a better place.



  5. coolguy5555551 on September 6, 2023 at 1:48 am

    This is what Democrats do whenever they’re losing their electoral chances.
    They make promises to legalize something that they COULD’VE done years ago, but chose not to until they’re losing.
    NO MORE DEMOCRATS! #Trump2020



  6. mrPmj00 on September 6, 2023 at 1:49 am

    I bought Amazon, Apple, Nvidia, Facebook, Microsoft, Google, Wells Fargo, CRM, Lululemon, Broadcom (AVGO), Adobe



  7. ijvo1951 on September 6, 2023 at 1:50 am

    Vermont just legalizes and New Hampshire is now surrounded by the Legal Cannabis States and Canada.



  8. Pete on September 6, 2023 at 1:51 am

    NJ Lets vote YES for legalization of Marijuana



  9. Ruben Rodriguez on September 6, 2023 at 1:51 am

    Marijuana is like alcohol. Tax and regulate marijuana just as you would with alcohol. Only difference between these one is more beneficial than the other.



  10. sounderglint III on September 6, 2023 at 1:52 am

    TRUMP’S COURT PICK! She had her kids at trump’s covid party! Some MOTHER! KIDS had no protection no MASK! If that’s the way she runs her family! I don’t want her making decision for MINE!



  11. Karlie on September 6, 2023 at 1:53 am

    Is it legal to own weed stocks if it’s not recreational in my state?



  12. M Mercato on September 6, 2023 at 1:54 am

    Cronos buy



  13. Pacicin Chiaricurri on September 6, 2023 at 1:58 am

    Beautiful



  14. NewVideos.com on September 6, 2023 at 1:58 am

    I am in the medical space and these idiots that talk about the health benefits of weird are completely clueless. I’ve met more suspended doctors and charlatans than any other industry that are in the cannabis space.



  15. BreakingBoxes on September 6, 2023 at 2:01 am

    Cresco Labs, Vireo, Columbia Care, Kush Bottles, Harborside, Greenlane. Hold on tight..these are about to move bigly.



  16. Emmanuel Kleinbart on September 6, 2023 at 2:07 am

    Surge????



  17. Robert Polk on September 6, 2023 at 2:07 am

    Go away GOP and bring us all some THC!



  18. Evans Te on September 6, 2023 at 2:14 am

    CRLBF labs is quietly 🧗 the charts lol I have my 👁 on you..



  19. Lamar McAlister on September 6, 2023 at 2:14 am

    Cause it’s a win for weed



  20. Polly Sey on September 6, 2023 at 2:14 am

    Legalise all drugs. Tax it. Rx it. Whatever but many “drugs” have proven medicinal value. Plus, do we or don’t we live in a free society?



  21. Unworthy Servant of God JESUS CHRIST on September 6, 2023 at 2:19 am

    LORD JESUS IS COMING SOON
    One TRUE GOD came as human being and died for our sins as a sacrifice.He offers everlasting life in Paradise as a free Gift. Open your hearts to JESUS CHRIST.
    Romans 10:13
    For “Everyone who calls on the name of the LORD will be saved.”
    John 14:14
    YESHUA:- You may ask me for anything in my name, and I will do it.



  22. louididdy on September 6, 2023 at 2:24 am

    She should invest in a better internet connection.



  23. Jessica James on September 6, 2023 at 2:27 am

    https://mdberry.com/medical-marijuana-treats-diseases/ this is what marijuana can do. The wonders.



  24. Vartan Vartanian on September 6, 2023 at 2:29 am

    Never buy Aurora, company is a loss
    TD Banks Analysts estimated to be near $2
    lol i made great amount of $ shorting aurora since march 14 2019
    keep in mind that if ur brokerage make u buy short then u know u r on the right track
    i covered then shorted on consolidation
    im keeping my short it will go down to 3 bucks
    my advice short and wait



  25. Rouzbeh Mehr on September 6, 2023 at 2:30 am

    um … um … um … um …



  26. AllPureSkill on September 6, 2023 at 2:31 am

    The south gonna take the longest without government help



  27. William E Forbes on September 6, 2023 at 2:35 am

    Bong toke everytime she says Umm. See you in the morning