6 Weed Stocks That Aren't Penny Stocks

This year on April 20, the U.S. legalized marijuana movement can celebrate some major progress in the past year. Unfortunately, the fact that marijuana remains illegal at the federal level means that the business of marijuana remains stigmatized.

As a result, many marijuana companies operating in the states that have legalized the drug are dealing with a number of hurdles that other industries avoid.

Last year, Michael Swartz, an analyst for Viridian Capital & Research said the U.S. marijuana industry suffers from a lack of “seasoned” executives and board members. Almost all of the public U.S. marijuana companies have stocks that do not trade on major exchanges.

The lone marijuana representative that trades on the NASDAQ, GW Pharmaceuticals PLC- ADR GWPH is up 16.6 percent so far in 2016.

“This is a tough place to find legitimacy. Fraud has run rampant,” says Hilary Bricken, a Seattle attorney and Canna Law Blog contributor.

“GW may be the only one that’s viable. The rest of these companies live life from press release to press release.”

Related Link: 15 Marijuana Stocks To Watch In 2015: Where Are They Now?

Although investing in stocks that trade off of the major exchanges is always a risky proposition, here are six marijuana stocks that at least (for now) have avoided “penny stock” status by maintaining share prices above $1.

1. GW Pharmaceuticals
2. Zoned Properties Inc ZDPY
3. AeroGrow International, Inc. AERO
4. Cannabis Sativa Inc CBDS
6. General Cannabis Corp CANN

Disclosure: the author holds no position in the stocks mentioned.

Posted In: cannabismarijuanaMichael SwartzPot StocksViridian Capitalweed stocksEducationPoliticsTop StoriesTrading IdeasGeneral

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.