by Wolf Richter
Wolf Street
Hard to feel sorry for victims of these hilariously obvious pump-and-dump schemes, but they sure got their pockets cleaned out.
There are plenty of questions surrounding cannabis – including whether or not it should be legal, and how it should be regulated and taxed. But there is no question surrounding “cannabis stocks”: They’re phenomenal pump-and-dump operations. And now is the dump-phase.
These are companies with barely any sales, generating huge losses. They were hyped endlessly by vocal promoters and by Wall Street which got rich off the IPO fees. The media oohed and aahed over the meteoric rise of their stocks and their market capitalization which skyrocketed into the many billions of dollars.