Betka82/iStock via Getty Images
I wrote about Verano Holdings (OTCQX:VRNOF) in November, saying that readers should avoid the cannabis stock for now. I was wrong, as it has rallied sharply since then, gaining 15.5%. All MSOs have been rallying, and the New Cannabis Ventures American Cannabis Operator Index has gained 21.7% since the Friday after Thanksgiving Day.
The strong performance of the MSOs has been driven by the strong move made by Trulieve (OTCQX:TCNNF), which has gained more than 102% since 11/24. As wrong as I was about VRNOF, I was very right about TCNNF at the same time. A week ahead of my warning about VRNOF, I explained why I still liked TCNNF, though it had lifted off its all-time low substantially. I did downgrade TCNNF in January, and I moved to a Sell rating in late March. The stock did trade a little higher, but it has now dropped since then by 4.9%. Here is how those two stocks have performed since my last Verano article:
YCharts
In this follow up piece, I explain why I am maintaining my Sell rating on Verano. I look at the operational changes in 2023, review the analyst outlook for revenue and earnings,
