Canopy Growth stock soars on heavy volume again, amid cannabis investor optimism over possible favorable legislation

Shares of Canopy Growth Corp. (WEED.T) shot up 21.7% toward a near four-month high in very active afternoon trading, putting them on track for the fifth double-digit percentage gain in seven sessions. The stock has rocketed 130% over the past seven session. Trading volume was 107.7 million shares as of Friday afternoon, to mark the fourth 100+-million-share volume day in the past six sessions, while the average volume over the past 30 days was about 36.3 million shares. The stock's surge comes as Senate Banking Committee chair Sherrod Brown said Wednesday that there is "an agreement imminent" on the SAFE Banking Act, according to a Politico report, which could make it easier for the financial industry to work with cannabis companies. Among other cannabis stocks, shares of Tilray Brands Inc. (TLRY) gained 2.4%, of Cronos Group Inc. climbed 6.0% and of Aurora Cannabis Inc. (ACB.T) jumped 12.5%. The AdvisorShares Pure US Cannabis ETF (MSOS) rose 7.5% on volume of 13.9 million shares, compared with the full-day average of about 5.6 million shares, while the S&P 500 slipped 0.1%. The cannabis ETF has soared 77% over the past seven sessions.

-Tomi Kilgore

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09-08-23 1536ET

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