SofaProfessor

I can maybe help field this one a bit... There's a few major reasons. The main overarching reason is that cannabis stocks were being heavily speculated on. Speculation can drive stocks higher but the fall can be abrupt and significant. In addition, there was speculation about big partnerships that never came to fruition. One that comes to mind was a rumoured partnership between Coca Cola and one of the major cannabis players (I want to say Aurora but don't quote me on that). I think a lot of people realized cannabis is basically a commodity and there was no reason for some of the inflated share prices.

On a more individual company level, some of these companies made big bets on future growth and spent money they didn't have by various means including issuing shares. This leads to dilution. Your share may have been one of 2 million available and traded for $100. Now it was one of 3 million. While that doesn't mean the price will necessarily drop, if the revenue doesn't grow at the same pace as the shares are being issued then eventually share prices have to adjust to the reality of the market. Aurora was probably most notable for issuing shares to finance acquisitions. I think there's actually a class action suit being launched by investors regarding this.

Anyway, that's a super basic run down and there are lots of other reasons at play but I hope it helped answer some questions.

I'm doing an axe throwing tournament for a bachelor party this weekend. None of us have ever done this but, naturally, we all want to win and claim bragging rights for the weekend.

What are some not-so-obvious axe throwing tips that will give me an edge this weekend?