The Technavio report on the industry also suggests that it will grow by a CAGR of 26% during that time period. Nearly 40% of this growth will originate from North America, where the millennial generation will likely be a driving force behind the growth. CBD oils have been adopted by many as natural ways to overcome certain medical issues like chronic pain and anxiety.
It’s not an unimaginable figure, particularly as cannabis continues to find opposition when it comes to federal legalization in the US. While cannabis and CBD have been more willingly adopted in European countries, many regions of Asia continue to enforce strict laws and a zero tolerance policy when it comes to drugs.
Investing in CBD could be a nice pivot from cannabis stocks which have struggled over the past couple of years. There is some overlap between the two sectors, with companies like Aurora Cannabis (NASDAQ:ACB) and Tilray (NASDAQ:TLRY) also selling CBD products.
But perhaps investors should be looking at pure play CBD stocks like Endexx (OTC:EDXC) and Charlotte’s Web (OTC:CWBHF) to gain exposure to a market that is anticipated to grow steadily over the next decade. Endexx in particular is becoming a household name with its products lining the shelves of retailers like Target (NYSE:TGT) and Amazon (NASDAQ:AMZN).
Featured: $ACB $TLRY $EDXC $CWBHF $TGT $AMZN