What's Going On With Cannabis Stock SNDL?

SNDL, Inc. SNDL shares are trending Thursday, and the stock is up more than 75% over the past month. 

What To Know:

SNDL shares are pulling back Thursday after the stock gained 22.6% Wednesday.  The cannabis sector has rallied recently amid legalization in Germany and renewed optimism around the possible rescheduling of marijuana in the United States. 

Also, Florida’s Supreme Court ruled on Monday to allow an initiative that would legalize recreational marijuana to appear on the state's ballot in November. If approved by 60% of voters, it would legalize recreational, adult-use marijuana in the state. 

SNDL is one of the top trending tickers on Yahoo Finance and WallStreetBets Thursday, according to data from SwaggyStocks. 

Related News: Aurora Cannabis And Canopy Growth Stocks Get Higher: What’s Going On?

SNDL Stock Prediction 2024:

Equity research analysts on and off Wall Street typically use earnings growth and fundamental research as a form of valuation and forecasting. But many in trading turn to technical analysis as a way to form predictive models for share price trajectory.

Some investors look to trends to help forecast where they believe a stock could trade at a certain point in the future. Looking at SNDL, an investor could make an assessment about a stock's long term prospects using a moving average and trend line. If they believe a stock will remain above the moving average, which many believe is a bullish signal, they can extrapolate that trend into the future using a trend line. For SNDL, the 200-day moving average sits at $1.56, according to Benzinga Pro, which is below the current price of $2.68. For more on charts and trend lines, see a description here.

Traders believe that when a stock is above its moving average, it is a generally bullish signal, and when it crosses below, it is a more negative signal. Investors could use trend lines to make an educated guess about where a stock could trade at a later date if conditions remain stable.

SNDL Price Action: According to Benzinga Pro, SNDL shares are down 3.4% at $2.42 at the time of publication Thursday.

Image: Rex Medlen from Pixabay