by Thomas Franck, cnbc.com
Wall Street’s obsession with marijuana stocks has propelled industry leaders to lofty market valuations that now rival those of household names such as Twitter, Hershey and CBS.
Canadian cannabis company Tilray, which soared more than 38 percent Wednesday in wild trading on the Nasdaq, has seen its market capitalization rocket to over $19 billion as of Wednesday’s close. Its share price is up more than 500 percent over the past month.
Its U.S. market value is now larger than 45 percent of the stocks that comprise the S&P 500.
Rival pot companies Canopy Growth and Aurora Cannabis have ballooned 46 percent and 69 percent, respectively, over the same period.
The ascent now puts Tilray’s U.S. market value well ahead of the likes of casino operator Wynn Resorts, robo-advisor E-Trade and ale brewer Molson Coors.
Despite the surge in valuations, Tilray posted just $9.7 million in net sales last quarter.
Tilray is larger than Michael Kors, Macy’s and Gap.