By Rakesh Sharma Updated Dec 9, 2020
The marijuana industry is broadly divided into two markets—medical and recreational marijuana. As their names suggest, both have applications in different industries and cater to different markets. Medical marijuana stocks represent companies that are involved in research and development (R&D) for the treatment of certain health conditions, while recreational cannabis companies cater to products that don’t serve a medical purpose. Instead, their users seek the high that comes with smoking, consuming, or drinking cannabis. Depending on an investor’s risk profile and time horizon, stocks in both markets are attractive because they represent a growth opportunity. Keep reading to find out how these two markets differ from one another and how you can jump in as an investor.