AdvisorShares Pure US Cannabis ETF (MSOS)
MSOS: Adult-Use Rescheduling The Next Catalyst For Cannabis Stocks
The AdvisorShares Pure US Cannabis ETF is rated a buy, driven by real regulatory progress and potential further catalysts. Rescheduling of medical cannabis to Schedule III reduces tax burdens, improving cash flows and the cost of capital for MSOS holdings. Upcoming DEA hearings on adult-use rescheduling and earnings reports could deliver upside surprises and further margin expansion.
The Easiest Way to Bet on US Cannabis Is This One ETF
Owning individual U.S. cannabis operators means wrestling with OTC-listed tickers, thin liquidity, and a patchwork of state licenses that most brokerage screeners barely index.
Dan Ahrens on Pot Stock Outlook & MSOS ETF After Reclassification
Recent news of marijuana's reclassification is just the first step of many, according to Dan Ahrens of AdvisorShares. Dan talks about the catalysts he sees this summer and the upside he expects to see in marijuana-tied stocks.
Trump Just Eased Federal Marijuana Laws. Is there an Investment Case for Cannabis ETFs Right Now?
Gradual easing of restrictions on marijuana continues.
Medical Marijuana Reclassified as Less Dangerous Drug
The Trump administration also announced the beginning of an expedited administrative hearing process to consider the rescheduling marijuana more broadly.
MSOS: Cannabis Investors Should Be Careful With This ETF
AdvisorShares Pure US Cannabis ETF remains a Strong Sell due to extreme concentration in three names and excessive volatility. Potential cannabis rescheduling could eliminate 280E taxation, boosting net income for operators, but risks remain if the process stalls or fails. MSOS trades at a 7.5x 2026 EV/adj. EBITDA, but this metric understates risk by excluding large tax liabilities, especially for CURLF and TCNNF.
MSOS: Trump's Green Light - Why Cannabis Stocks Are Surging On Rescheduling News (Rating Upgrade)
I am upgrading the AdvisorShares Pure US Cannabis ETF to a buy rating due to imminent regulatory catalysts. Potential cannabis rescheduling to Schedule III would eliminate 280e taxes, materially boosting MSO profitability and enabling re-ratings. MSOS offers concentrated exposure to leading U.S. multi-state operators, trading at attractive mid-single-digit EBITDA multiples.
MSOS: The Question Is Not If, But 'When' The Rescheduling Will Occur
I reiterate a Buy rating on AdvisorShares Pure US Cannabis ETF, emphasizing its compelling risk-return profile despite recent volatility. MSOS trades at 1.7x sales, below its historical average of 2x, offering a 17.6% upside to a $4.45 target if multiples revert. Regulatory progress is slow but ongoing; reclassification appears a matter of 'when,' not 'if,' with catalysts tied to legislative and credit access developments.
Investors Purchase Large Volume of Call Options on AdvisorShares Pure US Cannabis ETF (NYSEARCA:MSOS)
AdvisorShares Pure US Cannabis ETF (NYSEARCA:MSOS - Get Free Report) was the recipient of unusually large options trading activity on Monday. Traders purchased 75,622 call options on the company. This is an increase of 60% compared to the average volume of 47,335 call options. Institutional Investors Weigh In On AdvisorShares Pure US Cannabis ETF Institutional
Trump's Cannabis Rescheduling Order Could Finally Kill A Crushing Tax Rule And Transform US Weed Stocks, Says Expert
Dan Ahrens analyzes Trump's historic cannabis shift. Learn how Schedule 3 could end the 280E "narcotics trafficker" tax for US pot stocks.
MSOS: Focused Exposure To U.S. Cannabis Stocks
The AdvisorShares Pure US Cannabis ETF offers concentrated, actively managed exposure to the US cannabis industry via equities and swaps. MSOS is top-heavy, with 97% of net assets in its top 10 positions. Holdings are largely allocated to micro- and small-cap companies. Event-driven returns hinge on federal legalization momentum, particularly the potential passage of the MORE Act.
Marijuana ETFs Look to Supreme Court Legalization
Thematic ETFs have a long and storied history in the ETF ecosystem, offering investors ways to make sector bets, for example, or, craft a bespoke allocation with individual building blocks.
MSOS Has HEMP THC Prohibition Issues
I maintain a Strong Sell on AdvisorShares Pure US Cannabis ETF due to excessive volatility and structural portfolio risks. MSOS is heavily concentrated, with 69% exposure to Curaleaf, Green Thumb Industries, and Trulieve, amplifying downside risk. Recent federal hemp THC prohibition threatens growth prospects for key MSOS holdings and may force write-downs.
From Loss to Lift-Off: Marijuana ETFs Rebound on Legalization Prospects
Marijuana ETFs, such as WEED, MSOS, and CNBS, are rebounding as hopes for rescheduling boost investor optimism.
MSOS: Cannabis Investors Betting Big On Trump
Optimism that the Trump administration will soon reschedule cannabis, thereby removing the Section 280E tax burden and boosting sector profitability, has fueled a dramatic rally in cannabis stocks. MSOS ETF saw a 27.2% increase in shares outstanding and inflows of about $165 million since July, reflecting surging investor interest in U.S. cannabis stocks. MSOS aggressively increased positions in key cannabis companies, with notable additions and significant percentage increases in holdings across its portfolio.
Rescheduling Should Send MJ And MSOS Sky High
Cannabis stocks and ETFs like Amplify Alternative Harvest ETF and AdvisorShares Pure US Cannabis ETF are surging on speculation that President Trump will reclassify marijuana as a Schedule III drug. Rescheduling would reduce regulatory and banking risks, potentially unlocking new capital and investor interest, but both ETFs carry high fees and concentration risks. MJ is preferred over MSOS for its greater diversification, though both face challenges from high expense ratios and reliance on swaps.
MSOS: Headed For A New All-Time Low
MSOS has significantly underperformed the broader cannabis market, dropping 41.2% YTD versus a 27.8% sector decline. I downgraded MSOS to Strong Sell in April due to persistent risks, and the ETF has continued to fall since then. Key concerns include poor chart performance, plunging trading volume, high portfolio concentration, and waning investor interest in multi-state operators.
MSOS ETF Underperforms Compared To Canadian Cannabis Peers
MSOS holds US cannabis MSOs exclusively. It allows for exposure to US cannabis companies. US MSO stocks are historically down.
MJ And MSOS: Cannabis' Inevitable Legalization Offers High Upside Despite Blunt Risks
Cannabis legalization is inevitable, driven by shifting political, generational, and fiscal dynamics, especially as Republicans seek votes and tax revenue. Despite high risks, the upside for cannabis ETFs like MJ and MSOS is compelling, making them suitable for risk capital allocations. Demographic trends and bipartisan support suggest federal decriminalization is only a matter of time, further boosting the industry's long-term prospects.
Sell MSOS And Its 3 Largest Holdings
I am downgrading MSOS (and its top holdings to Strong Sell or Sell), to Strong Sell due to ongoing 280E taxation concerns and poor market performance. MSOS has seen significant redemptions since March and trading volume declines, with its shares outstanding increasing only 1.2% year-to-date amidst a 32.8% price drop. Despite low valuations, high debt levels and negative EPS projections for 2025 make Curaleaf and Trulieve risky investments.