Is OrganiGram Stock A Good Buy in the CBD Industry?

The coronavirus pandemic has had a massively negative impact on a range of industries, and the cannabis industry was not completely unscathed from it either. However, things could be changing soon. In a new development, it has emerged that Organigram Holdings (TSX:OGI) (NASDAQ:OGI) has decided to bring back its employees to work.

Major Analysis

The company published an update on Thursday last week with regards to this matter. The company stated that it is going to get its employees back to work in phases in light of the fact that the coronavirus crisis has eased in New Brunswick, its native province.

According to OrganiGram, a total of 50 employees are going to return to work at its offices in Moncton. Depending on the safety and general health guidelines provided by the authorities, the company is going to take a call on the next phases. Additionally, the company’s business needs are also going to be a factor in the entire process.

However, it goes without saying that the announcement from OrganiGram has come as a positive for the industry at large. It remains to be seen if other producers in Canada take such steps.

The provincial authorities in Canada have handled the coronavirus pandemic quite effectively, and that has apparently given OrganiGram the confidence to start bringing back its employees. The company, however, added that the standard safety precautions that have now become the norm throughout the world are going to be implemented. Measures like social distancing, regular cleaning, and sanitization of surfaces are going to be followed.

Many cannabis companies, including OrganiGram, had gone through difficulties in recent months despite the fact that cannabis dispensaries had stayed open during the crisis. The industry had been in trouble even before the crisis due to a range of issues starting from oversupply to a slow rollout of stores in Canada.

About Travis 491 Articles
Started investing in 2013 with $8,500 I turned that into 180k within a few months. Every year since I have increased the amount of money made from micro cap stocks and stock options.

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