The most lucrative and most controversial industry in a long time is cannabis — and it’s killing it, earnings-wise, even during the insanity of the COVID-19 pandemic.
In updated market forecasts released by BDSA (formerly known as BDS Analytics), the group predicts that long term, worldwide cannabis sales will hit $47.5 billion by 2025. Based on current BDSA figures, the global cannabis market is anticipated to increase by 38% from 2019 to 2020, with sales topping $19.7 billion in 2020. You read that right. Say it in your best Dr. Evil voice: Almost. Twenty. Billion. Dollars.
All in all, the compounded annual growth rate (CAGR) for the industry will be 22% between now and 2025.
Sales in many stateside markets have done better than expected; forecasts for Colorado, Illinois, Michigan, New Mexico, Oklahoma and Oregon were revised upward as a result of the coronavirus. Nevada seems to be the struggling lone wolf, however. The state’s heavy reliance on tourism means that sales during COVID-19 dropped and have struggled to return to pre-pandemic levels.