Investors in marijuana stocks may have to wait a little longer for something to cheer, as an early bounce faded Wednesday, placing the sector in danger of extending an already lengthy losing streak.
The Horizons Marijuana Life Sciences exchange-traded fund HMMJ, -1.66% fell 1.5% in by midday, after erasing an earlier gain of as much as 3.4%. The sector tracker had tumbled 24% amid a six-session losing streak through Tuesday, which was the longest stretch of losses since the seven-day streak ending June 9, 2017.
The ETFMG Alternative Harvest ETF MJ, -0.31% slipped 0.2%, after being up 3.3% at the intraday high. The ETF had dropped 22% the past six days.
The sector has had a rough time since marijuana became fully legal for adult use in Canada on Oct. 17.
Among the most active pot stocks, Aurora Cannabis Inc. ACB, +1.17% seesawed back into positive territory, rising 0.6% in late-morning trades after being up as much as 6.9% then down as much as 1.7% before bounding back. The stock had marked its NYSE debut on Tuesday with a 12% plunge. Read more MarketWatch’s profile on Aurora Cannabis.
Shares of ICC Labs Inc. ICC, -2.89% , the company Aurora said last month it was buying for the U.S. dollar equivalent of about $220.4 million, fell 0.6%. The Vancouver-based producer and distributor of medicinal cannabinoid extracts and recreational hemp in Uruguay and medicinal cannabis in Colombia said Wednesday that advisory firms Institutional Shareholder Services Inc. and Glass Lewis & Co. both recommended ICC shareholders for in favor of the acquisition by Aurora.
Shares of Tilray Inc. TLRY, -5.09% tumbled 4.6%, reversing an earlier gain of as much as 5.8%, and have now plunged 31% over the past six sessions.
Among other active stocks, Canopy Growth Corp. CGC, -2.34% dropped 3.6%, Cronos Group Inc. CRON, -1.78% shed 2.3%, Aprhia Inc. APHQF, -2.17% lost 2.2%, Hexo Corp. HYYDF, +3.82% rose 1.9%, New Age Beverages Corp. NBEV, -8.72% slid 8% and Supreme Cannabis Co. SPRWF, +2.75% gained 5.3%.
Elsewhere, shares of GW Pharmaceuticals PLC GWPH, -2.09% slipped 0.8%, Green Organic Dutchman Holdings Ltd. TGODF, +1.02% lost 1.3%, India Globalization Capital Inc. IGC, -6.26% slumped 10% and MedMen Enterprises Inc. MMNFF, -2.38% slid 5.3%.
Don’t miss: Possible red flags for potential investors in IGC
Shares of Corbus Pharmaecuticals Holdings Inc. CRBP, -1.05% , which develops drugs to treat inflammatory and fibrotic diseases by targeting the endocannabinoid system, rose 0.3%.
B. Riley FBR analyst George Zavoico started coverage of the company with a buy rating and a share- price target of $22, which is 206% above current levels, citing optimism over the outlook for ongoing clinical trials. “If the trials show a significant improvement in disease symptoms, quality of life and reduction in caregiver burden, [then] we expect rapid adoption by patients who are poorly served with available therapies,” Zavoico wrote in a note to clients.
Despite the sector’s long streak of losses, the Horizons ETF was up 21% the past three months and the ETFMG ETF was up 21%, while the S&P 500 index SPX, -1.25% has lost 4.1%.
Check out next: MarketWatch’s comprehensive coverage of the cannabis sector, including profiles of a number of key players, in one place
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