Dec 28, 2022
When it comes to the United States (US) cannabis industry, Illinois is a market that we are highly focused on.
During the last few years, total recreational cannabis sales have been steadily increasing in Illinois and we are favorable on the trend. Although the growth of the recreational cannabis industry is not as obvious when analyzed on a month-over-month basis, we remain bullish on the long-term opportunity in the state.
In November, Illinois’ Department of Financial and Professional Regulations (IDFPR) published reported more than $130 million of recreational cannabis sales. In the prior month, the state sold approx. $1 million more of recreational cannabis sold. We attribute the decline to lower out-of-state sales and will monitor how the state closes out the year.
So far this year, there have been more than $1.4 billion of recreational cannabis sales in Illinois and we are impressed with how the industry has grown on a year-over-year basis. The state has already sold more recreational cannabis than it did in all of 2021 (approx. $1.38 billion) and we are favorable on the trend.
When compared to prior years, the market seems to be less interested in companies that are levered to Illinois. We find this shift in sentiment to be surprising and will monitor how/if this trend changes in 2023.
We continue to view Illinois as a high-profile US cannabis market and will be working to identify undervalued operators in the state. The reason for this is analysis is based on our view that there will be increased consolidation in the state.
https://technical420.com/cannabis-article/why-you-need-to-care-about-illinois-cannabis-market/#
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