Aurora Cannabis Inc. (ACB) shares jumped more than 23 percent in the pre-market trading Thursday, as Democratic candidate Joe Biden leads in the U.S. presidential contest. Biden and Kamala Harris, Democratic vice-presidential nominee, vowed during their election campaign that they would legalize marijuana if they got elected.
Speaking during an interview last month, Harris even said that her party would expunge the records of people convicted to offences related to marijuana.
Biden has achieved a clear lead in the presidential election race, which is why the major cannabis producers including Aurora (ACB) is rallying in the pre-market today on hopes of expanding their operations in the U.S. if Democratic party meets its promise of decriminalizing marijuana.
Leading Canada-based cannabis producers have been trying to step into massive marijuana market of the U.S. However, they have been holding their plans as marijuana is not legal at the federal level in the country as of now. But for now, these companies have to wait for changes in federal regulations regarding use of marijuana.
Top cannabis producers have been doing their business in the countries where cannabis is legal for both medical and recreational use. But given the huge size of U.S. market, many have been closely watching the ongoing election, as their fate is somehow associated with the results.
Aurora (ACB) is currently trading around $5.45. The company’s stock has been on a roller coaster ride since the start of the Covid-19 pandemic. ACB share price has lost more than 80 percent of its value so far this year. The 52-week range of the stock is $3.71-$45.84. At the current trading price, the company has a market a market value of $867.616 million. Its average volume is 8.77 million, while its P/E ratio stands at 25.16.