Listen to this article now

Recently, there has been a rise in the CBD market. It is currently worth $390 million and is expected to grow to $1.3 billion by 2022. CBD, or cannabidiol, is derived from the hemp plant. It does not cause a “high”. THC, or tetrahydrocannabinol, is CBD’s cousin which causes a psychoactive effect. CBD is mainly used for its health benefits. It can treat anxiety, acne, depression, arthritis, epilepsy, heart disease, joint pain, cancer, IBS, glaucoma, migraines, and PTSD. It works by directly influencing the receptors in the endocannabinoid system, which heals many ailments and diseases.

Cannabis oil in a small bottle with bud and leaf on wooden surface

These CBD Companies are on Fire

Canopy Growth Corp.

Canopy Growth is the first cannabis company in North America to be publicly traded. Bruce Linton Mark Zekulin and Chuck Rifici founded this company in 2013. They are dedicated to selling affordable medical cannabis to patients and educating their consumers on CBD. Martha Stewart has invested in this company and they remain king of the cannabis world at the moment.

MedMen center. Photo courtesy of Seeking Alpha

This cannabis company owns 19 licensed cannabis facilities in cultivation, manufacturing, and retail. It was co-founded in 2010 by CEO Adam Bierman and President Andrew Modlin. Unlike most CBD companies, they ventured out and opened up shop outside of their hometown Los Angeles. They have partnered with Gwyneth Paltrow’s brand Goop and are known as the Apple of the CBD business. This company is worth 1.6 billion and hopes to reach $20 billion in the near future.

CV Sciences

This company is Nevada based. They operate two businesses segments: a drug development division (focused on developing and commercializing therapeutics utilizing synthetic CBD) and a consumer product division in manufacturing, marketing and selling plant-based CBD products to market sectors. Their sales increased by 133% from 20.7 million to 48.2 million. Over 1,500 stores are selling their products, which help smokers steer away from tobacco products and towards CBD sprays, drops, soft gels, balms, and gummies.

Aurora Cannabis (AC)

This company has a funded capacity of more than 500,000 kilograms per year and operates in 24 countries across 5 continents. They are the most-held stock on the online investing app Robinhood. They’re attracting attention from millennial investors, as well as billionaire investors such as Ken Griffin and James Simon. Citadel Advisors, led by Ken Griffin, bought $11.2 million of AC shares and James Simon’s Renaissance Technologies has bought more than $7.1 million in stock.

With the rise in demand for CBD products, there has been a simultaneous rise in competition. Innovation is key to this business and many companies are testing new products that will satisfy our CBD appetite.

What other CBD companies should we be on the lookout for? Let us know down in the comments!

This article originally published on GREY Journal.