Prior to this awful coronavirus outbreak, legal marijuana sales were projected to reach $2.6 trillion by 2030. At the end of 2018, legal marijuana revenue was just $10.8 billion.

Is that 20,000% growth still in the cards for the marijuana industry?

About a third of the economy could slip away this summer. The U.S. Federal Reserve estimates more than 30% unemployment through the COVID-19 crisis.

The cannabis industry has taken a hit too. The ETFMG Alternative Harvest ETF (NYSEArca: MJ) is down 37% since the start of 2020.

Now, with everything locked down and only “essential” stores open, some cannabis stocks are struggling.

But good news, cannabis investors. Supply chains in the marijuana industry are down but not out. In fact, our top cannabis stock today is poised for 114% growth over the next 12 months.

Why the Marijuana Sector Isn’t Lost

We expected some huge gains for marijuana stocks as legalization became a more central topic approaching elections this year.

Much has changed with a surprise pandemic slowing production of vape pens, trade shows, and tourism to legal cannabis states such as Nevada.

But the cannabis trend is not going away. You could at least expect marijuana to thrive once the pandemic subsides. It’s becoming more of a staple in everyday life as medical and recreational use is normalized.

So much so that medical marijuana dispensaries are remaining open in many states during lockdowns. Dispensaries are considered “essential” in at least 20 states.

Some cannabis products are even available in grocery stores. For example, CBD oils and lotions from CV Sciences Inc. (OTCMKTS: CVSI) are available at Kroger Co. (NYSE: KR) and Harris Teeter. These will remain open in all states during the lockdown.

Marijuana seems to have a long-term foothold that’s only getting stronger amid the viral outbreak. And certain marijuana stocks are at incredible values right now. So when you hear this is the “buying opportunity of a lifetime,” believe it.

No one expected to have a crack at today’s top pot stock at its current price. Here’s one of the best cannabis stocks to buy for 114% gain this year…

The Top Cannabis Stock for the Coronavirus Crash

Innovative Industrial Properties Inc. (NYSE: IIPR) can more than weather the storm right now.

It serves companies like Trulieve in Florida, PharmaCann in New York, Green Leaf in Pennsylvania, and Holistic in Maryland. These are considered “essential” in their respective states and will remain open in a lockdown.

And that’s just a handful of more than 50 clients, mostly dispensaries, across the United States. While other REITs might take a hit as businesses close and rents are in doubt, Innovative primarily leases to dispensaries that are staying open.

You see, this is a cannabis real estate investment trust (REIT). It provides cannabis companies with long-term leases on land for processing and cultivation.

It’s a unique service because many financial firms are still adjusting to the “taboo” of marijuana. Some would not work with marijuana companies due to cannabis laws in their own state.

While the coronavirus outbreak has set back the stock price, Innovative Industrial is still making money in the downturn. Its contracts are as long as 20 years, so the company is collecting rent even while everything closes.

Innovative Industrial has a presence in 15 states totaling 53 properties. Similar to many REITs, IIPR also pays a solid dividend yield over 6% from those rents.

You can pick up shares of IIPR for just $70 today. Analysts give it a high target of $151, which would be 114% profit over the next 12 months.

Action to Take: The cannabis industry has been projected for massive growth over the next decade. The coronavirus outbreak might have slowed it down, but it put one of our top cannabis stocks at an incredible bargain. You can pick up Innovative Industrial Properties Inc. (NYSE: IIPR) for $70 and a chance at 114% profit by the end of the year.

— Mike Stenger

Source: Money Morning