A rotation into cannabis stocks by retail investors has a lot more room to run as the latest meme-stock rally fades, research firm says

A rotation into cannabis stocks by retail investors has a lot more room to run as the latest meme-stock rally fades, research firm says

The meme-stocks rally that's propelled up more than 2,200% so far this year is showing signs of exhaustion, but a recent pickup in buying of cannabis stocks including suggests that space could be the next center of attention for retail investors, according to a research firm. "Retail purchases of meme stocks probably peaked on Wednesday," said Vanda Research on Friday, noting a slowdown in net inflows into shares of AMC, the top recipient of retail investment money in recent weeks. Its rally has carried through to and other stocks favored by retail investors active on social media such as Reddit's Wall Street Bets platform. Vanda monitors retail trading activity in more than 9,000 US stocks and ETFs. Meanwhile, inflows of $28.6 million into shares of cannabis companies and on Thursday were the strongest since earlier rallies in the first quarter of the year. That marked the first clear signs of a rotation out of meme stocks, said Vanda. There was also a significant pick-up in retail flow on Friday for Tilray, Sundial and , three of the largest cannabis stocks traded in the US. Meme stocks bounced back into the spotlight for retail investors in late May as bitcoin and