Better Buy: Aurora Cannabis vs. Scotts Miracle-Gro

Aurora Cannabis (NYSE:ACB) and Scotts Miracle-Gro (NYSE:SMG) shareholders are probably glad that 2018 is behind them. Aurora’s share price fell 35% last year — although the steep drop stemmed entirely from dilution caused by issuing new shares — while Scotts Miracle-Gro stock plunged nearly 43%.

It’s a new year now, and both stocks have gotten off to a good start. 2019 should be a better year for both Aurora Cannabis and Scotts Miracle-Gro for several reasons. But which is the better pick for long-term investors? 

Image source: Getty Images.

The case for Aurora Cannabis

If you like simple investing theses, you’ll probably love the investing thesis for Aurora Cannabis. It can be summarized in two statements:

  1. Global demand for cannabis will soar.
  2. As the producer with the greatest production capacity, Aurora Cannabis stock will soar, too.

I doubt that anyone would honestly argue against the first proposition. Supply isn’t keeping up with

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