2024 will be a year that will start with great challenges. But in addition to starting with great challenges, it will also present very good opportunities. One of those potential opportunities is within the cannabis sector. These three cannabis stocks are an option to take advantage of the growth of the sector. 2024 is looking bright for cannabis since there are many approvals for legalization under discussion. Let’s take a look at these cannabis stocks for 2024.

Constellation Brands (STZ)

Constellation Brands (NYSE:STZ) is a big player in the alcoholic beverage industry and has caught the attention of investors, especially in the cannabis market.

They recently shared positive financial news for the second quarter of fiscal 2024, highlighting sales and operating income growth. What’s interesting is that they strategically moved away from the wine and spirits business, demonstrating a smart reallocation of resources.

What sets them apart is their genuine connection to the Hispanic consumer. They have recognized the diversity of this group, understanding factors such as generation, origin, language and gender. This knowledge drives their marketing strategies, making brands such as Modelo and Corona resonate not only with Hispanics, but with a broader audience.

In a strategic financial move, Constellation Brands surrendered warrants to purchase common stock in Canopy Growth (NASDAQ:CGC), signaling a shift in focus.

Altria Group (MO)

Altria Group (NYSE:MO) is a Richmond, Virginia-based giant of the tobacco industry known for iconic brands like Marlboro. They recently reported their financial results, revealing slightly below expectations adjusted earnings of $1.28 per share in the latest quarter. Despite a 2.5% decline in revenue to $5.28 billion, the company posted solid earnings of $1.22 per share and flat quarterly net income of $2.17 billion.

Amid all this, its shares experienced a modest 1.8% rally last quarter, but year-to-date face a 6.3% decline. Analysts have been adjusting their expectations, with a slight 0.3% decline in average earnings estimates over the past three months, and three analysts have recently revised down their forecasts.

Adding a human touch, they recently held an investor day conference in New York City, led by CEO Billy Gifford. They outlined their business goals for 2028, emphasizing financial growth, U.S. smoke-free cigarette volume and revenue targets. Altria aims to expand its smoke-free portfolio by 35% over the 2022 base and double net revenues to $5 billion, of which $2 billion will come from innovative smoke-free products.

Looking ahead, the company has also expressed its ambitious plans to compete internationally in the smoke-free and nicotine-free markets, as it sees them as important growth opportunities.

WM Technology (MAPS)

WM Technology (NASDAQ:MAPS), is a key player in the cannabis industry, and is gaining attention as a potential portfolio addition in 2024.

In the third quarter, they posted revenue of $47.725 million, slightly above the $47.3 million expected. However, the company faced a pre-tax loss of $2.5 million.

Despite these financial problems, many investors are optimistic about WM Technology. The cannabis industry is growing rapidly, especially with the legalization of cannabis in more places.

WM Technology can benefit from this trend by strategically positioning itself in the market. Investors considering this stock for their portfolios in 2024 are likely betting on the company’s growth potential in a dynamic and expanding sector.

As we move forward, it will be crucial to keep a close eye on how WM Technology navigates these financial challenges and capitalizes on emerging opportunities in the evolving cannabis market. The company’s role in this changing landscape makes it an interesting prospect for those looking to align their investments with evolving trends in the cannabis sector.

As of this writing, Gabriel Osorio-Mazzilli did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.