Summary
The Farm Bill is very close to passing which would make CBD legal in all 50 states.
Coca Cola announced today that they are considering entering the CBD beverage world.
This could look to bring in more revenue and grow their market presence.
Investment Thesis
We all have heard the controversy of Coca Cola (KO) and how they infused cocaine into their drinks dating up until 1929 when the company halted production with cocaine after studies of the negative effects surfaced. Now, Coca Cola has the chance to make CBD infused drinks that will be CBD infused. They have considered this after speculation around the Farm Bill passing and CBD health benefits have proven to be amazing. The company released today that they are considering venturing into the world of CBD infused drinks. This is music to KO investors ears as this brings in a way to make money on a business that has a bright future. With CBD being used for medical needs, many patients much rather drink or eat it than smoke it. With Coca Cola being the biggest name in beverages, their CBD drink is expected to be the most popular. This venture could bring in major revenue and profit for Coca Cola and would benefit the investors.
