Archives for March 2019

John Mackey, CEO of Amazon subsidiary Whole Foods, recently sat down with a reporter from The Texas Tribune.

The reporter bagged a great quote – and we investors got quite an earful, too. It's worth us taking a minute to parse out, because there are real implications for our marijuana investments.

Mackey was talking with the Tribune about the possibility of carrying cannabis products in his stores: "If cannabis is ever passed in Texas, chances are good that grocery stores will be selling that, too."

And it seems Mackey may even be open to a variety of products. When asked whether we would ever see cannabis edibles in a Whole Foods outlet, Mackey said, "Let's see what happens with the market and the government regulations over time."

Financial journalists have been making a lot of hay over these statements, and that's understandable.

After all, if cannabis were available in major grocery stores, the potential profits for any party involved would be incredible; it would certainly be a turning point in cannabis' lucrative journey into the American mainstream.

I agree that it's fairly likely we'll see cannabis products in grocery stores in the near future. But there's a caveat: The "arrival" is going to play out a little differently than everyone – Mackey included – may be thinking.