I know. Everyone likes to think of psychedelic stocks — the companies making new, psychedelic-inspired treatments for mental health disorders — as the second coming of cannabis stocks. Whereas the cannabis industry is centered around making recreational pot accessible to everyone — which opens the door up to commoditization — the psychedelics industry is about making specialized medicines accessible to a small segment of the population.
These medicines have to be developed, and the science behind them is quite rigorous, meaning development is a huge barrier-to-entry. On top of that, they have to go through rigorous FDA trials — another huge barrier-to-entry. They have to pass those trials — another huge barrier-to-entry. And they have to win mass doctor approval — yet another huge barrier-to-entry. In other words, while the cannabis industry has essentially no barriers to entry, the psychedelics industry is comprised of nothing but barriers to entry.
During treatment, patients need to be in controlled environments. They need to feel comfortable when taking the medication. They need to be safe. And guess what psychedelic companies are doing? Folks — the Shroom Boom is nothing like the Pot Boom. The latter is the archetype of commoditization.
The former is the quintessence of building competitive advantages. Which is why pot stocks are a horrible investment, but psychedelic stocks are a fantastic investment. And take that money and go all-in with psychedelic stocks. To get the name, ticker symbol, and key business details of that tiny company — and to access dozens of other hypergrowth tech stock picks right now — click here.
On the date of publication, Luke Lango did not have either directly or indirectly any positions in the securities mentioned in this article.
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