The bill, which was passed 24 to 10 in the House Judiciary Committee on Wednesday, sent shares of Canopy Growth , Aurora Cannabis , Aphria Inc and Tilray Inc up between 8% and 15%.
"We think federal legalization would be a big positive for investor sentiment surrounding cannabis equities, which have been battered by oversupply and a steep price decline for the underlying commodity since becoming legal in
Canada," said Garrett Nelson, senior equity analyst at CFRA Research.