Cannabis Stocks with Lowest Dilution
Updated March 2026Cannabis companies with the lowest share dilution rates. Stocks that are protecting existing shareholders from equity dilution.
Share dilution is one of the most persistent and destructive forces affecting cannabis stock investors. When a company issues new shares — whether through at-the-market (ATM) offerings, secondary offerings, warrant exercises, or stock-based compensation — the ownership percentage of existing shareholders is reduced. In the cannabis industry, where many companies are cash-flow negative and have limited access to debt financing, equity issuance has been the primary source of funding, leading to significant dilution across the sector.
Companies with low dilution rates are signaling to the market that they can fund operations through internally generated cash flow, strategic use of debt, or disciplined capital management. These businesses have either achieved profitability, maintained conservative growth strategies, or found alternative funding sources that do not require issuing new shares. For long-term investors, low dilution is a critical quality signal — it means the value you are buying today is less likely to be eroded by future share issuance.
The ranking below lists cannabis stocks by dilution rate from lowest to highest, surfacing the companies that are doing the best job protecting existing shareholder value. A dilution rate near zero indicates the share count has remained relatively stable, while negative values would indicate the company has been buying back shares (rare in cannabis but increasingly possible as more companies generate free cash flow).
Cannabis Stocks with Lowest Dilution — Full Rankings
30 stocks · Ranked by dilution rate
| # | Ticker | Name | Price | Change | Market Cap | Revenue | Margin | P/S | Dilution Rate |
|---|---|---|---|---|---|---|---|---|---|
| 1 | JAZZ | Jazz Pharmaceuticals | $178.55 | -1.66% | $10.99B | $4.16B | — | 2.64x | 0.0% |
| 2 | SMG | Scotts Miracle-Gro | $60.96 | +0.96% | $3.54B | $3.35B | 25.0% | 1.06x | 0.0% |
| 3 | CURLF | Curaleaf Holdings | $2.36 | +2.83% | $1.80B | $0 | — | — | 0.0% |
| 4 | TPB | Turning Point Brands | $90.62 | +0.69% | $1.73B | $463.1M | 55.9% | 3.75x | 0.0% |
| 5 | GTBIF | Green Thumb Industries | $6.56 | +7.01% | $1.54B | $0 | — | — | 0.0% |
| 6 | IIPR | Innovative Industrial Properties | $52.66 | -2.34% | $1.48B | $276.0M | — | 5.37x | 0.0% |
| 7 | TCNNF | Trulieve Cannabis | $6.40 | +4.92% | $1.22B | $0 | — | — | 0.0% |
| 8 | CRON | Cronos Group | $2.50 | +0.81% | $947.6M | $146.6M | 36.4% | 6.46x | 0.0% |
| 9 | TLRY | Tilray Brands | $6.89 | -1.57% | $802.7M | $837.3M | 26.4% | 0.96x | 0.0% |
| 10 | MSOS | AdvisorShares Pure US Cannabis ETF | $3.82 | +1.33% | $764.3M | $0 | — | — | 0.0% |
| 11 | GLASF | Glass House Brands | $7.50 | -2.72% | $608.3M | $0 | — | — | 0.0% |
| 12 | VRNOF | Verano Holdings | $1.26 | -8.70% | $457.6M | $0 | — | — | 0.0% |
| 13 | SNDL | SNDL Inc | $1.51 | -5.03% | $388.8M | $0 | — | — | 0.0% |
| 14 | CGC | Canopy Growth | $1.02 | -2.86% | $385.4M | $278.4M | 28.8% | 1.38x | 0.0% |
| 15 | KERN | Akerna Corp | $6.27 | +24.64% | $376.3M | $6.8M | 402.0% | 55.05x | 0.0% |
| 16 | NLCP | NewLake Capital Partners | $15.43 | -1.09% | $370.3M | $0 | — | — | 0.0% |
| 17 | INNPF | InnocanPharma | $5.07 | 0.00% | $354.9M | $0 | — | — | 0.0% |
| 18 | CRLBF | Cresco Labs | $0.97 | -0.27% | $346.1M | $0 | — | — | 0.0% |
| 19 | VFF | Village Farms International | $2.87 | -6.51% | $331.5M | $253.3M | 38.7% | 1.31x | 0.0% |
| 20 | PLNHF | Planet 13 Holdings | $0.91 | +5.21% | $295.8M | $0 | — | — | 0.0% |
| 21 | LFLY | Leafly Holdings | $135.50 | +17.98% | $271.0M | $34.6M | 90.2% | 7.82x | 0.0% |
| 22 | TSNDF | TerrAscend Corp | $0.68 | +0.37% | $261.4M | $0 | — | — | 0.0% |
| 23 | REFI | Chicago Atlantic Real Estate Finance | $12.09 | +0.33% | $254.9M | $55.4M | — | 4.60x | 0.0% |
| 24 | CCHWF | Columbia Care | $1.14 | -4.20% | $232.6M | $0 | — | — | 0.0% |
| 25 | HITI | High Tide Inc | $2.46 | +2.50% | $216.1M | $0 | — | — | 0.0% |
| 26 | ACB | Aurora Cannabis | $3.43 | -3.65% | $194.5M | $0 | — | — | 0.0% |
| 27 | OGI | Organigram Holdings | $1.41 | -2.76% | $190.6M | $0 | — | — | 0.0% |
| 28 | GDNSF | Vireo Growth (Goodness Growth) | $0.44 | -1.12% | $182.2M | $0 | — | — | 0.0% |
| 29 | MJ | ETFMG Alternative Harvest ETF | $24.79 | +0.74% | $123.1M | $0 | — | — | 0.0% |
| 30 | CBWTF | Auxly Cannabis Group | $0.09 | +1.07% | $111.6M | $0 | — | — | 0.0% |
Top 3 Spotlight
Jazz Pharmaceuticals
Jazz Pharmaceuticals ranks #1 in the cannabis stocks with lowest dilution category with a share price of $178.55 and a market capitalization of $10.99B. The company operates in the Biotech sector and is listed on the NASDAQ. With trailing twelve-month revenue of $4.16B and a gross margin of N/A, JAZZ represents the top-ranked stock in this category based on dilution rate.
Scotts Miracle-Gro
Scotts Miracle-Gro ranks #2 in the cannabis stocks with lowest dilution category with a share price of $60.96 and a market capitalization of $3.54B. The company operates in the Ancillary sector and is listed on the NYSE. With trailing twelve-month revenue of $3.35B and a gross margin of 25.0%, SMG represents the second-ranked stock in this category based on dilution rate.
Curaleaf Holdings
Curaleaf Holdings ranks #3 in the cannabis stocks with lowest dilution category with a share price of $2.36 and a market capitalization of $1.80B. The company operates in the MSO sector and is listed on the OTC. With trailing twelve-month revenue of $0 and a gross margin of N/A, CURLF represents the third-ranked stock in this category based on dilution rate.
Methodology
Stocks are filtered to include companies with non-negative dilution rates and ranked in ascending order by dilution rate, surfacing the least dilutive companies first. Data is sourced from company filings, exchange feeds, and financial data providers. Rankings update automatically as new data becomes available. All financial figures are based on trailing twelve-month (TTM) data unless otherwise noted. The current ranking includes 30 qualifying stocks out of 100 total cannabis companies tracked by Cannabismarketcap.
Key Observations
The top-ranked stock in the cannabis stocks with lowest dilution category is JAZZ (Jazz Pharmaceuticals) with a dilution rate of 0.0%. The stock trades at $178.55 per share with a market capitalization of $10.99B. In second place is SMG (0.0%), followed by CURLF (0.0%) in third.
Across all 30 qualifying stocks, the average share price is $21.21 and the average market capitalization is $1.03B. The combined trailing twelve-month revenue of all companies in this category is $9.86B. The average gross margin among companies with positive margins is 87.9%. The average price-to-sales ratio is 8.22x.
The most represented sector in this category is MSO with 10 out of 30 companies (33%). Among the ranked stocks, 15 are trading higher today while 14 are trading lower. Investors should use these observations as a starting point for further research rather than as the basis for trading decisions.
Investment Considerations
When evaluating stocks in the cannabis stocks with lowest dilution category, consider looking beyond the primary ranking metric to build a holistic view of each company. A stock that ranks well by dilution rate may have weaknesses in other areas — such as high debt, poor margins, or slowing growth — that the ranking alone does not capture. Cross-reference this list with other Cannabismarketcap category pages and the screener tool to identify stocks that score well across multiple dimensions.
Position sizing is particularly important in cannabis. The sector is inherently volatile, and even the strongest companies can experience 30-50% drawdowns during sector-wide sell-offs triggered by legislative disappointments or broader market risk-off events. Most financial advisors suggest limiting total cannabis exposure to 5-15% of your portfolio, and individual positions to 1-3% depending on your risk tolerance and conviction level.
Dollar-cost averaging (DCA) is a widely recommended approach for building cannabis stock positions over time. Rather than investing your entire allocation at a single price point, spreading purchases across weeks or months can reduce the impact of short-term volatility and lower your average cost basis if prices decline after your initial purchase. This strategy is particularly relevant for the stocks in this category given the sector's history of sharp and sometimes prolonged drawdowns.
Risk Factors
Risk Warning
Low current dilution does not guarantee low future dilution. A company with a stable share count today may need to raise equity capital in the future if business conditions deteriorate, debt matures, or growth opportunities require additional funding. Some companies maintain low dilution rates by taking on more debt, which creates its own set of risks. Additionally, low dilution in cannabis can sometimes indicate a company that lacks access to capital markets rather than one that is choosing not to dilute — the distinction matters. Always pair dilution analysis with an assessment of the company's cash position, cash burn rate, and upcoming capital needs.
Compare These Stocks
Head-to-head comparisons between top-ranked stocks in this category.
Frequently Asked Questions
What is share dilution and why does it matter?
Share dilution occurs when a company issues new shares, increasing the total share count and reducing each existing share's percentage ownership of the company. If a company has 100 million shares and issues 20 million new shares, existing shareholders' ownership is diluted by approximately 17%. Dilution matters because it directly reduces earnings per share, cash flow per share, and book value per share — even if the company's total metrics are growing. In cannabis, dilution has been particularly aggressive, with some companies more than doubling their share counts over 2-3 year periods.
How much dilution is typical for cannabis stocks?
Cannabis stocks have experienced some of the highest dilution rates of any sector. Annual dilution rates of 10-30% have been common among smaller operators, while even larger companies may dilute 5-15% annually. By comparison, mature companies in the S&P 500 typically have dilution rates of 1-3% from stock-based compensation, and many actively buy back shares, resulting in negative net dilution. Cannabis companies with annual dilution below 5% are considered relatively shareholder-friendly for the sector.
How does dilution affect cannabis stock prices?
Dilution creates persistent downward pressure on stock prices. When a company announces a new share offering, the stock price typically drops immediately because each share now represents a smaller piece of the company. Over time, ongoing dilution can overwhelm fundamental business improvements — a company might grow revenue by 20% but if shares outstanding also grow by 20%, the per-share economics are flat. Many cannabis stocks have experienced devastating price declines that are partly attributable to aggressive dilution rather than purely business deterioration.
Can cannabis companies buy back shares instead of diluting?
In theory, yes — and a growing number of profitable cannabis companies have announced share buyback programs. However, buybacks require positive free cash flow and sufficient cash reserves, which most cannabis companies are only now beginning to achieve. Regulatory restrictions on capital usage may also limit buyback activity. As the cannabis sector matures and more companies reach sustained profitability, share buybacks are expected to become more common, potentially reversing years of dilution for the most successful operators.
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Disclaimer: The information on this page is for informational and educational purposes only and does not constitute investment advice, a recommendation, or a solicitation to buy or sell any security. Cannabis stocks are highly speculative and carry significant risk of loss, including the potential loss of your entire investment. Past performance is not indicative of future results. The rankings and data presented are based on publicly available financial information and may contain errors or omissions. Always do your own research and consult with a qualified financial advisor before making investment decisions. Cannabismarketcap is not a registered investment advisor, broker-dealer, or financial planner.