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What’s the best ASX pot stock to buy?

It’s a question I’ve been asked a few times now: What is the best ASX pot stock?

First, we must keep in mind that these are essentially speculative stocks.

As such, they cannot provide us with solid data by which we can evaluate them on, only hope of future earnings.

But that is not to say we should ignore them.

Imagine getting in early on companies like Amazon or Apple, or closer to home, Altium Limited (ASX: ALU) or the a2 Milk Company Ltd (Australia) (ASX: A2M).

So, with all that in mind, let’s take a look at three hot pot stocks…

The Creso Pharma Ltd (ASX: CPH) share price ended the week at 82 cents as it closes in on the high it hit in March.

The Creso Pharma CEO Miri Halperin Wernli hopes the alliance with Canadian listed LGC Capital Ltd, based in Switzerland, will help Creso boost its prospects in cultivation, IP generation, innovation, product development and commercialisation.

The company is looking to “create an integrated cannabis products opportunity with a global footprint, covering from seed to finished goods, greatly benefitting patients and consumers”, according to Dr Wernli.

The company also announced last week that it had launched its first animal health product in Switzerland and, with a hand in Canada, the company plans to capitalise on a potentially lucrative recreational cannabis market expected to open up in 2018.

That all sounds good in addition to Creso’s announcement earlier this year that it has already started importing cannabis into Australia.

As such, Dr Wernli’s vision of Creso as an international player in the global cannabis market could soon be realised.

The Hydroponics Company Ltd (ASX: THC) share price bounced up and down and back up again last week to land at 85 cents at the close of trade on Friday.

The Hydroponics Company’s share price has made a significant comeback since it dropped to 20 cents in late October, just before the company announced it had been granted a new licence.

The Australian Government’s Office of Drug Control issued Canndeo Ltd, a subsidiary of the Hydroponics Company, with a medicinal cannabis licence for the growth and cultivation of cannabis plants.

And last week the company announced its subsidiary Canndeo had struck a deal with a “major European supplier”, Endoca.

The deal is expected to initially see a series of products imported to Australia, including cannabidiol (CBD ) oil, CBD capsules and a “unique CBD + CBDA oil”.

The MGC Pharmaceuticals Ltd (ASX: MXC) share price surged at the start of this year, hitting 10.5 cents before heading back to Earth and settling on Friday at 7.3 cents.

The MGC stock price has nearly doubled since late October when the share price started to climb prior to a series of announcements which seem to have encouraged investors.

MGC said it signed an agreement with Australian pharmaceutical distributor HL Pharma Pty Ltd to bring MGC Pharmaceuticals’ epilepsy treatment product, CannEpil, to the Australian market.

Last week the company said it had confirmed receipt of its first formal purchase order from Varm Cosmo for CBD cosmetic products under an $8 million binding agreement.

So, what does all this mean?

Again, they remain speculative stocks that seem to be fuelled by promising announcements and I wouldn’t jump in just yet.

That being said, if you’re willing to have a punt you may make some fast cash.

Other pot stocks to look at include Zelda Therapeutics Ltd (ASX: ZLD), TPI Enterprises Limited (ASX: TPE), Auscann Group Holdings Ltd (ASX: AC8) and Medlab Clinical Ltd (ASX: MDC).

We’ll be following the pot stocks and keeping you updated.

But I think there are better options out there.

Altium could be worth a closer look for an exciting stock with growth potential.

While Wesfarmers Ltd (ASX: WES) might be looking a bit sad now, and has certainly suffered a bit lately, this is a company with a great track record and always seems to deliver over the long term.

Sometimes bad news for a company can be good news for an investor.

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Motley Fool contributor Steve Holland has no position in any of the stocks mentioned. The Motley Fool Australia owns shares in Altium and a2 Milk. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.