TL;DR: Thursday, June 25 delivered a trifecta of structural catalysts for the cannabis sector — DOJ rescheduling hearings formally opened, Tilray posted record international revenue, and Curaleaf cleared a major uplisting hurdle. With the MSOS sector holding near 2026 highs heading into Friday’s session, investors are now watching for hearing testimony and follow-through volume to confirm the breakout.
Market Analysis
June 25 was a rare day in cannabis markets: multiple independent catalysts arrived simultaneously, and the sector held its gains. The AdvisorShares Pure US Cannabis ETF (MSOS), widely used as the sector benchmark, has been grinding toward its 2026 highs — and Thursday’s news gave it the fundamental backdrop to justify that move.
Tilray Brands (TLRY) anchored the session’s early tone after reporting record Q3 FY2026 revenue, led by a 73% surge in international cannabis sales. While TLRY’s U.S. business remains constrained by federal prohibition, the international performance underscores the LP’s strategic positioning for a post-Schedule III world. Investors in Canadian LPs have long argued that international infrastructure built under looser regulatory frameworks will translate directly into U.S. market share once access opens — Thursday’s numbers gave that thesis a data point.
Curaleaf (CURLF) provided the second major catalyst: shareholders formally approved the company’s Delaware redomicile. A Delaware domestic company can list on major U.S. exchanges — NYSE, Nasdaq — and attract the institutional capital flows that have been structurally locked out of the cannabis sector. Curaleaf’s approval is a template for the sector. Track CURLF, GTBIF, and peers on our cannabis stock tracker.
Regulatory and Market Context
The biggest structural development of the day — and arguably the month — was the Department of Justice formally opening adult-use cannabis rescheduling hearings, with full 280E tax code relief explicitly on the table. Section 280E prohibits cannabis businesses from deducting ordinary expenses because cannabis remains Schedule I — leaving profitable MSOs with effective tax rates that can exceed 70%. Full 280E relief could add /bin/bash.20 to /bin/bash.80 per share in annualized earnings to top-tier operators.
The DEA administrative law judge finalized the hearing timeline on the same day, providing a concrete procedural roadmap. A confirmed schedule for formal federal hearings signals that this process has genuine bureaucratic momentum — a meaningful departure from the indefinite delays that have characterized prior reform attempts.
The convergence of DOJ opening arguments, a finalized DEA hearing calendar, and two blue-chip company-level catalysts in a single trading session is historically unusual. It suggests the regulatory environment is shifting from theoretical to operational.
What to Watch on Friday, June 26
Friday’s session will test whether Thursday’s catalysts represent durable institutional re-rating or a one-day event spike. Key indicators: MSOS volume and price structure (a hold at 2026 highs with institutional support is meaningful); DOJ hearing testimony (any inter-agency consensus on 280E will move CURLF and GTBIF in real time); Tilray analyst follow-through (upgrades or revised price targets in the two-session reaction window confirm LP repricing); and after-hours filings from quiet MSOs — Green Thumb Industries and Verano Holdings have been notably silent relative to peers.
Conclusion
Thursday, June 25 will be marked as a pivotal day in cannabis sector history. The DOJ opening formal adult-use rescheduling hearings with 280E relief explicitly on the agenda is a structural shift, not a headline. Combined with Tilray’s record revenue and Curaleaf’s exchange-uplisting milestone, the sector closed Thursday with fundamentals that were materially better than 24 hours prior. Whether Friday confirms the breakout or pauses for consolidation, the direction of travel is now backed by regulatory evidence that was absent for years.