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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};ge("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat($n)),notifLabel:document.querySelector(".".concat(Xn))};t.notifDropdown&&so(e,t)}))}()}};]]>Reuben Gregg Brewer, The Motley FoolThu, February 26, 2026 at 3:50 PM GMT+1 3 min readOne of the hardest things to do in life is to admit you are wrong. When it comes to investing, this often manifests itself in holding on to a stock position that has a huge paper loss in the hope that you'll get back to breakeven some day.If that's the position you find yourself in with Canopy Growth (NASDAQ: CGC), it might be time to dump your shares. Here's why.Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »Canopy Growth's stock had been trading on the Toronto Stock Exchange for some time before it listed on the New York Stock Exchange in 2018. That was a fairly important time for marijuana stocks, because the sector was benefiting from investor enthusiasm as more and more regions legalized the use of the drug.Image source: Getty Images.The stock took off like a rocket, hitting a peak of just over $568 a share. Unfortunately, the excitement around marijuana stocks has cooled dramatically, and Canopy Growth's stock now trades hands for a touch over $1 a share. If you bought in at the highs, you are sitting on a massive paper loss. It would require an astounding rally to get investors back to breakeven if they bought the stock between 2018 and 2019 or even during a brief rally in 2021.At this point, Canopy Growth is a money-losing penny stock. Add in a rapidly expanding share count, and you get shareholder dilution concerns, too. It's just not a great investment story.The question you have to ask yourself is what you can do with the paper losses if you bite the bullet and dump the stock. One of the wonderful things about investing is that you can harvest losses to offset realized capital gains elsewhere in your portfolio. That saves you the tax hit of capital gains. Tax loss harvesting is used by savvy individual investors and is a staple of institutional investing.The best part is that individual investors can carry those losses until they are fully offset. So, selling Canopy Growth could afford you years of benefits. If you think Canopy Growth is going to make a comeback, by all means hold on to the stock.But if you can admit that the opportunity you thought was there really wasn't, well, dumping Canopy Growth could be a good idea and may help you trim your tax bill. That's not a terrible outcome, and I'll note that tax loss harvesting has helped me pull the trigger on lingering mistakes more than once.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,878.88 -29.98 (-0.43%)Dow 3048,977.92 -521.28 (-1.05%)Nasdaq22,668.21 -210.17 (-0.92%)Russell 20002,632.36 -44.93 (-1.68%)VIX19.86 +1.23 (+6.60%)Gold5,296.50 +102.30 (+1.97%)Trending tickersNFLX Netflix, Inc. 96.24 +11.63 (+13.75%)BTC-USD Bitcoin USD 65,550.42 -1,901.90 (-2.82%)NBIS Nebius Group N.V. 91.19 -13.69 (-13.05%)XYZ Block, Inc. 63.70 +9.17 (+16.82%)CRWV CoreWeave, Inc. 79.56 -18.07 (-18.51%)PortfolioSign in to access your portfolioSign inTop gainersAAOI Applied Optoelectronics, Inc. 84.23 +30.54 (+56.88%)BWIN The Baldwin Insurance Group, Inc. 23.23 +4.74 (+25.64%)FIGS FIGS, Inc. 15.45 +2.98 (+23.90%)DELL Dell Technologies Inc. 148.08 +26.63 (+21.93%)PSKY Paramount Skydance Corporation 13.51 +2.33 (+20.84%)Top losersRUN Sunrun Inc. 13.25 -7.17 (-35.11%)FIGR Figure Technology Solutions, Inc. 25.28 -8.76 (-25.73%)CRWV CoreWeave, Inc. 79.56 -18.07 (-18.51%)ACA Arcosa, Inc. 107.48 -20.02 (-15.70%)TPC Tutor Perini Corporation 75.37 -14.01 (-15.67%)Most activeNVDA NVIDIA Corporation 177.19 -7.70 (-4.16%)NFLX Netflix, Inc. 96.24 +11.63 (+13.75%)SOFI SoFi Technologies, Inc. 17.76 -1.34 (-7.02%)PLUG Plug Power Inc. 1.7900 -0.1200 (-6.28%)NU Nu Holdings Ltd. 14.98 -0.08 (-0.53%)Top economic eventsEarnings eventsMy earnings eventsEarnings events