What happened Shares of GrowGeneration (NASDAQ: GRWG), the largest seller of hydroponic growing equipment for cannabis and other plants, were soaring again last month as the company got a tailwind from the election and strong third-quarter results later in the month. According to data from S&P Global Market Intelligence, the stock surged 111% in November. As you can see from the chart below, the stock gained steadily over most of the month. GRWG data by YCharts. So what GrowGeneration got a momentary boost after the election as former Vice President Joe Biden, who has called for marijuana to be decriminalized, won the presidency, and four states legalized recreational marijuana. The stock gained 21% on Nov. 5, but then gave back those gains over the subsequent sessions. Image source: Getty Images. The following week, shares jumped 16% on Nov. 12 and continued to rally from there as the company delivered another blowout earnings report. Revenue jumped 153% in the third quarter to $55 million, well ahead of estimates at $47.4 million, while same-store sales climbed 73%. GrowGeneration has been expanding from both a prolific acquisition strategy, which included the completion of its purchase of GrowBiz last month, and rocketing comps, driven by an increase in organic and hydroponic growing during the pandemic. On the bottom line, performance was impressive as well, as adjusted EBITDA rose from $2 million in the quarter a year ago to $6.6 million, and the company lifted its guidance for the full year. CEO Darren Lampert said, "Our steadfast focus on rapid, strategic growth in key markets, both organically and through acquisitions, has resulted in our 11th consecutive quarter of record revenues and EBITDA." Now what GrowGeneration looks like the classic pick-and-shovel play in the cannabis sector, and its roll-up strategy appears to be working as the company consolidates its leadership in the industry. The stock is up nearly sevenfold from its June IPO price, but its valuation still looks reasonable. I'd expect comps to ease as the company laps the impact of the pandemic, but it's still getting clear tailwinds from marijuana legalization and its rapid series of acquisitions. 10 stocks we like better than GrowGeneration CorpWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and GrowGeneration Corp wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2020 Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends GrowGeneration. The Motley Fool has a disclosure policy.Source