Tilray Inc. (TLRY) saw its stock price surge over 20% in pre-market trading on Tuesday, following a remarkable two-day rally. The company's shares had already climbed 13.5% on Monday, reflecting renewed investor optimism in the cannabis sector.

The primary catalyst for this price movement appears to be comments made by Tilray's CEO, Irwin Simon, who expressed confidence in the federal legalization of recreational cannabis under the current US administration. In an interview with Fox Business, Simon predicted that legalization could occur within the next four years, given the Trump administration's stance on the issue.

Tilray, a major player in the cannabis industry, has faced significant challenges in recent times. The company's stock has declined by nearly 47% over the past year, as the industry grappled with oversupply issues, regulatory hurdles, and changing investor sentiments. However, the prospect of nationwide legalization in the US has reignited hopes for a resurgence in the sector.