Pharmaceutical compositions comprising a mixture of cannabinoids and terpenes and use thereof in the treatment of select disorders mediated by the Hedgehog (HH) signaling pathway are disclosed. In preferred embodiments, the components of the composition synergistically inhibit HH signaling such that they serve to treat cancer and ocular disorders associated with aberrant neovascularization (such as age-related macular degeneration). The cannabinoids to be used include phytocannabinoids (such as tetrahydrocannabinol and cannabidiol), endogenous cannabinoids (such as the N-acylethanolamides), or synthetic cannabinoids. Preferred terpenes for use include those that naturally occur in Cannabis plants (such as pinene, limonene, linalool, and phytol).