STOCKS TELEGRAPH

Author: Shimrez Hyder

  • TRxADE HEALTH, Inc. (MEDS) Stock Dips Significantly Following Disclosure of Q2 2021 Financial Reports

    TRxADE HEALTH, Inc. (MEDS) stock prices were down 4.01% as of the market closing on July 26th, 2021, bringing the price per share down to USD$5.26 at the end of the trading day. Subsequent premarket fluctuations saw the stock plummet by 19.20%, bringing it down to USD$4.25.

    Expanding Consumer Base

    MEDS stock continued to allocate resources toward the expansion of its drug procurement marketplace over the course of Q2 2021. The quarter reported having added roughly 195 new registered members, bumping the total number of registered members up to more than 12,700. The company also signed various enterprise retail partnerships to onboard new customers to its telehealth platform, partnering up with the likes of Brookshire Grocery, Winn-Dixie, and Big Y. MEDS stock’s Bonum Health product is now offered in 500 stores across all 50 states, increasing accessibility to its thousands of customers.

    MEDS Stock’s Partnerships

    MEDS stock also secured a group purchasing agreement with QualityCare Pharmacies, an independent pharmacy prescription drug buying group. QualityCare is the newest part of the company’s rapidly expanding GPO offering, aimed to drive substantial gains in wallet share amongst independent pharmacies on the TRxADE platform. MEDS stock also launched a government-oriented health passport solution with an accompanying mobile app, facilitating the expedition of post-Covid-19 reopening.

    MEDS Stock Revenue Reports

    Revenues for Q2 2021 were up to USD$1.9 million, down from the USD$6.6 million in the same quarter of the prior year. This year-over-year decrease was largely driven by non-recurring sales of personal protective equipment (PPE) in the 2020 quarter, in relation to global efforts to manage the outbreak of the Covid-19 pandemic.

    Additional Financials

    The second quarter of 2021 saw MEDS stock report gross profits in the amount of USD$0.8 million, representing 44.3% of the quarter’s revenues. This is comparable to the USD$2 million reported for the prior-year quarter, representing 30.4% of revenues. The substantial year-over-year increase in gross profit margin was largely driven by fewer lower margin PPE sales in the 2021 quarter. Operating expenses for the second quarter of 2021 came in at USD$3.4 million, up from the USD$2.5 million reported in the prior-year quarter. This increase was largely driven by an inventory investment loss of USD$1.2 million.

    Future Outlook for MEDS

    Armed with its expanding network of strategic collaborations and the success of its most recent financial reports, MEDS stock is poised to continue its trajectory of success. The company is keen to allocate resources so as to usher in further growth, with investors hoping for long-term increases in shareholder value.

  • Agile Therapeutics Inc. (AGRX) Stock Exhibits Minor Volatility Following Promising Q2 2021 Financial Reports

    Agile Therapeutics Inc. (AGRX) stock prices were down 3.45% as of market closing on July 26th, 2021, bringing the price per share down to USD$1.12 at the end of the trading day. Subsequent premarket fluctuations saw the stock rise by 4.46%, bringing it up to USD$1.17.

    AGRX Stock Prescriptions Improved

    The second quarter of 2021 saw AGRX stock report total prescriptions coming in at 5,027, up a massive 171% from the numbers reported for the prior quarter. New prescriptions were up 103% over the quarter, reported at 2,857. These increases were driven by increases in the number of prescribers and growing refill rates. As of June 30th, 2021, the company reported more than 2,087 healthcare providers, while 2,033 prescriptions were dispensed as refills. Up 355% from the prior quarter. AGRX also reported an increase in the total number of prescriptions per prescriber.

    AGRX Stock’s Market Reach

    AGRX stock has continued expanding the market footprint of Twirla, with it being available to Medicaid patients across roughly 75%, either through traditional and/or managed Medicaid. This development sees Twirla cover roughly half of the total Medicaid transdermal TRx market with no restrictions. Based on claims, Twirla reports having access to roughly 55% of the commercial and government CHC market.

    Cost of Product Revenue

    Cost of product revenues for the quarter ended June 30th, 2021 was reported at USD$1.1 million and included direct and indirect expenses. These costs supported AGRX stock’s manufacturing and distribution efforts, including, but not limited to, personnel costs and roughly USD$500,000 of non-cash depreciation expense. These relatively fixed costs are expected to stay roughly the same as sales increase with expected volume increases.

    Additional Financials

    AGRX stock was selling units from validation batches until May 2021, with no associated product cost on account of the cost having been previously expensed already. Roughly 76% of the units sold over the second quarter of 2021 had an associated product cost, as will all future sales of the product. As of June 30th, 2021, the company reported USD$31.1 million in cash, cash equivalents, and marketable securities. This is compared to the USD$54.5 million reported as of December 31st, 2020.

    Future Outlook for AGRX

    With the company’s flagship Twirla gaining traction and snowballing in sales, AGRX stock is poised to capitalize on the increasing momentum. The company is keen to continue its trajectory of success as it effectively allocated its resources to stay lean. Current and potential investors are hopeful that management will be able to leverage the resources at its disposal to facilitate significant and sustained increases in shareholder value.

  • Gaotu Techedu Inc. (GOTU) Stock Plummets Following Rising Oversight and Involvement by Chinese Government in Private Education Sector

    Gaotu Techedu Inc. (GOTU) stock prices plummeted by 24.72% some time after market trading commenced on July 26th, 2021, bringing the price per share down to USD$2.65 early on in the trading day.

    New Regulations

    China recently announced a massive set of new regulations for private education companies, primarily aimed at decreasing workloads for students. The government mandates were also designed to overhaul a marketspace that it claims has been “hijacked by capital”. The regulations ban companies such as GOTU stock that adhere to school curriculums from generating profits, raising capital, or going public. School-related tutoring can no longer be offered on weekends or during vacations. They also cannot give classes to children under the age of six, a demographic that has been increasingly pushed to start studying from an earlier age.

    GOTU Stock in Changed Landscape

    The Chinese education technology sector reached a value of USD$100 billion as companies like GOTU stock catered to the increasing number of parents wanting to give their children an early academic advantage. The regulation changes will see business models being drastically altered as companies are forced into making extensive changes in order to maintain compliance. The drastic change will see the prohibition of the overseas investments that have been the lifeblood of the sector. Companies that find themselves in violation of the new regulations are required to rectify the situation, as appropriate.

    Details of Regulations

    The private education sector attracted billions of dollars and was expected to generate USD$76 billion in revenue by 2024, of which GOTU stock hoped to be a part. The regulatory branch that aims to regulate the industry was formed in June 2021 and aims to devise and oversee the changes. The regulations were expressed in general terms, with broad applicability to common practices throughout the industry. The regulations are directed at compulsory subjects, with supplementary subjects such as art and music avoiding falling under the umbrella of the new regulations.

    Government Involvement

    The regulations were jointly announced on July 24th, 2021 by the General Office of the Communist Party of China Central Committee and the General Office of the State Council. The set of rulings aims to mitigate the excess associated with homework and after-school tutoring for students as young as six who are receiving mandatory education.

    Future Outlook for GOTU Stock

    As one of the many up and coming companies that is forced to make adjustments to adhere to the new regulations, GOTU stock is keen to capitalize on the education sector being disrupted. Current and potential investors are hopeful that management will leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • Youdao, Inc. (DAO) Stock Plummets Following Increase in Chinese Government Regulations for Educational Institutions

    Youdao, Inc. (DAO) stock prices plummeted by 29.58% shortly after market trading commenced on July 26th, 2021, bringing the price per share down to USD$8.95 early on in the trading day.

    New Guidelines for DAO Stock

    July 24th, 2021 saw the General Office of the Communist Party of China Central Committee and the General office of the State Council collaboratively issue a set of guidelines. These guidelines aim to reduce the prevalence of excessive homework and after-school tutoring for students receiving compulsory education.

    Guideline Restrictions

    The guidelines will require all institutions offering online after-school tutoring on academic subjects in compulsory education register themselves as non-profit organizations. The institutions are also required to obtain approval from the relevant regulatory authorities. The guidelines also made it compulsory to comply with various operational requirements in regard to class hours, faculty qualifications, tuition standards, advertising, and others.

    DAO Stock Explores Alternative Funding

    Furthermore, the guidelines prohibit any and all institutions from generating capital through stock exchange listings or other capital-related activities. Also prohibited are foreign investments in school curriculum-based tutoring institutions through variable interest entity arrangements, mergers, and acquisitions. Companies that are listed are prohibited from raising capital through equity offerings, with violations already having taken place expected to be corrected as appropriate.

    Working to Maintain Compliance

    While the interpretation and implementation of the guidelines are not yet completely concretized, they are expected to have material impacts on DAO stock’s K-12 course business, financial condition, and corporate structure. The company continues to investigate ways to comply with the newly introduced requirements for its K-12 course business. It will also continue to work with regulatory authorities in a bid to improve operations while staying in strict compliance with all laws and regulations. DAO also hopes to fulfill its social responsibilities, facilitating the provision of high-quality, innovative products and services to its customers. This will promote the long-term development of the education industry in China.

    Future Outlook for DAO Stock

    With an expanding umbrella of regulations and restrictions that they now have to maneuver, DAO stock is poised to capitalize on the disruption caused in the marketspace. The company is keen to regain and maintain compliance in a big to consolidate and expand its market footprint. Investors are hopeful that management will be able to effectively generate funds to fund the continue trajectory of the company’s success.

  • Lion Group Holding Ltd. (LGHL) Stock on the Rise Following Launch of Meta World NFT Online Marketplace

    Lion Group Holding Ltd. (LGHL) stock prices were up 2.48% shortly after market trading commenced on July 26th, 2021, bringing the price per share up USD$2.11 early on in the trading day.

    Launch of Meta World

    July 23rd, 2021 saw LGHL announce the launch of its subsidiary, Lion NFT Ltd.’s, non-fungible token market platform, known as Meta World. The NFT market platform will be available online before the end of July 2021. LGHL stock’s subsidiary is registered in the British Virgin Islands and conducts the bulk of its business via investments and innovations in digital assets. The parent company holds an MSB license through the U.S Treasury Department’s FinCEN., as well as an encrypted commodity operating license through the DMCC.

    LGHL Stock’s Foray into NFTs

    Leveraging these resources, Lion Group Holding Ltd. (LGHL) is poised to facilitate the provision of services such as digital asset exchange, NFT innovation, issuance, and trading on a global scale. LGHL stock’s platform is being designed to become the world’s top one-stop, cross-chain, high-expansion NFT marketplace. It will allow users to connect and trade with digital currency, as well as a digital wallet that will be linked the platform and will be accessible upon login.

    Comprehensive NFT Solution

    The new platform establishes a complete industry chain ranging from exploration and creation to pricing, buying, and selling. The platform will make use of blockchain technology to encrypt artwork such as photographs, videos, audios, and 3D pieces, while also generating relevant information that will facilitate the production of NFTs. Meta World will serve to create a foundation for an efficient digital world with the promotion of the value circulation of global resources.

    Set to Revolutionize Markets

    NFTs see illiquid digital works of art being made available to the public as valuable and investable digital collections. With the proliferation of additional NFT applications, LGHL stock’s platform will become a critical part of the digital transformation of various industries. With the global encryption economy developing rapidly, Lion Group Holding Ltd. (LGHL) is poised to capitalize on the burgeoning market with its NFT platform.

    Future Outlook for LGHL Stock

    Armed with its exciting foray into the massively expanding NFT market, LGHL stock is poised to capitalize on the added opportunities ahead of it. The company is striving to continue its trajectory of success with the efficient allocation of its resources, which investors hope will result in long-term increases in shareholder value.

  • MingZhu Logistics Holdings Ltd. (YGMZ) Stock Experiences Minor Volatility Despite Promising MOU with Damo

    MingZhu Logistics Holdings Ltd. (YGMZ) stock prices were down by 2.99% as of the market closing on July 23rd, 2021, bringing the price per share down to USD$3.90. Subsequent current market fluctuations saw the stock rally by 1.02%, bringing it up to USD$3.94.

    YGMZ Stock MOU with Damo

    July 26th 2021 saw the company announce having entered into a non-binding memorandum of understanding (MOU). As per the agreement, Damo Electric Truck will set up a joint venture with Mingzhu, wherein DAMO will transfer all of its operating business and all developed intellectual property, as well as all IP currently being developed. YGMZ stock intends to further expand its network by deploying next-gen trucks. Among the network is coal transportation and container transportation within the Yantian International Container Terminals.

    About Damo

    YGMZ stock’s partner, DAMO, develops zero-emission automated trucks equipped with a single charge range of up to 2,000 km. A mix of AI, 5G, automated driving technology, battery technology, and micro-turbine generator technology make for cutting-edge technological development. The company boasts a highly efficient, cost-effective, and complete logistics solution. This solution serves to help customers reduce operating expenses by roughly 60%, while efficiency can be boosted by 200%.

    Expanded Opportunities for YGMZ Stock

    DAMO’s advanced battery solution facilitates overcoming some of the existing challenges faced by the electric truck sector with its combination with Autopilot. Signaling the success of its adoption of mature and road-tested driverless technology, DAMO has received orders of intent from customers across global markets. Recently, DAMO announced its series A funding, which was led by renowned investors and industry experts, which will help it to integrate EV-autonomous technology to the freight truck market.

    Scope of Collaboration

    YGMZ stock is set to revolutionize the market, while it enjoys a prime spot in the center of the market’s most rapidly expanding vector. The collaborative efforts of DAMO and YGMZ will serve to maintain a strong supply chain and hardware design control. The joint effort will see the company’s coordinate to create semi-trucks designed and built with integrated auto-grade components, as well as sensors to additionally foster reliability and effectiveness.

    Future Outlook for YGMZ

    Armed with an expansive new partnership opportunity, YGMZ stock is poised to capitalize on the expanded scope of the opportunities ahead of it. The company is keen to ensure the timely development, commercialization, and proliferation of their flagship offerings. Current and potential investors are keen to reap the increases in shareholder value resulting from the DAMO-YGMZ collaborations.

  • AzurRx BioPharma, Inc. (AZRX) Stock Suffers Following Upsizing of Previously Announced Public Offering

    AzurRx BioPharma, Inc. (AZRX) stock prices were down 19.66% as of the market closing on July 23rd, 2021, bringing the price per share down to USD$0.5690. Subsequent premarket fluctuations saw the stock rally by 12.48%, bringing it up to USD$0.64.

    AZRX Upsizes Offering

    July 22nd, 2021 saw AZRX stock announce the increasing of the size of its previously announced public offering because of unexpected demand. The underwriter has agreed to purchase on a firm commitment basis 9,090,910 shares of common stock of the company. The price was the same as the public offering, with each share being priced at USD$0.55. The closing of the transaction is expected for July 27th, 2021.

    Details of the Offering

    the offering comes equipped with a 30-day option to purchase up to an additional 1,363,636 shares of common stock at the same public offering price. AZRX stock expects generating USD$5 million in gross proceeds before the deduction of expenses related to the offering and the execution of the option to purchase additional shares. The capital raised is expected to be used to pay milestone payments as per existing license agreements.

    AZRX Stock Hits RESERVOIR Milestone

    Earlier on June 7th, 2021, AZRX stock announced the administration of the first dose of FW-1022 to a volunteer in its ongoing Phase 2 RESERVOIR clinical trial. The proprietary treatment comes in tablet form and is designed to treat Covid-19-related GI infections. The company forecasts topline results from the trial for the first quarter of 2022. This development marks a significant milestone for the company and the development of niclosamide.

    Scope of FW-1022

    With no existing approved treatments for GI infections stemming from Covid-19, the success of AZRX’s development program could help prevent reinfection and, therefore, the spread of Covid-19. FW-1022 also has the potential to treat severe complications that are believed to results from SARS-CoV-2’s ability to hide in reservoirs within the GI tract. The company is confident that its micronized oral niclosamide therapy can target the virus directly in the gut. This will play a critical role in the treatment of Covid-19 patients that suffer from the damage caused by Covid-19-related GI infection.

    Future Outlook for AZRX

    With the world hurtling towards universal immunizations, AZRX stock is poised to capitalize on the burgeoning market. Keen to continue its trajectory of success, the company plans to regain momentum with its added capital and reverse the recent downward trend. Investors are confident in management’s ability to produce significant and sustained increases in shareholder value.

  • Lithium Americas Corp. (LAC) Stock Prices Volatile as Mining Project Opposition Continues

    Lithium Americas Corp. (LAC) stock prices were down by 4.69% as of the market closing on July 23rd, 2021, bringing the price per share down to USD$13.01. Subsequent premarket fluctuations have seen the stock rise by 10.53%, bringing it up to USD$14.38.

    LAC Stock Regains Excavation Approval

    July 24th 2021 saw Lithium Americas Corp gain approval from a U.S federal judge ruling for the continuation of its excavation work. LAC stock is set to resume excavating at the Thacker Pass lithium mining site in Nevada. LAC came across a hiccup when environmental lobbyists claimed the company’s activity could harm sage grouse and other wildlife. This is in line with increasing pressure from environmental groups to courts and regulators in attempts to block mining projects. The favorable ruling was a rare win for critical U.S mineral projects, some of which produce metals essential for building electric vehicles.

    LAC Excavation in Limbo

    The excavation project was given the green light by the Trump administration in January of 2021. Continued digging has been allowed while the courts determine the lands historical import for Native Americans. The judge handling the case has said she expects to publish her decision in early 2022. As a part of the deliberations, LAC stock paused its digging operations until July 29th, 2021.

    Hopeful for Positive Outcome

    A major factor in the consideration of the case is the size of the land being affected. With a meagre quarter of an acre possibly being affected in a project that spans 18,000 acres, this will play a contributing role in the ultimate decision. Furthermore, those opposing the excavation have not yet been able to concretely prove what specific damage the digging executed by LAC stock will cause.

    Clash with Environmentalists

    With only hypothetical guesses to go on, the court places the onus of proof on environmentalists to show the potentially irreparable damage. The environmental groups that sued to block the project have expressed their disappointment in the court’s ruling. One of their main concerns besides the wildlife is the removal of cultural and historical artifacts. The lobbying groups expect to continue challenging LAC stock in order to facilitate the cancellation of the entire project.

    Future Outlook for LAC Stock

    Armed with the positive development of the excavation project, LAC stock finds its outlook considerably brighter. The company is poised to continue its trajectory of success as it continues pushing for the continual development of its digging operations. Investors are hopeful for long-term gains in shareholder value as LAC carries on effectively executing its business strategy.

  • Cango Inc. (CANG) Stock Trending Lower Despite Promising Outlook of EV Sector as 5G Technology Gains Steam

    Despite endorsing the EV boom, Cango Inc. (CANG) stock prices were down 6.17% as of the market closing on July 23rd, 2021, bringing the price per share down to USD$4.41 at the end of the trading day. Subsequent premarket fluctuations saw the stock fall by another 0.45%, bringing it down to USD$4.39.

    History of Automotive Industry

    July 23rd, 2021 saw CANG stock issues its latest bi-monthly publishing about the automotive industry’s status quo, CANGO Auto View, which contained an article that divided the industry’s most recent 100-year history into four developmental stages. The first era resulted in luxury car brands that by now have developed an illustrious history; the second marked the industrialization of the assembly line and global proliferation of manufacturers, and the third era saw Toyota focus on the leanness from its predecessor era and address an energy crisis. The fourth and current era marks the rise of electric vehicles, focused on electrification, intelligence, connectivity, and shared mobility.

    CANG stock link with 5G Technology

    As 3G technology resulted in the rise of the PC Internet era, 4G resulted in the mobile Internet wave. The automotive industry will be at the forefront of the array of industries that 5G is set to revolutionize. 5G technology is under continuous development and is repeatedly hitting new milestones. The automotive industry is also motivated to push for the transition from traditional automotive to electric and non-fossil fuel vehicles.

    Scope of 5G Technology

    CANG stock expects the costs of single data unit transmission to be cut down substantially as a result of 5G technology powering a massively increased network capacity. Given how electric vehicles demonstrate a superiority over traditional models in terms of intelligence development, such as with short latency, the deployment of 5G technology is generating expectations of increased intelligence of new energy vehicles.

    EV Sector in China

    China is the largest market for the electrification of vehicles, with both government and consumer clients having a great need for environmental protection and air quality improvement. The country also owns the largest number of Internet of Vehicles companies, signaling their consumers’ high acceptance of the Internet. With the supply of related developers and engineers, the applicability of the Internet in the automotive industry is being explored.

    Future Outlook for CANG Stock

    Its most recent issue of CANGO Auto View does well to shed light on the promising scope of the effect of 5G technology on the automotive industry. The electric vehicle industry is set to explode following the proliferation of 5G as the new standard for connectivity. Investors are hopeful that management will continue to leverage the available resources to facilitate worthwhile increases in shareholder value.