STOCKS TELEGRAPH

Author: Shimrez Hyder

  • JOYY Inc. (YY) Stock Continues to Rise Following Announcement of Financial Reports for Q2 2021

    JOYY Inc. (YY) stock prices were up by 2.84% as of the market closing on August 25th, 2021. This brought the price per share up to USD$56.47 at the end of the trading day. Subsequent premarket fluctuations have seen the stock rise by 11.63%, bringing it up to USD$63.04.

    YY Stock’s Revenue Reports

    Net revenues for the second quarter of fiscal 2021 were reported at USD$661.7 million by YY stock. This is a 39.7% increase from the USD$473.5 million reported in the prior year quarter. The year over year difference was largely driven by the growth of live streaming revenues from BIGO, which has continued to see growth in paying users and enhanced monetization capabilities. Resultingly, live streaming revenues were up 39.7% from USD$450.7 million in Q2 2020 to USD$629.6 million in Q2 2021.

    Costs of Revenue

    Costs of revenues were up to USD$458.3 million in the second quarter of fiscal 2021, representing a 32.2% increase from the USD$346.7 million reported in Q2 2020. Bandwidth costs were down to USD$27.5 million in Q2 2021, down from the USD$32.7 million in Q2 2020. This year over year difference was largely driven by YY stock’s improved efficiency in bandwidth usage. Further consolidating the yearly difference was the termination of bandwidth usage for users in India after the country’s measures to block certain Chinese mobile apps in late June 2020. This reduction was partially offset by the continued expansion of the company’s user base outside of India.

    YY Stock’s Gross Profit Reports

    YY stock reported gross profit for the second quarter of fiscal 2021 in the amount of USD$203.4 million. This represents a 60.4% increase from the USD$126.9 million in the prior year quarter. Gross margin improved to 30.7% in the 2021 quarter, as compared to the 26.8% reported in the second quarter of fiscal 2020.

    Solid Liquidity Position

    YY stock reported a comfortable liquidity position as of June 30th, 2021. The company reported cash and cash equivalents, restricted cash and cash equivalents, short-term deposits, restricted short-term deposits and short-term investments in the amount of USD$4.917 billion. The company reported having a total of 1,568.1 million common share outstanding as of June 30th 2021. This is equivalent to 78.4 million ADSs outstanding as of the same date.

    Future Outlook for YY Stock

    The company reported a strong second quarter of fiscal 2021, the success of which it hopes to maintain through the upcoming quarters. YY stock is poised to capitalize on the opportunities afforded to it as a result of the momentum it has generated. Investors are hopeful in the company’s ability to leverage the resources at their disposal to facilitate organic growth over the long term.

  • Gran Tierra Energy Inc. (GTE) Stock Continues Rising Following Dissipation of Colombian Blockades

    Gran Tierra Energy Inc. (GTE) stock prices were up by 6.33% as of the market closing on August 25th, 2021. This brought the price per share up to USD$0.52. Subsequent premarket fluctuations saw the stock rise by 2.52%, bringing it up to USD$0.53.

    GTE Stock Affected by Blockades

    GTE stock announces on May 17th, 2021 that a number of protests and blockades across Colombia were negatively affecting several essential transportations routes throughout the country. This resulted in the temporary shut-in of some of the company’s wells and oil fields. While the blockades were not targeting the company, GTE stock did have to implement temporary production curtailments as a result during May and June 2021. Accordingly, roughly 597,000 bbl of oil production were deferred during the second quarter of fiscal 2021. The company does not expect any negative impact on the company’s oil reserves. July 12th 2021 saw the company announce that the Colombian government had successfully negotiated the end to all of the blockades that were affected GTE stock.

    GTE Stock’s Production Reports

    The second quarter of fiscal 2021 saw the company report producing an average of 23,035 Barrels of Oil Per Day. This represents a 14% increase from the numbers reported for the second quarter of fiscal 2020, but is down 6% from the prior quarter. The quarter over quarter decrease was driven entirely by the temporary negative impact of the blockades over the quarter. Since, the blockades have entirely been lifted.

    Additional Financials

    Q2 2021 saw GTE stock report having paid down its credit facility balance by USD$5 million, bringing it down to USD$175 million. The company also reported having a cash and cash equivalent balance in the amount of USD$20 million. As per its existing forecasts, the company anticipates paying down its bank credit facility to a balance of USD$60 million to USD$80 million by the end of the fiscal year.

    Operating Expense Reports

    GTE stock’s operating expenses were down 9%, as compared to the prior-year quarter. The second quarter of fiscal 2021 reported an operating expense of USD$12.46/bbl, despite the reduction in production over the course of the quarter.

    Future Outlook for GTE Stock

    The company reported a promising quarter, consolidated by the strength of its financial reports for Q2 2021. GTE stock is poised to capitalize on the momentum generated by its continued trajectory of success. Investors are hopeful that management will be able to continue ushering in organic growth over the long term.

  • Ulta Beauty Inc. (ULTA) Stock on the Rise Following Stellar Financial Reports for Q2 2021

    Ulta Beauty Inc.’s (ULTA) stock price was up by 4.29% as of the market closing on August 25th, 2021. This brought the price per share up to USD$389.90 at the end of the trading day. Subsequent premarket fluctuations saw the stock rise by 4.71%, bringing it up to USD$408.25.

    ULTA Stock’s Net Sales

    The second quarter of fiscal 2021 saw ULTA stock report net sales in the amount of USD$2 billion. This is a 60.2% increase from the USD$1.2 billion reported for the second quarter of fiscal 2020. This year over year increase was largely driven by the favorable impact from stronger consumer confidence. The difference was further consolidated by the easing up of Covid-19 restrictions over the past year.

    Gross Profit Breakdown

    Gross profit for the second quarter of fiscal 2021 was reported at USD$798 million, as compared to USD$329 million reported in the prior year quarter. Gross profit increase to 40.6% of net sales for the quarter, up from the 26.8% in the second quarter of fiscal 2020. This year over year increase was primarily attributable to the leverage of fixed costs and improvements in merchandise margins. The year over year was further cemented by a favorable channel mix shift, as well as the leveraging of salon expenses.

    ULTA Stock’s SG&A Costs

    Selling, general, and administrative costs were up to USD$463.3 million for Q2 2021, as compared to to USD$271.6 million in the second quarter of fiscal 2020. SG&A costs were up to 23.6% of net sales in Q2 2021, an increase from the 22.1% reported for the prior year quarter. The increase was largely facilitated by deleveraging related to higher store payroll and benefits. This, in turn, was a result of less employee retention credits received under the CARES Act, as well as higher marketing expenses. The year over year increase was partially offset by the leveraging of corporate overhead and store expenses due to higher sales.

    Net Income Reports

    ULTA stock reported net income for the second quarter of fiscal 2021 in the amount of USD$250.9 million. This is up from the USD$8.1 million reported in the prior year quarter. Adjusted net income for the second quarter of fiscal 2020 came in at USD$41.5 million.

    Future Outlook for ULTA Stock

    The company reported a stellar quarter, evidenced by the record breaking financial reports. ULTA stock is keen to leverage the resources at its disposal to maintain its trajectory of success over the upcoming quarters. Investors are hopeful that management will be able to facilitate significant and sustained increases in shareholder value.

  • Shoe Carnival Inc. (SCVL) Stock Exhibits Minor Volatility Following Disclosure of Financial Reports for Q2 2021

    Shoe Carnival Inc. (SCVL) stock prices were down by 6.20% shortly after market trading commenced on August 25th, 2021. This brought the price per share down to USD$37.83 early on in the trading day.

    SCVL Stock’s Net Sales Reports

    The second quarter of fiscal 2021 saw the company report net sales in the amount of USD$332.2 million. This represents a 10.5% increase from the USD$300.8 million reported in the prior-year quarter. This year-over-year difference was largely driven by continued broad-based demand for SCVL stock’s product offerings, as well as a more normalized start to the back-to-school season. Further driving the yearly increase were improved macroeconomic factors in the U.S and the easing of restrictions related to the Covid-19 pandemic.

    SCVL Stock’s Gross Profit Reports

    Gross profit margin for the second quarter of fiscal 2021 reported a 13.4 percentage point increase to 40.9. This is comparable to the 27.5% reported in the second quarter of the prior fiscal year. The merchandising margin was up 13.3 percentage points, reflecting the strengthening of consumer demand for product offerings. This resulted in the need for less promotional activity as compared to the prior-year quarter. Buying, distribution, and occupancy expenses declined slightly as a percentage of net sales as compared to the prior-year quarter. This was due to higher freight and distribution labor costs substantially offsetting the leveraging effect of higher sales.

    SG&A Expenses

    Selling, general, and administrative costs were up to USD$76 million for the second quarter of fiscal 2021. SG&A expenses were up 0.2 percentage points to 22.9% of net sales. This increase reflects the correlation of SG&A costs with the company’s continued record performance, with store level wages and incentive compensation comprising a majority of the increase.

    Net Income Reports

    SCVL stock reported net income in the amount of USD$44.2 million for the second quarter of fiscal 2021. This represents a net income of USD$1.54 per diluted share. This is comparable to the USD$10.1 million in net income reported for the second quarter of fiscal 2020. This represented a net income of USD$0.35 per diluted share.

    Future Outlook for SCVL Stock

    The company reported a strong financial quarter, rife with various developments that result in an expanded scope of opportunities for SCVL stock. The company is keen to leverage the resources at its disposal to facilitate organic growth over the long term. Current and potential investors are hopeful that management will be able to facilitate consistent increases in shareholder value.

  • Aditxt Inc. (ADTX) Stock Skyrockets Following Announcement of LOI Signing with Biopharmaceutical Company

    Aditxt Inc. (ADTX) stock prices soared by 89.90% shortly after market trading commenced on August 25th, 2021. This brought the price per share up to USD$3.74 early on in the trading day.

    ADTX Stock Signs LOI

    August 25th, 2021 saw the biotech innovation company announce having signed a letter of intent (LOI) to acquire a biopharmaceutical company. In the interest of pursuing their mission to improve the health of the immune system across healthcare patients, the collaborative partners will be seeking to commercialize the target company’s Covid-19 antiviral oral therapy. The partnering company is currently marketing and selling its products under emergency and compassionate use, the standard of care, as well as full approval in various countries beyond the North American markets.

    Conditions of the Transaction

    The acquisition is subject to the satisfaction of various conditions, including but not limited to adequate due diligence, the negotiation, and execution of definitive agreements. The approval of the board of directors and shareholders of each company are also factors that the transaction is contingent on, as is approval by Nasdaq to list shares proposed to be issued in the transaction. The two companies have agreed to an exclusivity period that will last until the end of September 2021, hoping to start settling the definitive agreement accordingly.

    ADTX Stock’s Transaction Details

    Key terms of the proposed transactions were outlined in the letter of intent. These include the completion of a proposed secured loan from ADTX stock to the company. The loan will be in the amount of USD$6.5 million and will be released by August 31st 2021. Another key term of the proposed transaction is the issuance of common stock in a number that yields half of the number of the company’s outstanding shares after the closing of the transaction.

    Scope of Partnership

    The company has been taking steps to expand the global footprint of its immune therapeutic and monitoring platforms. ADTX stock is looking forward to the upcoming transaction, which will serve as a complementary strategic fit for the company should it be successfully executed.

    Future Outlook for ADTX Stock

    The company reported a strong quarter, consolidated with the recent development of its collaboration with the potential biopharmaceutical partner. ADTX stock is poised to capitalize on the opportunities this transaction will afford it. Current and potential investors are confident in management’s ability to leverage the resources at their disposal. This is hoped to result in significant and sustained increases in shareholder value.

  • Dicks Sporting Goods Inc. (DKS) Stock Surges Following Disclosure of Financial Reports for Q2 2021

    Dicks Sporting Goods Inc. (DKS) stock prices surged by 13.48% shortly after market trading commenced on August 25th, 2021. This brought the price per share up to USD$129.81 early on in the trading day.

    DKS Stock’s Net Sales Reports

    The second quarter of fiscal 2021 saw DKS stock report net sales in the amount of USD$3.27 billion. This represents a 20.7% increase from net sales reports from Q2 2020 and a 45% increase as compared to numbers from Q2 2019. eCommerce sales were up 111% for the second quarter of fiscal 2021 as compared to the prior year quarter. Q2 2020 saw eCommerce sales 28% higher than the 2021 quarter, despite the prior year quarter including a period of temporary store closures.

    DKS Stock’s Net Income Reports

    Consolidated net income for Q2 2021 came out to USD$495.5 million, representing consolidated net income in the amount of USD$4.53 per diluted share. This is a substantial improvement from the USD$276.8 million reported for the prior year quarter, representing a net income of USD$3.12 per diluted share. The 2020 quarter included roughly USD$14 million of pre-tax expense in response to the global coronavirus outbreak.

    Poised for Continued Success

    The company’s record -breaking quarterly sales and earnings for Q2 2021 ended up substantially surpassing previous forecasts. This demonstrated a continuation of strong consumer demand across the company’s portfolio of offerings, as well as the strength of DKS stock’s omni-channel offering and enhanced athlete experience. Based on these developments, the company increased its full year sales and earnings outlook for the second time over the course of fiscal 2021 so far.

    Strong Liquidity Position

    DKS stock reported a strong balance sheet at the end of the second quarter of fiscal 2021. As of July 31st 2021, the company reported a solid liquidity position of USD$2.24 billion in cash and cash equivalents. The company also reported not having any outstanding borrowings under its USD$1.855 billion revolving credit facility. Concurrently, the company reported an increase in total inventory by 7.2%, as compared to the second quarter of fiscal 2020.

    Future Outlook for DKS Stock

    The company reported a promising financial quarter, rife with opportunities for further development and growth. DKS stock is keen to leverage the resources at its disposal to usher in significant and sustained increases in shareholder value. Investors are hopeful that management will be able to effective leverage the resources at their disposal to continue the company’s trajectory of success.

  • EHang Holdings Ltd. (EH) Stock Suffers Following Disclosure of Financial Reports for Q2 2021

    EHang Holdings Ltd. (EH) stock prices were up by 6.53%, bringing the price up to USD$25.45 at the end of the trading day on August 24th, 2021. Subsequent premarket fluctuations saw the stock dip by 8.92%, bringing it down to USD$23.18.

    EH Stock’s Approval by CAAC

    January 2021 saw the Civil Aviation Administration of China (CAAC) officially accept EHang’s Type Certification application for the EHang 216 AAV. Since April 2021, the CAAC’s designated type certification expert team has carried out various rounds of review meetings and inspections. Critical consensus has been reached that the type certification of EHang 216 AAV is an important project in China and needs to be prioritized.

    EHang Holdings Ltd. (EH) stock

    May 2021 saw the company release the new VT-30 model of electric dual-seat passenger-grade AAV in EHang’s product suite. It is designed for inter-city air transportation and complementary to the EHang 216 designed for intra-city air mobility. The VT-30 has a hybrid structure of eVTOL and fixed wings and is designed to travel a distance of up to 300 km with a designed flight time of up to 100 minutes.

    EHang 216 AAV series

    EH stock is the first mover and industry leader that has demonstrated strong capabilities of autonomous flying. The company collaborated with local partners to continue trial and demo flights with the EHang 216 AAV series at multiple public events showcasing its practical uses. Exemplifying these uses was the maiden flight in Japan that was successfully completed with the local partner in June 2021. This was founded in the granting of Japan’s first outdoor open airspace trial flight permission to passenger grade AAV.

    Ehang 216’s Debut

    April 2021 2021 saw EHang 216 make a name for itself in its debut at the Chinese Super League in Guangzhou. it did this by flying into the opening ceremony carrying a representative holding the championship trophy.  June 2021 saw the company participate in the anti-Covid-19 campaign in Guangzhou by transporting emergency supplies to quarantine areas using the EHang 216 and the EHang 216 AAVs.

    Future Outlook for EH Stock

    The company reported a strong financial quarter, rife with several developments that afford EH stock an expanded scope of opportunities. The company is keen to leveehang-holdings-ltd-eh-stock-suffers-following-disclosure-of-financial-reports-for-q2-2021rage the resources at its disposal to facilitate organic growth over the long term. Current and potential investors are hopeful that management will be able to facilitate consistent increases in shareholder value.

  • Astrotech Corp. (ASTC) Stock Surges Following Landmark Purchase Order for TRACER 1000

    Astrotech Corp. (ASTC) stock prices increased by 1.96% as of the market closing on August 24th, 2021. This brought the price per share up to USD$1.04 at the end of the trading day. Subsequent premarket fluctuations have seen the stock surge by 11.54%, bringing it up to USD$1.16.

    ASTC Stock Secures Order

    August 25th 2021 saw ASTC stock announce that its 1st Detect subsidiary had secured a substantial landmark purchase order. The order is for the company’s proprietary TRACER 1000, which will represent the first units to be deployed at an airport security checkpoint. Combined with prior sales to worldwide cargo facilities, the company’s TRACER explosives trace detector (ETD) will now be operating in fifteen locations. These locations span across ten countries throughout Europe and Asia.

    ASTC Stock’s TRACER 1000

    The company’s proprietary breakthrough TRACER 1000 is driven by the Astrotech Spectrometer Technology (AMS Tech). This is the first explosives trace detector to employ mass spectrometry. Despite having been established as the gold standard in chemical detection, mass spectrometry has always been too explosive, bulky, and cumbersome to be useful beyond the context of a lab.

    Ahead of the Competition

    AMS Technology sets itself apart from its competitors by operating in an ultra-high vacuum. This eliminates competing molecules that can have an adverse impact on the accuracy and quality of an analysis. The TRACER 1000 is highly accessible with its low price tag, small size, and easy to use functionality. The device boasts a high resolution, as well as almost no false alarms. TRACER 1000 is the only mass spectrometry-based ETD to have been granted European Civil Aviation Conference (ECAC) certification for both checkpoint and cargo security. This certification was granted on the basis of its high sensitivity and rugged design.

    Scope of TRACER 1000

    With the world hurtling towards universal immunization and economic recovery, air travel has seen a partial return of air travel spending following the global pandemic. The pandemic resulted in a significant slowdown in air travel spending, with ASTC stock now reporting renewed interest in checkpoint use for the TRACER 1000 ETD. The device could facilitate consumer spending in airports as passengers avoid unnecessary delays at the screening checkpoint because of the devices near-zero false alarms.

    Future Outlook for ASTC Stock

    The company reported a strong quarter, consolidated by its recent substantial purchase order for its TRACER 1000 devices. ASTC stock is poised to capitalize on the opportunities afforded to it as a result of this development. The company is keen to leverage the resources at its disposal to usher in organic growth over the long term. Investors are hopeful that this will translate into consistent increases in shareholder value.

  • Powerbridge Technologies Co. Ltd. (PBTS) Stock Rises Following Purchase Agreement with Cryptodigital

    Powerbridge Technologies Co. Ltd. (PBTS) stock prices remained unchanged market trading hours on August 24th, 2021 at USD$1.39. Subsequent premarket fluctuations have seen the stock rise by 7.19%, bringing it up to USD$1.49.

    PBTS Stock’s Agreement with Cryptodigital

    August 25th 2021 saw PBTS stock announce having entered into a purchase agreement with Cryptodigital Holdings Ltd. the SaaS solutions and Blockchain applications provider signed a cryptocurrency mining machine purchase agreement. As per the agreement, the company will purchase a total of 5,600 bitcoin (BTC) and Ethereum (ETH) mining machines. Delivery of the machines is expected to start in October 2021.

    Details of the Purchase

    The total of 5.600 crypto mining machines will be composed of 2,000 BTC miners and 3,600 ETH miners. The 2,000 BTC miners will consist of a mix of the Antminer S19 Pro, Antminer S19, and other models. These models represent an expected hash rate of 200 PH/s. The 3,600 ETH miners will consist of high performance RTX 3070, RTX 3060 Ti, and other models. These devices represent an expected hash rate of 1,700 GH/s.

    Scope of Transaction

    The deployment of these miners is forecasted to result in a sharp increase in the company’s production capacity of both bitcoin and Ethereum cryptocurrencies. PBTS stock expects to continue investing in the acquisition of crypto mining machines. This is in the interest of enhancing their overall computing power for both BTC and ETH, which are the world’s leading cryptocurrencies.

    About PBTS Stock

    PBTS stock is a growth-driven tech company that primarily engages in Software as a Service solutions and Blockchain applications. PBTS SaaS integrates artificial intelligence, big data, and Internet of Thing offering SaaS platforms. This facilitates cross border eCommerce, supply chain, data intelligence, and IoT applications and devices. PBTS Blockchain is comprising of bitcoin and Ethereum mining and digital assets. Their Blockchain is also comprised of IPFS distributed network services, as well as industry-specific Blockchain applications.

    Future Outlook for PBTS Stock

    The company is poised to capitalize on the opportunities afforded to it as a result of its recent purchase agreement with Cryptodigital Holdings Ltd. PBTS stock is keen to accelerate the deployment of the mining machines so the company can continue their trajectory of success over the long term. Current and potential investors are confident in management’s ability to leverage the resources at their disposal. This is hoped to facilitate significant and sustained increases in shareholder value.

  • Acasti Pharma Inc. (ACST) Stock on the Rise Following Announcement of Acquisition of Grace Therapeutics

    Acasti Pharma Inc. (ACST) stock price was up by 3.13% as of the market closing on August 24th, 2021. This brought the price per share up to USD$0.45 at the end of the trading day. Subsequent premarket fluctuations have seen the stock increase by 5.21%, bringing it up to USD$0.48.

    ACST Stock Acquires Grace Therapeutics

    May 7th, 2021 saw ACST stock announce having entered into a definitive agreement to acquire Grace Therapeutics. Grace is an emerging biopharmaceutical company focused on developing innovative drug delivery technologies designed to treat rare and orphan diseases in order to address essential unmet medical needs. The strategic collaboration has been approved by both companies’ Boards of Directors, as well as supported by the partnering company’s shareholders through voting and lock-up agreements with ACST stock.

    Strength of Partnership

    ACST stock is confident that the planned acquisition of grace will be a lucrative and transformative transaction for both parties involved. The partnering company has a track record of developing novel drug delivery technologies and applying them to approved pharmaceutical compounds with proven safety profiles and clinical efficacy.

    Scope of Strategic Collaboration

    Grace’s proprietary technologies allow for the customization of the formulation of these marketed drugs in innovative ways that have the potential to address significant unmet medical needs in rare and orphan disease. This will be managed by facilitating the faster onset of action, improved efficacy, reduced side effects, and more convenient drug delivery. All of these measures serve to increase treatment compliance and improve patient outcomes. The company aims to make use of Section 505(b)(2) regulatory pathway under the Federal Food, Drug, and Cosmetic Act for clinical development and approval. This will substantially reduce time to market, cost, and risk.

    ACST Stock Enjoys Long-Term Security

    Furthermore, Orhpan Drug Designation from the FDA should secure seven years of marketing exclusivity in the United States after its launch. The combination will also bring Grace’s patents, which number more than 40 granted and pending patents all over the world. This tenure should provide the combined company with exclusivity through to the fiscal year 2036. The merged company expects having more than USD$60 million in cash reported on its balance sheet. This is expected to provide at least two years of operating runway.

    Future Outlook for ACST Stock

    ACST stock is poised to capitalize on the opportunities afforded to it as a result of its recently announced merger with Grace Therapeutics. The combined company is keen to leverage the cumulative resources at their disposal. Investors are hopeful that this will translate into consistent gains in shareholder value.