STOCKS TELEGRAPH

Author: ST Staff

  • 180 Life Sciences Corp. (ATNF) stock Rises today: Why is it so?

    Shares of 180 Life Sciences Corp. (ATNF) stock rises in the pre-market trading session today despite the absence of any particular news related to ATNF stock. As of this writing, ATNF surged by 13.87% to reach $9.03 per share. 180 Life Sciences stock collected the gain of 12.01% at the previous trading session. Let’s deep dive to explore more of it.

    What’s happening?

    Rising ATNF stock price has nothing to do with any specific activity by the 180 Life Science. Also, we find no signs of analyst’s upgrades are upswing the targeted price of the ATNF stock to justify this rise. So, what you need to know at this time? Let’s have a look at some previous events of ATNF stock.

    On March 24, 2021, released the letter to its stakeholders on the behalf of its Chief Executive Officer, Dr.James Woody. According to the letter, ATNF had shown significant development with time to improve its legacy and strengthen its balance sheet. ATNF had completed its private placement of $11.7 million and reduced its debt from $5 million to $316k.Previously inherited equity of $3 million had converted to full equity.

    Furthermore, the letter shows that 180 Life Sciences is planning to finance various of its clinical trial through the proceedings from the private placement and add two more members to their board of directors. Accrued salaries of the insider would be converted to the common stock that would further align the goals of insiders with ATNF stockholders.

    About ATNF Stock:

    180 Life Sciences is operating as a clinical biotechnology firm mainly working in the development of drugs that cure inflammatory diseases, fibrosis, and pain. Founders of ATNF are renowned pioneers in the research and development of anti-inflammatory drugs. Currently, 180 ATNF has been working on three programs for the cure of distinct inflammatory diseases out of which one program is in the stage of phase 2b/3 trial and results are expected to be announced on Q4 2021.

    Conclusion:

    ATNF stock has been hot among investors so far despite the absence of any specific news related to it. It seems that momentum has been already built by the ATNF stock if we consider the previous trading session. Generally, such trends don’t last for a long time, but no one can predict the exact outcome in the stock market. Hence it is better to practice deep research before adding any stock to the portfolio.

  • Why is Big Rock Partners Acquisition Corp. (BRPA) stock Gaining today?

    Why is Big Rock Partners Acquisition Corp. (BRPA) stock Gaining today?

    Shares of Big Rock Partners Acquisition Corp. (BRPA) were gaining in today’s pre-market trading session amid the spread of the news that BRPA has clarified the stockholder redemption procedure in connection with the extension amendment proposal in the Big Rock’s special meeting of stockholders. BRPA stock price saw a push of3.42% to reach at $37.50 a share in today’s pre-market at the time of this writing.BRPA faced a downtrend in the previous trading session and closed with an 11.52% drop. Let’s discuss the current scenario in detail.

    Extension Amendment Proposal:

    Big Rock Special meeting of stockholders is related to the approval of the amendment in connection with BRPA’s amended and restated certificate of incorporation for extension of date from April 23, 2021, to May 24, 2021, so that Big Rock may consummate its initial business combination.

    If the amendment gets approval, then BRPA shareholders of its common stock of the initial public offering would be able to opt for the option of conversion of their public shares into pro-rata portion of Big Rock’s trust account funds. As of March 31, 2021, the pro-rata per share portion was approximately $10.86 and BRPA’s common stock was $35.42.Selling of public shares in the open market will result in $24.57 less receiving if the price remains the same through the meeting date.

    What do stockholders need to do?

    Stockholders have to physically tender their stock certificates to  Big Rock’s agent, Continental Stock Transfer & Trust Company or stockholders can deliver their shares to the transfer agent by electronic means using the depository trust company’s DWAC system. This would be only applicable until two business days before the voting of the extension amendment proposal.

    Management of BRPA stock has thanked its shareholders for support and patience in this process. Moreover, the shareholders are encouraged to cast their vote as soon as possible to ensure their representation at a special meeting. Management also cleared that the stockholders who don’t wish to convert their shares are not required to do any additional process to remain invested in BRPA stock.

    Conclusion:

    BRPA stock seems to be gaining after facing the downtrend in the previous trading session.BRPA stock happened to be red at one time in the pre-market session today but then again it got the rising momentum. Now investors are eyeing the decision related to the extension amendment proposal which would further clarify things in the future.

  • ION Geophysical Corporation (IO) stock soared in the recent trading session: here’s why

    ION Geophysical Corporation (IO) stock soared in the recent trading session: here’s why

    ION Geophysical Corporation stock recently traded at $2.61 which is a 22.17% upward movement. The IO stock previously closed at $2.12.

    The +20% rise in the IO stock at the time of writing, can be explained by the recent announcement that that IO is all set to initiate Phase 2 of the survey program.

    What do companies like ION Geophysical Corporation exactly do?

    When Oil and & Gas companies want to perform surveillance operation in the offshore and maritime regions they bring in companies like ION. ION Geophysical Corporation provides services and solutions for the global oil & gas industry by delivering powerful data-driven decision making through innovative technologies. IO provides optimized investment decision for clients through hi-tech analytics, data, and result for maritime surveys, expeditions, and other services.

    ION has commenced the North Sea 3D survey

    The commencement of the North Sea 3D multi-client survey program’s second phase will cover the sections of the UK Continental Shelf which have not been properly surveyed and examined before. The initial phase of the program started in August of 2020 and had added additional underwriting as well acreage was awarded within the survey area. This brings up incentives for the program to go into the second phase and increase its multi-client base.

    The new set of data will be collected from approximately late April to mid-October and cover. It is located in a highly rich hydrocarbon province. What is already positive about the Mid North Sea High exploration was that the data collected has attracted many recent play-opening wells. These play-opening wells also come along with attractive price tag for their development.

    What will the second phase incorporate?

    IO has planned to cover a massive area almost 6 times compared to the size covered in the initial phase. The 11,000 sq km area coverage is planned to be covered significantly in the coming summers. ION Geophysical Corporation is excited to use Shearwater GeoServices. The acquisition technology of Shearwater will complement ION’s subsurface images produced through imaging. This will please the clients for in-depth insight in the offshore zechstein.

    The North Sea’s summer seasons are short which is why the ION Optimization Services team will use the resource of its most latest and effective software called MarlinTM and Orca®. The two softwares will allow the team to extract data from the Ocean currents and nearby activities which will help keep the second phase on track for delivery in Q2 2022.

    The significance of 3D data survey for IO’s stock performance

    ION Geophysical Corporation is actively participating in the 3D new acquisition multi-client market as it had planned to do. This will boost the operations and the performance of the IO stock.  The IO stock performance improvement is expected to be better than the boost during its initial phase for 2 reasons. One is that the success of the initial phase allowed the clients to gain trust and looked forward to the results of a second expedition. Second, the survey is a significantly bigger expedition than the initial one and also more extensive than any 3D data nearby.

  • GEO stock plunged in the recent trading session: here’s why

    The GEO Group Inc. (GEO) stock recently traded at $6.21 which is a 20.38% downward movement, at the time of writing. The GEO stock previously closed at $7.80.

    GEO Group owns prisons in USA and other countries

    GEO Group is a real estate investment trust (REIT) firm that is fully integrated. It is a publicly traded trust that invests in private prisons and mental facilities. GEO also designs, finances and operates these processing centers and facilities in USA. Apart from USA this global REIT also has an operational setup in UK, South Africa and Australia. In total, it consists of 116 facilities in which it has ownership and management.

    GEO announces suspension of quarterly dividend payment

    The GEO Group Inc. has announced that its Board of Directors has decided to effectively and immediately suspend GEO’s quarterly dividend payment. The statement says that this was done for the reason of maximizing the use cash pay for the repayment of debt. The Board of Directors also stated that it wants to deleverage and promote internal growth.

    What prompted GEO’s BOD to make this move?

    This announcement of suspension of divided pay is an internal prospective decision that came as a reaction to external event. Since the Biden administration has taken up the governance of America, the sentiment towards profit-making company running the facilities has been that of disapproval. The Department of Justice has ordered for these facilities to stop being run by profit-making companies. The effects of this order are already being shown in the form of contracts cancellation and expiring-without-renewal. The Federal Bureau of Prisons and US Marshals are not agreeing to any for-profit company’s proposals.

    Thus when assessing this decision by the Biden administration, it makes more complete sense to realize why GEO Group is taking this step. The Board of Directors currently decided to keep their corporate tax structure as a Real Estate Investment Trust however it has also stated to undertake an evaluation of this structure in near future. This will be one among many changes that have been taken under consideration to be made. When REIT structure has been changed it will transform GEO stock’s financial operations as well as Internal Revenue Code 1986’s amendment to US Corporations and REITs. Furthermore, if the REIT status is maintained then the Company will be required to make an additional dividend payment before year-end which needs to be done to uphold minimum REIT distribution requirements in the IRC Code 1986.

    How will GEO’s financial operations for 2021 now look like?

    GEO stock has had $291 million cash on hand while having a carrying capacity of $209 million and $450 million through its revolving credit facility and senior credit facility, respectively. Along with the suspension of quarterly dividend payment, GEO stock has reduced its capital expenditure planned for 2021 by $35 million. A minimum of $125-$150 million net debt has been set as a goal to be repaid. The board of directors is expecting to complete the evaluation of GEO’s corporate tax structuring.

  • Ocugen (OCGN) Stock Price Increased by 270% On A Year To Date Basis. Here’s What Happened

    Ocugen (OCGN) Stock Price Increased by 270% On A Year To Date Basis. Here’s What Happened

    Ocugen (OCGN) stock is a relatively new biotechnology company specializing in diverse and lucrative fields such as gene therapy and Covid 19 vaccines. In February, OCGN made a contractual agreement with Bharat Biotech to produce the Covaxin Covid-19 vaccine, which showed minimal side effects and had an 81% efficacy rate in phase 3 clinical trial in India soaring OCGN Stock price by 270%. Ocugen agreement stipulates that it will commercialize the vaccine in the U.S, targeting a huge demographic and capturing a staggering 45% of the profits from its sale.

    The vaccine produced by OCGN is an inactivated vaccine. Primarily, an inactivated or dead form of the SARS-CoV-2 virus is inserted into the human bloodstream. Afterwards antibody production is started by the immune system and the body ‘Learns’ the defense mechanism. Hence if an infection occur, the immune system can respond swiftly and efficiently.

    Now What

    Financially, the company consists of over $24 million in capital and has approximately $2.1 million in debt. In 2020, its net losses were $21.8 million, however new OCGN stock can be issued to generate capital and new income from vaccines could further help Ocugen to diversify its pipeline.

    Furthermore, Pfizer, Moderna, and AstraZeneca have already started mass production of their vaccines, hence OCGN can have a hard time grabbing a significant share in the saturated market. However, Bharat Biotech claims that Covaxin demonstrates “significant immunogenicity against the rapidly emerging variants.” giving OCGN product line distinctive competency over other vaccines which can produce a potentially huge financial surplus.

    Conclusion

    OCGN has invested in a very lucrative market of vaccines especially amongst the time of a pandemic. A strategic relationship with Bharat Biotech combined with an 81% efficacy rate of the vaccine has peaked investor interest with speculations of high capital gains in the near future.

  • Ebang International Holdings Inc (EBON) Stock Price Dropped By 30% Since Start Of April. Here’s What happened

    Ebang International Holdings Inc (EBON) Stock Price Dropped By 30% Since Start Of April. Here’s What happened

    Ebang International Holdings Inc (EBON) Stock price decreased by 2.44% in the current market session on Wednesday, and 30% since the start of April, as investors who had shorted EBON Stock blamed the company for being a “China Hustle” masked as a Bitcoin (BTC) mining play. Hinderburg, The short seller responsible for this statement further said “yet another cautionary tale for inexperienced retail investors enthused by anything crypto-related” which plummeted EBON shares immensely.

    The short seller also said EBON generated approximately $374 million by various offerings and directed a gigantic proportion of $103 million into bond purchases linked to its underwriter hence the company acting on a self-interest basis and providing no value for the investors.

    Why Ebang International Stock Had a surge of 15% Last Month

    Stock price of Ebang International Holdings (NASDAQ: EBON) increased by 15.2% in March and soared over 70% at a specified time frame. EBON stock price increased as it initiated its own cryptocurrency exchange. The platform was made as a prototype on March 15 to a particularly selected audience. However, this test developed swiftly, with an official launch being held after three weeks on April 5th.

    The company initiated the month by notifying the availability of share dilution stock offering after EBON was accused by Hindenburg of directing company capital and net proceeds of its secondary $21 million offerings to a relative of the CEO. Reduced availability and jurisdiction in the crypto exchange are in some parts of the world could have to do with why EBON stock is falling today

    Conclusion

    EBON currently has a market capitalization of approximately $950 million, with shareholders currently giving the company a respectable valuation with high expectations however, if the exchange has a hard time in expansion, the valuation of the company will be severely effected with shareholders being skeptical about Ebon Stock value.

  • Tencent Music Entertainment Group (TME) stock plunged in the current market trading session: here’s why

    Tencent Music Entertainment Group (TME) stock plunged in the current market trading session: here’s why

    Tencent Music Entertainment Group (TME) stock recently traded at $19.65 which is a 2.52% downward movement. The TME stock previously closed at $20.16.

    The US-China tension recently caused the Exchange Trade Funds to slump especially the ones that leaned towards the technology stocks. This is because of the new SEC policies. This has also affected TME stock.

    Insight on Tencent Music Entertainment Group’s business background

    Tencent Music Entertainment Group (TME) is an entertainment company that creates music streaming services for the market in China. It is operating in China’s most popular and innovative music streaming apps. This includes QQ Music, Kuwo Music, WeSing and Kugou Music. TME stock’s operational platform also comprises of online karaoke, online music and live streaming services enabling fans to engage with music and have an elevated role in the music platform.

    Releasing Stars and Wishes album on World Autism Awareness Day

    Tencent Music has recently elevated this role of music in people’s life launching a collaborative charity album on 2nd April 2021. Tencent collaborated with pop singer and TME Music Care Ambassador Chen Linong as well as a talented group of autistic children. There is a very encouraging association of autistic children with stars in China. This is why the album has been dubbed Stars and Wishes and was launched on the World Autism Awareness Day.

    TME stock has been releasing charity albums for four consecutive years since 2017 to 2020, for raising awareness and educational support for special needs groups. It also raises this awareness through the platform it knows the best and that is music; providing music therapy to show how music can heal and improve mental health.

    Announcement of $1 billion repurchase program

    As positive this news is for public image, media popularity, and even TME stock performance to an extent but that is not all Tencent Music has recently done. TME announced on 28th March 2021, that it had authorized a $1 billion share repurchase program. This program will have a time duration of 12 month. These $1 billion shares will be Class A ordinary shares in the form of American Depositary shares to be repurchased. This indicates that the Tencent Music’s Board is very confident and bold about its business outlook for the long term strategy.

    So how does the recent development project TME stock’s outlook?

    The repurchase program is a strong step taken by Tencent Music Group to create hype for TME stock in the long-term and especially to counter the fear of slumps in the ETF funds due to China-US tensions. In the last week of March, there was fear looming that SEC’s new adopted law called Holding Foreign Companies Accountable Act would delist Chinese Tech stocks. Due to which in the seven day period leading up to 26th March Friday closing, TME stock fell by 33.92%.

    Harding Loevner released its “International Equity” Q4 2020 investor letter on 1st April. They mentioned Tencent Music (TME) and stated it is being involved with the state-regulated Chinese banking system via their payment platforms. This can potentially cause Tencent to be entrenched in the vested interests of politically powerful and would then have to sign up their business models in the process.

  • Beyond Meat, Inc. (BYND) stock Gains in Pre-Market Today: Why is it so?

    Beyond Meat, Inc. (BYND) stock Gains in Pre-Market Today: Why is it so?

    Beyond Meat, Inc. (BYND) announced the opening of Plant-based meat manufacturing facility in China after which BYND’s stock price was pushed by 2.65% in the pre-market session to reach $137.50 a  share at the time of this writing. BYND outperformed at the previous trading session and closed with a 1.79% gain. Let’s look at current events in detail.

    Plant-Based Meat Manufacturing Facility:

    Beyond Meat, Inc. (BYND) is a food company working as the manufacturer, marketer, and seller of plant-based meat products in the U.S and the globe. The main purpose of the world-class plant-based meat manufacturing facility in the Jiaxing Economic & Technological Development Zone (JXEDZ) near Shanghai is to fasten the local production as well as innovation. This development would help Beyond Meat stock to expand its network in the Jiaxing by speedy manufacturing and distribution of its products within the region. Furthermore, this step would strengthen the cost structure of BYND stock and would provide sustainability to the operations.

    Future growth:

    This facility will produce a variety of plant-based meat products which include plant-based pork, poultry products, and beef. Beyond Pork which, is specially created for the Chinese market, is also added to this facility. The facility will help BYND in the research and development of new and unique plant-based meat products and will support its local strategic partners.BYND stock is making serious efforts in the advancement of plant-based meat products in China for long-term growth.

    Beyond Meat Position in China:

    About a year ago, BYND signed an agreement with Starbucks China and within the year, BYND stock had expanded menu offerings at Starbucks and did partnerships with many of the renowned brands like KFC, Pizza Hut, Jindingxuan, and many more. Moreover, Beyond Meat has successfully built its reputation among the local consumers in China who prefer a healthy and sustainable lifestyle.

    Conclusion:

    Investors are responding to the news related to the opening of a new plant-based meat manufacturing facility announced by BYND stock. This development of BYND stock would pave the way to the long-term growth of Beyond Meat in China. Hence BYND stock can be a good bet for investors having long-term prospects.

  • Carnival Corporation & plc (CCL) stock gains over Pre-Market: Things you need to know

    Shares of Carnival Corporation & plc (CCL) stock were continuing the uptrend in the pre-market trading session after gaining 1.74% at the previous closing. CCL was up by 2.45% to reach $29.30 a  share as of this writing. A couple of news related to CCL stock are wandering among investors. Let’s have a look at current events.

    What’s happening?

    Yesterday, on April 6, 2021, the Carnival Cruise line notified its guest about the suspension of cruise operations out of U.S ports through July. This was due to an extension in the suspension of all operations from the U.S ports till June 30. President Christine Duffy said that they had no plan to move Carnival Cruise Line ships outside the U.S ports but they had no option other than this in order to continue their operations which had been on a pause for a year due to the COVID-19 pandemic.

    Carnival Corp. spokesman on Tuesday said that the passengers don’t need to vaccinate against COVID-19 before traveling. This reaction from CCL came after the announcement of its rival Norwegian Cruise Line Holdings Ltd that it would be mandatory for the passengers to be vaccinated against COVID-19 before the start of cruises in July.

    Financial View of CCL stock

    CCL stock is expected to announce its first-quarter financial results of 2021 later today. In the previous quarter, CCL stock had a negative earnings surprise of 5.2%. The Zacks Consensus projected a $1.66 loss per share in this quarter. The reason for the loss is obvious as Cruise operations had been halted for a year due to COVID-19 escalations. In the first quarter of 2020, CCL stock reported 22 cents earnings per share. The Zack Consensus estimated the $108 million revenue for the first quarter of 2021 which shows a decline of 97.7% as compared to the same period of the prior year.

    Conclusion:

    So far so good for CCL stock as far as market sentiment is concerned but the first-quarter earnings report ahead would further explain the position of CCL . Cruise operations had been badly damaged due to the rise of the coronavirus pandemic and that why a major fall in the revenue is expected in the earnings report ahead. In a nutshell, long-term investors are required to do deep research before taking a decision.

  • Why 9 Meters Biopharma, Inc. (NMTR) stock is gaining in Pre-Market today?

    Why 9 Meters Biopharma, Inc. (NMTR) stock is gaining in Pre-Market today?

    9 Meters Biopharma, Inc. (NMTR) stock was green in the pre-market trading session after suffering the drop of 4.31% at the previous closing. NMTR stock price saw a push of 13.51% to reach $1.26 a share at the time of this writing. There is no particular activity related to NMTR stock in today’s date however, 9 Meters stock on April 5, 2021, announced the closing of an offering of its common stock. Let’s deep dive to explore more of it.

    What’s happening?

    NMTR recently announced the closing of an offering of  34,500,000 shares of its common stock including additional sales of shares by underwriters at the public price of $1.00 a share. The offering was initiated on March 30, 2021, in which underwriters were granted the 30-day option to sell additional 4,500,000 shares of the common stock of NMTR. The gross proceeds were expected $30 million at that time without deducting the underwriting discounts and offering related expenses while the net proceeds resulted from these offerings after deducting underwriters’ discounts and other expenses were recorded at approximately 31.5 million at the closing of the offering.

    Financial View of NMTR stock:

    On March 22, 2021, NMTR announced its fourth quarter and full-year 2020 financial results according to which 9 Meter bore $5.0 million or $0.03 per share net loss in the fourth quarter of 2020 as compared to $8.5 million or $0.25 per share net loss in the same quarter of the previous year. For the full fiscal year 2020, the net loss of NMTR stock was  $61.5 million or $0.58 per while it was $27.0 million or $0.81 per share in 2019.

    As of December 31, 2020, NMTR had cash and cash equivalents of $37.9 million which were significantly higher than the $4.6 million cash and cash equivalents at the end of 2019. As of March 19, 2021, NMTR generated additional proceeds of $6.7 million from warrant exercises.

    Conclusion:

    It seems that NMTR stock is hot among investors today, but it would be interesting to see how long this trend would persist in the future.Net proceeds were recorded more than the expected gross proceeds from the offering of NMTR stock. The financial report tells that 9 Meter has increased the value of its assets over the year. In short, investors should keep an eye on this stock.