STOCKS TELEGRAPH

Author: ST Staff

  • Why 9 Meters Biopharma, Inc. (NMTR) stock decreased in pre-market?

    9 Meters Biopharma, Inc. (NMTR) stock increased 3.03% closing at $1.36 compared to the previous day closing of $1.32 but in the premarket, the NMTR stock decreased by 15.44% to $1.15. NMTR announced that it has initiated a proposed underwritten public offering of its shares of common stock on March 30th, 2021.

    Overview of 9 Meters Biopharma, Inc.

    9 Meters Biopharma Inc. is a biotech company that focuses on rare and unmet needs of gastroenterology. NMTR is headquartered in the Research Triangle, East Coast, Southern United States. NMTR is advancing itself towards a phase-2 trial for the drug candidates for non-responsive celiac disease, an immune disease, and a phase 3 trial for short bowel syndrome, a rare orphan disease. NMTR is backed by over 150 patents worldwide and owns all the global rights to their products. NMTR has a strong management team that has a history of bringing novel therapeutics to the market.

    NMTR proposed a public offering of common stock

    On Tuesday, 30th March 2021, 9 Meters announced that it has initiated a proposed underwritten public offering of its shares of common stock. It is expected that NMTR will grant underwriters a 30-day option to purchase the additional 15% common stock shares that will be sold during the public offering. NMTR itself will sell all the shares in the proposed offering. There is no assurance that the offering will be completed and it is subject to the market and other conditions. The joint book-running managers for the proposed offering are William Blair & Company, LLC and Citigroup. NMTR announced that it will be offering 30,000,000 shares of its common stock to the public at a price of $1 per share. It is expected that the offering will close at 5th of April. The gross proceeds of NMTR from the public offering are expected to be $30 million, prior to the deduction of offering expenses payables, underwriting discounts, and commissions. An initial prospectus related to the proposed offering of NMTR will be filed with the Securities and Exchange Commission (SEC) and will later be available on SEC’s website. The copies of the prospectus related to the offering will also be available to be obtained from Citigroup Global Markets Inc. The final report of the offering will be revealed in a final prospectus to be filed with the SEC.

  • Chewy Inc. (CHWY) stock soared in the pre-market trading session: here’s why

    Chewy Inc. (CHWY) stock soared in the pre-market trading session: here’s why

    Chewy Inc (CHWY) stock recently traded at $80.38 which is a 1.94% upward movement. The CHWY stock previously closed at $78.85. In the pre-market trading session, the CHWY stock soared by 10.48% at the time of writing.

    The positive movement in the CHWY stock comes adjacent to the investors reacting on the announcement of the financial report of the Fourth Quarter 2020.

    The highlights of Chewy’s (CHWY) past business activities

    Chewy Inc. (CHWY) is an online retailer specifically for pet food and other pet-related products.  Chewy is based in Florida and was founded in 2011. The sales of the pet food retailer grew since the year 2014 when the sales grew from $205 million to $423 million.  Chewy had been acquired by PetSmart for $3.35 billion. This was at the time, the largest ever acquisition for an e-commerce business. PetSmart has transferred 20% of its ownership that it had in Chewy to its parent company BC Partners – a private equity firm.

    In the year 2017, CHWY stock was doing highly well, with the total revenue of Chewy being around $2 billion and had a market reach of about 51% for online pet food sales in the US. Furthermore, Chewy (CHWY) expanded its portfolio by creating Chewy Pharmacy, which was an innovative pet-specific online pharmacy. There was a team of in-house veterinarians that reviewed and processed the pet-medical orders. In 2019, CHWY sock completed its initial public offering which was very successful, and had earned it an estimate of 1$ billion.

    Reviewing CHWY stock’s fourth-quarter financial report

    Chewy’s financial report on the Q4-Earnings surprised the investors as it announced a 51% sales gain and has topped the $2 billion quarterly revenue mark. The sales for Q4 were reported at $2.04 billion while the analyst expectations were around $1.96-$1.97 billion. CHWY stock had a net income of about $21 million.

    The positivity behind the fourth quarter reported is numerated to a number of reasons. The pandemic was the driver for its online sales, revenue, and as well as online customer base. Chewy saw an increase of 42% in its active customer base year-over-year and now totals at 19.2 million. It customized and improved its CR by launching several marketing initiatives like e-gift cards and telehealth platform that allowed a consulting session with one of their in-house vets. This allowed for 5.7 million additions of net active users in Q4.

    Sumit Sing, CEO of Chewy, announced that the net sales increased by 47% from 2019 to $7.15 billion.  CHWY stock has done well this quarter compared to the last-year quarter where it reported a loss of $60.94 million. Chewy has also reported earnings of $0.05 per share.

    Will the future of CHWY stock’s long-term trend stay consistent?

    Physical retail companies or startups that shifted their whole operation base and business model to online retail during the pandemic mainly saw a rise in their sales and consumer demand. This can be attributed the isolation, stay-at-home and work-from-home trends as well as the convenience of online store shopping that have come to stay in this Covid-era. The main concern that should develop here is, will the market behavior retain the same positive response for online-retail platform in the post Covid era? This question also reflects on the business trends for Chewy (CHWY).

  • Lion Group Holding Ltd. (LGHL) stock plunges in the pre-market. Why is it so?

    Lion Group Holding Ltd. (LGHL) stock plunges in the pre-market. Why is it so?

    Lion Group Holding Ltd. (LGHL) stock declined by 0.4% in the last trading close whereas the LGHL stock continues to decline by 8.81% during the pre-market trading session after LGHL announced its full year 2020 financial results ended on December 31. Lion Group Holding is an all-in-one trading framework that focuses on Chinese investors and provides a broad variety of goods and services.

    2020 Financial Results

    • The revenue generated by LGHL in the year 2020 was $10.2 million which was $18.5million for the year 2019 that indicates a decrease of 44.8% in the revenue.
    • LGHL has undergone a net loss of $3.4 million compared to a net income of $8.2 million from the previous year.
    • The total number of client accounts associated with revenue generating was increased by 23.8% in the year 2020. Total accounts calculated were 5010 compared to 4047 from the previous year.
    • The generated Non-GAAP net income for the full year 2020 was $0.3 million compared to $8.2million for the year 2019.
    • CFD trading volume for the year 2020 was also declined by 72.3% from 806,111 lots in 2019 to 223,018 lots this year.

    2021 Outlook

    Lion Group Holdings announced that Mr. Guangdong Wang has become a member of the Board and is expected to play a vital role in LGHL’s TRS trading business since he has experience of 10 years of in quantitative trading. Also in the statement given, LGHL clarified that they are expecting their CFD trading services to remain a significant source of revenue in the future, as they have partnered with Yun Tian Investment Limited, which has tasked a team of talent in the areas of finance, technology, and marketing to help LGHL in accelerating their TRS trading business growth.

    With the ongoing COVID-19 pandemic situation, LGHL is hopeful that by the time most of the people will receive vaccination, their business will return back to normal. The expected time for that is June 2021 as it is mentioned by LGHL that they have entered into this with their long-term and efficient strategies for the business.

  • Romeo Power Inc. (RMO) stock shows a downfall during pre-market trading session. Let’s find out why?

    Romeo Power Inc. (RMO) stock plunged by 4.69% in the last trading closed whereas the RMO stock declines by 14.18% in the pre-market trading session after Rome Power announced its fourth quarter and full-year 2020 financial results, which ended on December 31. Romeo Power is an energy technology pioneer offering significant electrification solutions to difficult commercial applications. RMO was established in 2016 and is headquartered in Los Angeles, California.

    Financial Results

    • Romeo Power has generated a revenue of $9.0 million for the full year of 2020.
    • The cash and cash equivalents were $292.4 million for the year ended on December 31, 2020.
    • Also, RMO has paid cash of $1.3 million for capital expenditures of the year 2020.

    Last year’s Business overview

    In the report given by RMO, it is given that the last year has been pivotal for Romeo Power. RMO finished its business combination with RMG Acquisition Corp. as well as PIPE financing related to it. In addition, it has provided a $346 million net amount to help the growth and progress in the future.

    Also, RMO has closed an agreement of worth $234 million with Lion Electric. The agreement state that RMO will provide battery modules and packs for Lion’s fleet of electric commercial vehicles, it’s a multi-year agreement.

    2021 insights

    It is expected that the shortage of battery cells would restrict RMO’s near-term production and revenue in 2021, according to their forecast. Demand for raw materials and cells has surpassed supply especially with the rise in growth of the electric vehicle industry in recent months. RMO has forecasted that Romeo Power’s full-year revenue in 2021 to be significantly lower than anticipated due to the cell shortage. Although the time it takes to get our solutions to market is quite disappointing, they are working really hard with their chosen cell supply teams to ensure allocation and continuous cell development in the near and long term.

  • Hudbay Minerals Inc. (HBM) stock increased 4.23%. Here’s what happened

    Hudbay Minerals Inc. (HBM) stock increased 4.23%. Here’s what happened

    On 30th March 2021, Hudbay Minerals Inc. (HBM) stock increased 4.23%, closing at $6.66 as compared to the prior close of $6.39. Hudbay had recently announced the new significant discovery at its copper world properties adjacent to Rosemont. Hudbay had also announced the updates regarding its Constancia and Snow lake mine plans along with annual mineral reserve and resource update.

    About Hudbay Minerals Inc.

    Hudbay Minerals Inc. is a Canadian based diversified mining company that focuses primarily on the production of zinc metal and copper concentrated. The history of Hudbay has majorly centered on the mining city of Flin Flon, Manitoba, Canada, where it has mined for almost 90 years. Hudbay is currently working on building copper mine in Southern Arizona and has operations in Peru and Manitoba. Hudbay owns various exploration properties in Chile, United States, Peru and Canada. Hudbay also produces gold and silver in addition to the production of copper and zinc. Canada is a major contributor to its revenue generation and accounts to about 35% of the Hudbay’s total sales.  The main objective of Hudbay is to maximize the shareholder value through effective operations, accretive acquisitions and organic growth, all the while maintaining the financial strength.

    Announcement of updated Constancia and Snow Lake Mine plans and annual Reserve and resource update

    On 30th March, 2021, Hudbay announced that, in respect to its 100% owned Lalor and Snow Lake gold-zinc milling and mining operations and 100% owned Constancia copper mine Peru, it has filed the updated National Instrument 43-101 technical reports. Hudbay has also announced that it has issued a new three year production guidance and released its annual mineral reserve and resource update. The total mineral reserves of Hudbay have increased by almost 360,000 ounces of contained gold and 170,000 tonnes of contained copper, as compared to the estimates of prior year. According to the new three year production guidance, it is expected that there will be a 36% and 125% increment in the consolidated copper and gold production. The reserves of Constancia have increased by 33 million tonnes, which resulted in almost 12% increase in contained gold and 11% increase in contained copper, as compared to the previous year reserves. The total production of gold and copper increased by 9% and 12% in Constancia. As for the Snow Lake mineral reserves, they continued to increase year over and its copper, silver and gold production has increased by 35%, 27% and 18%.

    New discovery at Copper world

    On the same day, HBM announced a new discovery in their copper project in Arizona, United States. HBM confirms the intersection of high-grade copper sulphide and oxide mineralization, located in seven kilometers of its Rosemont copper project. The drilling program was launched in 2020 and the promising initial results encouraged Hudbay to launch a larger drilling program in 2021 and ever since that, HBM has doubled the number of drill rigs for further testing of the four deposits at copper world and the potential for additional mineralization.

  • ProPhase Labs Inc. (PRPH) stock rises in after-hour trading. Why is it so?

    ProPhase Labs Inc. (PRPH) stock rises in after-hour trading. Why is it so?

    Surged by 1.29% in the last trading close whereas the PRPH stock price continued to rise by 32.06% during the after-hours trading as PRPH made an announcement that they have managed to get the “VaccTrack” suite of digital solutions which is designed to provide safe and reliable certification of the person’s vaccination and also Covid testing results. ProPhase is a technology company that focuses on medical science. ProPhase Diagnostics, which is the laboratory testing subsidiary of ProPhase, provides SARS-CoV-2 (COVID-19) and COVID-19 viral mutation PCR tests via saliva and nasal swab at its CLIA-certified laboratories.

    Digital Vaccination Certificate; a significant development

    The digital vaccination certificate, or “passport,” is built on a mobile app that works in a way that indicates that a user has been vaccinated against Covid-19, or can validate the test results if the user has been checked for Covid-19. In this digital solution of PRPH, It is expected that confirming that a person has been vaccinated or tested negative for the virus would be widely accepted as a measure that will allow entertainment and sporting places to safely admit visitors, as well as airlines and hotels to securely admit tourists. The VaccTrack solution is designed by PRPH to be used as an app on a cell phone or as a digital wallet.

    The VaccTrack developed by PRPH is a four-in-one solution that includes VaccTrack for vaccine certificates, VaccTest for screening test certificates, VaccCheck to authenticate VaccTrack and VaccTest certificates, and VaccWatch to monitor vaccination side effects, and will be conveniently incorporated into any organization’s existing Covid testing operations.

    Lastly,

    Bedis Zormati who has developed this digital solution said that they are highly fortunate that ProPhase Labs will now provide VaccTrack to enhance the value and usability of PRPH’s research and diagnostic services. When users can take their vaccine certificates, as well as Covid and other testing results, back into the real world and resume their usual lives and social activities, the program speeds up. Also, they are really hyped to collaborate with the ProPhase team.

  • Vinco Ventures, Inc. (BBIG) stock set For Merger With ZASH Global Media And Entertainment Corporation

    Vinco Ventures, Inc. (BBIG) stock set For Merger With ZASH Global Media And Entertainment Corporation

    Vinco Ventures, Inc. (BBIG) stock a mergers and acquisition company focused on digital media space and consumer brands has extended its period to close the merger with ZASH Global Media till May 28, 2021. The renewed duration will provide the parties with a longer time span to declare a final contractual agreement and restructure both the party’s conditions for the merger including the finalization of an audit of Singapore-based Lomotif Private Limited, which ZASH will be acquiring side by side with Vinco Ventures Inc.

    The completed merger will bring ZASH public and also give Zash the majority shares in Vinco Ventures in addition to Lomotif, which is the main rival of TikTok.

    BBIG Stock Volatile Due to NFT Speculations

    A large number of users of social media such as Twitter have placed a bet on BBIG as potentially an NFT stock. However, there’s no official announcement from the company to create NFTs. This has created speculation among various investors due to which the stock price surged a few days ago due to unremunerated rumors.

    An NFTs is a non-fungible token. These are special cryptocurrency tokens that represent a unique digital item. The tokens can be used to buy and sell digital media. NFTs can represent digital files such as art, audio, videos and are stored on a digital ledger called blockchain, the same ledger which is used for cryptocurrency such as BTC.

    Hence BBIG stock is also sitting 191.2% higher since the start of the year with the stock’s daily average trading volume reaching 5.6 Million shares.

    Conclusion

    Vinco Ventures, Inc. (Nasdaq: BBIG) operates in the lucrative field of digital goods. Recent buzz on social media has suggested that the company is expected to get into the NFT space, however, the official stance of the company is still unknown.  BBIG long-term revenue growth and the rising stock price have proven to be a success and an expected investment in NFT’s has peaked investor expectation for the company. Furthermore, the acquisition of Lomotif, the direct competitor of TikTok has given the company a competitive advantage over its peers.

  • Tiziana Life Sciences Inc. (TLSA) stock rises in the current market trading. Why is it so?

    Tiziana Life Sciences Inc. (TLSA) stock surges by 9.06% in the current market trading session after TLSA stock announced the positive progress of the Foralumab program, which is designed to counter COVID-19 and secondary progressive multiple sclerosis. Tiziana Life Sciences plc is a dual-listed biotechnology firm specializing in the research and development of novel molecules to fight diseases like cancer, inflammation, and other infectious diseases in humans.

    What is happening?

    TLSA stock has declared that the US Food and Drug Administration (FDA) has approved the use of Foralumab, a completely human anti-CD3 monoclonal antibody, in a secondary progressive multiple sclerosis (SPMS) patient at Harvard University’s Brigham and Women’s Hospital (BWH), Boston, MA. This is the first time a nasally administered antibody will be provided to a patient with SPMS, and it will be handled under an Individual Patient Expanded Access IND. The treatment will begin in the second quarter of 2021 and will last for six months.

    To test microglial imaging, researchers at BWH will perform comprehensive routine protection, neurological, imaging, and PET studies on this patient. Normal investigations at the BWH will include the modification of immunological and neurodegenerative indicators.

    Previous record of Phase 1 Trial

    Tiziana previously completed a Phase 1 trial in healthy subjects with a single-site, double-blind, placebo-controlled, multiple ascending dose (MAD) one time in a day dosing for 5 days with nasally administered Foralumab. At doses up to 250 mg, the treatment was well received, with no drug-related adverse effects recorded. Professor Howard of BHW invented nasal foralumab.

    Also,

    TLSA had previously confirmed that the Clinical Trial of Nasal Administration with Foralumab in COVID-19 patients in Brazil had yielded promising results. Nasally administered Foralumab at 100 mg/day for a 10-day treatment period was found to be well-tolerated, with no serious adverse effects reported. Clinical evidence suggested that the procedure reduced lung inflammation significantly. This indicates that the recent development is expected to raise the progress graph for TLSA.

  • Muscle Maker, Inc. (GRIL) stock plunged in the recent trading session: here’s why

    Muscle Maker, Inc. (GRIL) stock plunged in the recent trading session: here’s why

    Muscle Maker Inc. (GRIL) stock recently traded at $2.21 which is a %9.05 downward movement. The GRIL stock previously closed at $2.43.

    The recent negative movement in the GRIL stock price comes adjacent to the news of the Meal Planner Company announcing the merger of Superfit Foods, LLC.

    What kind of company is Muscle Maker Grill?

    Muscle Maker Grill is a fitness and diet-based healthy food serving company. It is a unique concept of a prepared meal plan company that specializes in all assortments of lean and protein-based food. The customers targeted are usually fitness and diet-oriented who are given freshly prepared customized meals of their liking. Muscle Maker Inc. has two subsidiaries known by the name of Muscle Maker Grill and Muscle Maker Corp, LLC.

    These meals contain all-natural foods that range from whole wheat pasta, wraps, steaks, turkey, chicken, and a lot more. It offers a similar healthy range of ingredients in its smoothies and shakes. To capture the health and fitness market it diversifies its product offering by including protein powder and supplements.

    Muscle Maker Grill’s operational expansion

    Muscle Maker Grill has recently partnered with Happy Meal Prep to deliver its prepared meals right to the doors of the customers. GRIL has recently launched “healthier for you” means that it wants to market through this partnership.

    Now, GRIL stock has acquired SuperFit Foods which is also a unique meal prep business. SuperFit Foods produced over 220,000 meals in 2020. The average revenue per order for SuperFit Foods is $81.70 and the overall business has grown by double-digit percentages since its startup. MMG will release the specifics of the definitive agreement in 8k which will include the stock and cash transactional value.

    SuperFit Foods’ and Muscle Maker Grill’s unique business model match perfectly!

    SuperFit Foods is a good-fit for GRIL stock due to its unique subscription-based business model. The customers can order their customized meals via the company’s app or website. Furthermore, its innovative model allows for customers to conveniently pick up their fully-prepared meal or juices from refrigerators/coolers in any of the 28 partner gyms and wellness centers. Apart from that, customers can avail of home delivery or shipping anywhere in the USA.

    Muscle Maker Grill can align the same “healthier for you” marketing strategy, expand it through the acquired SuperFit Foods’ business channel and its partnerships with the fitness centers/gyms. Muscle Maker Inc. is aggressively expanding its operational base by opening up an online business platform, opening ghost kitchens, acquiring and partnering with other meal-preparing companies.

    Overall outlook for GRIL stock

    MMG’s CEO Mike Roper believes that the market of meal prep is vast but fragmented. This statement is reflected by the total market evaluation of the meal prep business which was $7.6 billion in 2019. Furthermore, the market is expected to expand by an annual growth rate of 12.8% from 2020 to 2027. MMG has intentions of evaluating other companies in the future to expand its operational basis and capture a wider market. This outlook bears good news for the long-term investors looking to buy into the GRIL stock.

  • AeroCentury Corp. (ACY) stock plunged in the recent trading session: here’s why

    AeroCentury Corp. (ACY) stock recently traded at $4.24 which is a 38.64% downward movement. The ACY stock previously closed at $6.91.

    The heavy plunge in the recent trading session of the ACY stock comes adjacent to the news of AeroCentury Corp. announcing that it is filing a petition for Chapter 11 Reorganization.

    The Corporate profile of AeroCentury Corp (ACY)

    The AeroCentury Corp. (ACY) is an established aircraft operating lessor and finance company. It has a worldwide customer base of regional airlines. ACY stock has leased from 50 to 100 passenger regional aircraft in 15 countries. The company’s asset consists of a balanced range of old and new aircraft, turboprop, and engines that it leases to regional air carriers.

    The AeroCentury Corp. (ACY) is filing Chapter 11

    The AeroCentury Corp. (ACY) Company prides itself on faring better than its large carrier counterpart during cyclical and economic downturns due to its business model being flexible, opportunistic, and adaptable cost structure.

    However, ACY stock has hit a barricade in the form of Chapter 11 bankruptcy recently. Chapter 11 bankruptcy is usually referred to as “reorganization” bankruptcy. This bankruptcy requires a written disclosure statement and a plan of reorganization to be filed in court. The statement should disclose the concerned company’s assets, business affairs, and liabilities as such that allow the creditor to assess an informed evaluation of the debtor’s reorganization plan.

    How does AeroCentury (ACY) plan to proceed?

    The AeroCentury Corp. (ACY) is planning to proceed with Chapter 11 bankruptcy, specifically operating in accordance with the “debtor-in-possession” operation of its business.     AeroCentury does so because it believes this is the most effective next step for resolving the ACY stock’s outstanding indebtedness. Specifically, the reorganization of the financial operations includes the continuation of its regional aircraft business to preserve and maintain the value for the stakeholders of ACY stock.

    While it is applying for “reorganization” bankruptcy, many of the aspects of business and finances remain the same. The company’s relation and interaction with its lessees will remain unchanged and the portfolio of its assets and operations will remain intact. These operations will require for utilization and maintenance of existing cash portfolios and management systems. For this, AeroCentury has filed a motion to the Bankruptcy Court seeking “first-day” relief to allow uninterrupted continuation of the business.

    Auction Sale is the proposed solution by AeroCentury (ACY)

    One solution given that will relieve the ACY stock of its debt is a proposal for an Auction Sale offer to Drake Asset Management Jersey Limited. Drake is the sole lender of AeroCentury Corp and has made a deal with its debtor to enter into a stalking horse agreement. This agreement consists of possessing all the aircraft collateral in order to pay up ACY’s indebtedness. Auction sales like these which are a part of the Bankruptcy filing motions can lead to successful bidding of assets and collateral of the in-debt company. This can lead to the clearance of the pending and owed payments while resolving the Bankruptcy.