STOCKS TELEGRAPH

Author: ST Staff

  • Yunhong CTI Ltd. (CTIB) Stock Skyrockets as Meme Stock Phenomenon Rages Across Stock Market

    Yunhong CTI Ltd. (CTIB) stock prices were up by 11.78% as of the market closing on July 13th, 2021, bringing the price per share of USD$2.61. Subsequent premarket fluctuations have seen the stock rise by 24.52%, bringing it up to USD$3.25.

    Year-over-Year Improvements

    May 26th, 2021 saw the company announce a highly promising 17% year-over-year increase across the entirety of its Mother’s Day specific product categories for 2021. Despite the continued effects of the ongoing global pandemic, the company’s reports signify the quality and reliability of the company’s product portfolio. The company’s ability to ramp up production capacity to cater to the increased demand was also made apparent, signaling a strong start to the 2021 year.

    Volume of Shares Traded

    The company saw a massive surge of the volume of shares traded in a very short period of time, from a few dozen thousand up to a peak of more than 1 million over the course of a day. With there being no evidence to suggest that there have been developments that have not yet been covered by the media, this movement happened too rapidly for the stock to have snowballed after gaining organic momentum with day traders.

    Contextualizing CTIB’s Volatility

    Instead, in the absence of significant developments or changes in fundamentals, it is highly likely that the company has become the latest target in the raging meme stock phenomenon that has been spreading like wildfire across the stock markets. The pumping and inflating of the equity value of underperforming companies goes as far as to see companies heading towards bankruptcy being resuscitated, however temporarily, from the brink of collapse.

    Meme Stock Phenomenon

    A high short interest seems to be a common prerequisite for stocks being targeted by the meme stock movement, with the short interest signaling institutional investors’ confidence in the company’s stock price falling. Accordingly, the execution of a collaborative short squeeze is coordinated by retail investors who seek to capitalize on the confidence of institutional investors. Historically, some of the biggest names on Wall Street have seen losses in the billions, with some going as far as succumbing to bankruptcy. Given the randomness of the motivation behind these meme stocks, the gains in stock prices are rife with inherent volatility and risk.

    Future Outlook for CTIB

    Nevertheless, armed with the fortuitous surge in equity value, CTIB is poised to capitalize on the opportunities afforded to it as a result of the increased limelight the company is finding itself in. Current and potential investors are hopeful that management will be able to leverage their resources to facilitate sustained organic growth without the recent volatility.

  • Could This Be The Reason Why The LeMaitre (LMAT) Stock Is Falling?

    Stock price of provider of peripheral vascular devices, implants and services LeMaitre Vascular Inc. (LMAT) fell -7.96% in premarket trading today, trading at $55.25 at last check. LeMaitre stock closed Tuesday’s trading session at $60.03, down -0.69%. The average volume of LMAT stock traded over the last three months was 134.99K, higher than its trading volume of 62023 on the day.

    The LMAT stock fluctuated between $59.27 and $60.55 during trading. LMAT had earnings per share of $1.16. Over the past five sessions, the LMAT stock has gained 2.18% and over the past month, 6.42%, but has gained 48.22% over the last year. For LMAT stock, the 50-day moving average of $54.98 is above the 200-day moving average of $45.52. At the moment, the LMAT stock has a RSI of 57.03. LMAT stock declined following earnings release and public offering of common stock.

    What has LMAT posted for the quarter?

    More than 200 million people suffer from peripheral vascular disease, a condition that LeMaitre provides devices for treating. In addition to developing, manufacturing, and marketing disposable and implantable vascular devices, LMAT also serves its core market in the vascular surgery industry.

    For the quarter ended June 30, 2021, LeMaitre has announced preliminary unaudited results.

    In the second quarter of 2021, preliminary results show:

    • LMAT posted net sales of $40.7 mm. This represents an increase of 64% from the second quarter of 2020.
    • Compared to Q2 2020, LMAT gross margins were 65.5% to 66.1%, -2.7% at the midpoint.
    • The operating income of LMATranges from $10.9mm to $11.3mm, an increase of 128% compared to Q2 2020.
    • A cash and cash equivalent balance of $21.8 million was available at LMAT at last day of the reported period
    • LMAT reported a Paydown of $9mm of debt to $23.0mm
    • The Q2 sales growth was driven by Artegraft, which accounted for $6.7 million in sales, and by valvulotomes, shunts, and allografts, which made up the balance.
    • Across all major geographies, Q2 sales of LMAT grew by +83% in the Americas, +36% in Europe/Middle East/Africa and +29% in Asia/Pacific.
    • As of the end of the third quarter, LMAT had 88 sales representatives and 27 hiring opportunities open.
    • Manufacturing inefficiencies related to personnel reductions in 2020 contributed to the decline in gross margins.
    • In the period, an increase in net sales primarily drove the increase in LMAT’s income from operations.

    LeMaitre has also announced a public offering of 1,000,000 shares of common stock priced at $54.50 per share.

    • Pre-discount and commission payments by LeMaitre (LMAT) and estimated offering expenses payable by LeMaitre figure to around $54.5 million in gross proceeds from this offering.
    • On or about July 16, 2021, an LMAT offering is expected to close, provided conventional closing conditions are met.
    • In addition, LeMaitre (LMAT) granted the underwriters of the offering, for a period of 30 days, the right to buy up to an additional 150,000 shares of common stock at the public offering price, less underwriting discounts and commissions.

  • MediaCo Holding, Inc. (MDIA) Stock on a Rollercoaster Ride as Latest Target of Meme Stock Phenomenon

    MediaCo Holding, Inc. (MDIA) stock prices plummeted by 51.18% as of the market closing on July 13th, 2021, bringing the price per share down to USD$8.30. Subsequent premarket fluctuations have seen the stock surge by 20.24%, bringing it up to USD$9.98.

    Changes in MDIA Leadership

    The latest news from the company came on June 11th 2021, when the company announced the appointing of a new Chief Executive Officer, effective as of July 1st 2021. Mr. Lindsay has a wealth of experience, spanning two decades of leadership across the media, television and advertising spaces. He will be responsible for deciding MDIA’s overall strategic vision, aiming to expand its radio and outdoor divisions.

    Volume of Shares Traded

    The company’s stock price started climbing on July 12th, 2021 after an extended period of relative stability. The massive surge of volume of shares traded went from a few dozen thousand up to a peak of almost 10 million over the course of a day. With no reason to assume developments that have not yet reached the public, this movement happened too rapidly for the stock to have gained momentum among investors, thereby resulting in a snowball effect.

    Contextualizing MDIA’s Volatility

    Rather, in the absence of any media coverage of significant developments or changes in fundamentals, it is highly likely that MDIA has found itself to be the latest target of the meme stock phenomenon that has been spreading like wildfire across the stock markets. The pumping and inflating of the equity value of underperforming companies go as far as to see companies heading towards bankruptcy being brought back from the brink of closure.

    Meme Stock Phenomenon

    A common denominator among the stocks being targeted by the meme stock movement seems to be high short interest, signaling institutional investors’ confidence in the company’s stock price falling. Accordingly, retail investors coordinate to execute a collaborative short squeeze, seeking to capitalize on the confidence of the institutional investors. As a result, some of the biggest names in finance have seen losses in the billions, with some going as far as to declare bankruptcy. Given the largely random driving forces behind the movement, these gains in stock prices are rife with inherent volatility and risk.

    Future Outlook for WORX

    Nevertheless, armed with the fortuitous surge in equity value, MDIA is poised to capitalize on the opportunities afforded to it from the expanded scope of exposure it has received as a result of its recent rollercoaster ride. Current and potential investors are hopeful that management will be able to leverage the resources at their disposal to facilitate more organic growth over the long term.

  • Why The SCR Stock Has Fallen Nearly 8%?

    Score Media and Gaming Inc. (SCR) shares fell -7.84% to $16.35 in Tuesday’s after-hours session. theScore stock slumped -2.42% to close at $17.74. SCR stock traded 0.35 million shares, which is below the average daily volume of 0.61 million shares for the last 50 days.

    SCR shares have declined -4.21% in the last five days, but have gained -17.53% over the past month. During the last three months, SCR stock has shed -14.05%, and it has gained 241.15 percent so far this year. After releasing financial results, SCR stock dropped.

    Performance of SCR:

    theScore’s digital media and sports betting products reach millions of sports fans. theScore is SCR’s popular media app in North America for providing fans with highly personalized information on the latest scores, news, and statistics about their favorite teams, leagues, and players.

    TheScoreBet, SCR’s mobile app for sports betting, offers an immersive and comprehensive mobile wagering experience. Bets may be placed in New Jersey, Colorado, Indiana, and Iowa. Through SCR’s web, social, and esports platforms, the company creates and distributes innovative digital content.

    theScore released yesterday its third-quarter and nine-month results for the period ended May 31, 2021.

    Financial Results

    • SCR’s total revenue for the third quarter of fiscal year 2021 was $6.4 million, including $8.9 million in record media revenue and $2.5 million in negative net gaming revenue.
    • A year-over-year increase of 270% was achieved in media revenue during the quarter, from $2.4 million for the same quarter last year and 5.0% above the same period in 2019.
    • In Q3 F2021, there was $73 million in gaming handle and a loss of $40,000 in gross gaming revenue.
    • SCR generated a negative net gaming revenue of $2.5 million after taking into account promotional costs and fair value adjustments on unsettled bets.
    • For the same period last year, SCR suffered an EBITDA loss of $8.7 million.
    • In addition to the continued expansion of SCR’s gaming business, additional expenses related to US IPO costs and professional fees contributed to SCR’s wider EBITDA loss.

    SCR’s key figures:

    SCR (theScore) delivered record third quarter revenue across all of its businesses in fiscal 2021, both from games and media. Compared with the same period in 2019, revenue for the third quarter of $8.9 million grew by 270%. A unique, integrated approach to sports media and betting enabled SCR’s theScore Bet to generate $73.0 million in gaming handle in March, including $30.8 million wagered, representing one of the company’s biggest gambling month to date. SCR is preparing to launch theScore Bet in additional US states over the next year, in anticipation of at least doubling the number of markets in which it is available.

  • INmune Bio, Inc. (INMB) Stock on the Rise Following First Patient Treatment in INKmune Phase 1 Clinical Trial

    INmune Bio, Inc. (INMB) stock prices were up by 12.67% as of the market closing on July 13th, 2021, bringing the price per share up to USD$26.68. Subsequent premarket fluctuations saw the stock rise by 7.01%, bringing it up to USD$28.55.

    INKmune

    July 12th, 2021 saw the company announce the use of INKmune, its Natural Killer (NK) cell priming platform, had been used to treat the first patient in Phase 1 clinical trial. The treatment is being explored as a viable option for patients with high-risk myelodysplastic syndrome. MDS is a hematopoietic stem cell disorder that is indicated by functionally defective NK cells, with the level of dysfunction being predictive of overall survival. Roughly 33% of MDS cases develop into acute myelogenous leukemia (AML). With no known cure for MDS, existing therapies like chemotherapy and bone marrow/stem cell transplantation have varying degrees of success.

    Research Conducted

    With levels of NK function in MDS patients being predictive of overall survival, 15 years of lab research into potential patient treatment has raised hopes. The enhancement of low-level NK activity in patients with poor prognosis to the level of those with better overall survival, thereby altering the course of the disease, could be highly commercially promising.

    Scope of Research

    Lab work has shown INKmune binding to multiple NK receptors and initiates the activation of more than 3000 genes associated with function, trafficking, proliferation, and overall survival. With not a single cytokine available that has such a myriad of physiological effects, INKmune is being referred to as a psuedokine.

    Expanded Opportunities

    The treatment of the first patient in the trial serves as a major milestone, with the company being the first to study the INKmune platform in a formal clinical setting. With it being widely known that dysfunctional NK cells in cancer patients are not effective at eradicating residual disease after chemotherapy, leading to relapse and poor outcomes. The company has shown that with the delivery of tumor-specific activating signals to NK cells with INKmune, autologous tumor killing can be initiated.

    Future Outlook for INMB

    Armed with the significant milestone of having treated the first patient in the study, INMB is poised to capitalize on the opportunities afforded to it as a result. The company is keen to push for the accelerated development and eventual commercialization and proliferation of the treatment. Current and potential investors are hopefully that management will continue to leverage the resources at its disposal to facilitate significant and sustained increases in shareholder value.

  • What Motivated CorePoint (CPLG) Stock To Climb 10% Premarket?

    CorePoint Lodging Inc. (CPLG) was up 10.96% at $12.25 at last check in premarket trading. CorePoint stock closed last trading session at $11.04, decreasing -1.43% or $0.16. CPLG stock fluctuated between $10.90 and $11.12 during trading. CPLG stock traded 89043.0 shares versus its 50-day average of 0.19 million shares.

    Within the last year, CPLG stock has declined 134.89%, and its price has moved up just 0.27% within the last week. A total of 66.52% has been gained by CPLG stock for the last six months, and 16.70% has been gained over the last three months. CPLG stock has returned 60.47% since the beginning of the year. The CPLG stock is rising premarket following a business update and exploration of strategic alternatives.

    What is the latest update from CPLG?

    As the country’s only publicly traded lodging REIT that only owns midscale and upper midscale select-service hotels, CorePoint focuses on the midrange and upper mid-range hotels segment. In addition to its geographically diverse portfolio, CPLG also owns properties near employment centers, airports, and major routes. Most of CPLG’s properties are La Quinta hotels.

    A business update was provided by CorePoint for the second quarter ended June 30, 2021.

    • CPLG also announced that its Board of Directors has worked with its financial and legal advisors to explore strategic alternatives with the aim of increasing stockholder value.
    • By positioning itself in suburbs, drive-to destinations, and leisure markets, CPLG has been able to continue improving the business performance of its portfolio of select-service hotels.
    • CPLG’s disposition strategy has created substantial value through the execution of its non-core assets.
    • CPLG’s board has determined that now is the proper time to explore strategic alternatives to fully maximize value for its stockholders, given that more than 80% of all 210 hotels identified by the company were non-core.
    • The company continued to pursue its strategy of disposing of non-core hotels during the second quarter, selling 25 hotels.
    • The CPLG strategy amounted to approximately $143 million in gross proceeds during the quarter, which results in the company owning 175 hotels by June 30, 2021.
    • The CPLG has also signed contracts for 36 more hotels with qualified buyers that should generate approximately $220 million in gross proceeds.

    How did CPLG use the proceeds?

    According to CorePoint (CPLG), proceeds from the dispositions resulted in $125 million in repayments of CMBS debts during the quarter, resulting in $564 million in outstanding CMBS debt at June 30, 2021. In addition, CPLG paid down $5 million on its revolving credit facility, resulting in $75 million in outstanding debt as of June 30, 2021.

    On August 5, 2021, CorePoint (CPLG) is in plans of releasing Q2 financial results. The Board of Directors of CPLG will carefully review all strategic alternatives to maximize stockholder value, including the possibility of a sale of the Company or other deals.

  • Bridgeline (BLIN) Stock Fell In Extended Trading Because Of What?

    In after-hours trading on Tuesday, shares of the provider of cloud-based marketing technology software, Bridgeline Digital Inc. (BLIN) were down -5.92% at $6.83. At the end of the last trading session, Bridgeline stock traded for $7.26, up 20.80%. During the regular trading, BLIN stock traded between $6.6359 and $9.99.

    BLIN stock traded 52.46 million shares, higher than its daily average of 5.75 million shares over 100 days. In the past five days, BLIN shares have declined by -40.64%, while in the past month, they have gained by 167.90%.  Following a significant contract win in Singapore, the BLIN stock price took a dip in after-hours trading after adding to its value in regular session.

    The contract was for what?

    The Unbound cloud-based marketing platform and an array of apps from Bridgeline help companies increase sales by increasing traffic, conversions, and order values. As part of its portfolio of digital products, BLIN offers OrchestraCMS by Bridgeline and Celebros Search by Bridgeline. In addition to serving vertical markets with direct sales, BLIN has direct sales efforts in areas of financial services, retail brand names, health services, life sciences, technology, credit unions and regional banks, and associations and foundations.

    Further, BLIN provides services such as digital strategy, web development, usability engineering, information architecture, and search engine optimization; security monitoring, emergency response, version control, load balancing, managed firewalls, and virus protection; and shared, dedicated, and Software as a Service hosting.

    Bridgeline has announced a three-year contract with BLIN subsidiary Hawksearch to improve a government agency’s digital experience in Singapore.

    • Taxes collected by the agency are responsible for about 70% of operating revenue for the government as it is the main tax collector.
    • By achieving quality growth and inclusive society, Singapore achieves its economic and social goals.
    • Having just begun the construction of a new website, the agency decided it needed Hawksearch to provide relevant search results and personalized results to all visitors.
    • Hawksearch provides a broad suite of eCommerce apps, a powerful site search engine, and a comprehensive dashboard.
    • Hawksearch will now be able to work with global partners and government agencies thanks to this 3-year agreement.
    • Hawksearch has been given the opportunity to provide intelligent site search to a government agency.

     BLIN’s recent acquisition is paying off?

    Hawksearch is an intelligent product search and recommendation engine that Bridgeline (BLIN) acquired in May. The acquisition of Hawksearch resulted in BLIN adding the product to its Unbound range. Hawksearch serves not only as a critical component of BLIN’s full eCommerce360 strategy but also as a way to advance its artificial intelligence-driven technology in support of its overall product portfolio.

  • Were There Any Significant Reasons Why The AMC Stock Declined Afterhours?

    AMC Entertainment Holdings Inc. (AMC) shares sank -5.59% to $37.15 in after-hours trading. The AMC stock price closed Tuesday’s session at $39.35, down -7.65%. AMC stock volume was 83.8 million shares, which was about half of the average daily volume of 192.16 million shares within the past 50 days.

    Within the last 12 months, AMC shares have moved up by 823.71%, but over the past week they have moved down by -21.24%. The stock of AMC gained 345.14% over the past three months, while it lost 1688.64% over the past six months.

    Furthermore, AMC has a current market capitalization of $20.49 billion and 520.79 million outstanding shares. AMC is gradually losing ground and has lost a significant amount of the gain realized in the past few months for being the meme stock.

    Recent developments:

    With nearly 950 theatres and 10,000 screens worldwide, AMC is the largest movie exhibitor in the United States, in Europe, and for the worldwide market. By deploying its Signature power-recliner seats and enhancing its food and beverage offerings, AMC has led the way in innovation in the exhibition industry. In addition to offering large format experiences and TV programming, AMC has a loyalty program and subscription programs, as well as web and mobile apps.

    This past weekend, AMC Theatres broke all of its previous post-reopening attendance records, announced the company in a press release.

    • AMC experienced its busiest weekend in 16 months for the third time in three weekends, and for the second time since Memorial Day weekend.
    • From Thursday, July 8 to Sunday, July 11, roughly 3.2 million people watched movies at AMC theatres in the United States and abroad.
    • BLACK WIDOW topped the box office in the United States and Canada over the weekend, earning an estimated $80 million, breaking the record of F9 two weekends ago.
    • In addition to BLACK WIDOW’s performance, the industry saw its first $100 million weekend since early 2020 when nine other top 10 films performed well.
    • There are eight AMC theatres in the US ranked in the top ten busiest movie theatres across the entire industry.
    • AMC Burbank 30, a cinema complex in Burbank, Calif., came in first.

    Record number of guests at AMC:

    AMC hosted 2.5 million guests from Thursday through Sunday, setting yet another record in the United States. AMC theatres in Europe and the Middle East welcomed more than 650,000 international guests in the post-reopening period which is an another record-breaking number. Including the U.S., AMC’s global attendance of approximately 3.2 million for this past weekend, Thursday to Sunday, at home and abroad, is encouraging.

  • Meridian Bioscience, Inc. (VIVO) Stock Plummeted After Failing to Meet Financial Expectations for Preliminary Q3 2021 Results

    Meridian Bioscience, Inc. (VIVO) stock prices plummeted by 22.53% some time after market trading commenced on July 13th, 2012, bringing the price per share down to USD$17.43 early on in the trading day.

    Suffering Financials

    July 13th, 2021 saw the provider of diagnostic testing solutions and life science raw materials announce preliminary revenue results for the third quarter of the fiscal year 2021. Preliminary unaudited revenue for the quarter is expected to be less than previously expected, coming in at roughly USD$63.5 million. This is largely driven by supply chain issues with the company’s LeadCare reagents that resulted in increased backorders, negatively impacting the performance of the Diagnostics segment.

    EUA Resubmission

    The company announced on June 28th, 2021 that it had resubmitted its application to the U.S Food and Drug Administration for the Emergency Use Authorization of its proprietary Covid-19 molecular diagnostic test on the Revogene platform. February 22nd 2021 had seen the company voluntarily withdraw its initial EUA application, allowing VIVO to conduct additional studies based on feedback from the FDA. The completion of the additional studies resulted in the resubmission of the EUA application on June 25th 2021.

    RT-LAMP

    Specifically designed to accelerate the development of ambient temperature stable reverse transcriptase loop-mediated isothermal amplification (RT-LAMP) assays, the company announced the launch of the Lyo-Ready RT-LAMP Mix on June 16th 2021. The technology is designed for rapid, robust, and sensitive detection of RNA viruses.

    Scope of RT-LAMP

    RT-LAMP technology is ideal for point-of-care or portable testing, seeing as assays are performed at a single temperature, which reduces the cost and complexity of the device without the need for a thermocycler. The technology has been successfully used in the diagnosing of various infectious disease caused by RNA viruses, including, but not limited to, influenza, hepatitis C, West Nile fever, Dengue virus, and Ebola virus. The accuracy and accessibility of the simple equipment requirement makes it the perfect technology for use as a practical solution for point-of-care detection of viruses. This is particularly helpful in non-standard institutions, such as airports, rural hospitals, or from home.

    Future Outlook for VIVO

    Despite being armed with the development of RT-LAMP and the pending approval of its EUA, VIVO reported a significant dip in equity value following financial reports that did not meet previous expectations. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • Red Cat Holdings, Inc. (RCAT) Stock Skyrockets Following Announcement of Merger with Teal Drones

    Red Cat Holdings, Inc. (RCAT) stock prices surged by 45.40% shortly after market trading commenced on July 13th, 2021, bringing the price per share up to USD$4.32 early on in the trading day.

    Merger with Teal Drones

    July 13th, 2021 saw the company announce the signing of a definitive agreement that will see RCAT acquire Teal Drones, a frontrunner in the commercial and government unmanned aerial vehicle technology space. The all-stock transaction will add Teal Drones to the company’s portfolio, serving to consolidate the group’s myriad of offerings across the North American market.

    Network of Partnerships

    Teal will anchor the enterprise group at RCAT holdings, including, but not limited to, Skypersonic, a remote inspection company, as well as Dronebox, an analytics platform for cloud-based flight intelligence. Fat Shark, a drone imaging and communication company, is also included in RCAT’s portfolio, as is Rotor Riot, a lifestyle operation focused on the consumer segment. The company cumulatively presents a complete and varied selection of drone technologies that serve to cater to all the segments in the growing drone industry.

    Scope of Collaboration

    The inclusion of Teal will facilitate the natural expansion of RCAT deeper into the enterprise and government spaces. The partner’s Golden Eagle drone platform combined with its existing access to the Department of Defense will facilitate the adequate positioning of the company for a continued trajectory of success. Further facilitating this are RCAT’s market reach and market experience.

    About Teal

    The partnering company was founded in 2015, going on to launch its Teal Sport and Teal One consumer drones, marking the first of their kind to be manufactured in the U.S. Based out of Utah, the company has since expanded into the enterprise and government sectors with the U.S-approved Golden Eagle, which is a drone designed for recon, public safety, and inspection applications. The company’s open and modular platform allows a critical mass of applications to be developed and integrated for cutting-edge capabilities. Teal was one of only five companies selected by the DoD in 2020 as approved small unmanned aerial system vendors for the U.S. government.

    Future Outlook for RCAT

    Armed with the fortuitous upcoming merger, RCAT is poised to capitalize on the expanded scope of opportunities it finds at its disposal. The company is keen to leverage the additional resources at its disposal in order to facilitate significant and sustained increases in shareholder value over the long term.