Ambastha Financial LLC

By Kuldip K. Ambastha

In the last few years, cryptocurrencies (and their associated blockchain technology usages) have attracted the attention of many investors.

During the past trading week, the first-ever North American exchange-traded fund (ETF) for Bitcoin was launched. Purpose Bitcoin ETF (BTCC-B.TO) saw strong interest from investors and heavy daily trading volumes. Though cryptocurrencies are highly volatile, Bitcoin and other cryptocurrencies have been attracting mainstream attention recently.

Purpose Bitcoin ETF was launched by Purpose Investments Inc. of Toronto, Ontario, Canada. The ETF has a 1% management fee, and has an annual distribution frequency. Given the ease of investing in an ETF (vs. directly investing in cryptocurrencies), more cryptocurrency ETFs may emerge in the future within North America.

Keywords – Purpose Bitcoin ETF, BTCC-B.TO, Bitcoin, cryptocurrencies, cryptocurrency, blockchain, technology, North America, North American, exchange-traded fund, ETF, Purpose Investments Inc., Toronto, Ontario, Canada, Canadian.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in BTCC-B.TO.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

During this trading week, retail investors focused on stocks in the marijuana sector. Canopy Growth Corporation (CGC) is one such company, based in Smiths Falls, Ontario, Canada. Per the table above, three days of positive returns were followed by two days of negative returns. Aside from retail investor interest, the hopes of comprehensive marijuana legalization in the USA helped drive the positive daily returns. Canopy Growth may be able to legally enter the American marketplace for tetrahydrocannabinol (THC) sometime in the calendar year of 2021, which should help drive additional revenue dollars. However, at least for now Canopy Growth Corporation has not turned a net profit despite strong revenues.

Keywords – Canopy Growth Corporation, Canopy Growth Corp., Canopy Growth, Canopy, CGC, Canada, Canadian, USA, American, marijuana, cannabis, tetrahydrocannabinol, THC, legalization, reform, revenues, profits.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in CGC.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

During this past trading week, retail investors focused on the iShares Silver Trust ETF (SLV). The silver market is huge in market size, highly liquid, and worldwide (trading can happen for 23 hours of any given trading day).

During the last trading week (What Caught Our Attention in the Investment World? – Week of January 25-29, 2021), retail investors focused on GameStop Corporation (GME) and were able to create huge % gain and % loss figures from one trading day to the next. In contrast, the % gain and % loss figures seen for the iShares Silver Trust ETF during this trading week were significantly smaller. With GameStop, retail investors were able to create a situation in which many investors needed to close out short positions.

Retail investors buying and selling in the silver market were not able to create this same situation for the iShares Silver Trust ETF and other silver-related investment products. Especially because of the large market size of the silver market, investors of any sort are unable to corner the silver market. Getting prices to be temporarily higher or lower in the silver market is hard to sustain over time. Thus, retail investors during this past trading week were unsuccessful in their efforts related to the silver market.

Keywords – iShares Silver Trust ETF, SLV, ETF, silver, commodity, GameStop Corporation, GameStop Corp., GameStop, GME, long, short, gain, loss, market, trading, retail, investor.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in SLV or GME.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

GameStop Corporation (GME), a video game retailer, caught everyone’s attention in this past trading week. Retail investors were bullish about the stock, while institutional investors were bearish about the stock. Like many companies, GameStop has struggled due to the coronavirus pandemic, which led several institutional investors to short the stock. Retail investors observed this trend, and decided to go long the stock instead. Due to the actions of the retail investors, the stock price rose and institutional investors were forced to close out short positions.

These contrasting theses created a short squeeze of institutional investors and played out to a grand effect, per the table above. The trading activities related to GameStop Corporation were highly volatile, leading to several halts and temporary bans in trading for this stock. A variety of American political, regulatory, and law enforcement bodies will be investigating matters further around what has happened in the GameStop stock’s recent price movements. After findings are eventually released on this front, changes may be seen in the world of investing.

Keywords – GameStop Corporation, GameStop Corp., GameStop, GME, video game, retailer, retail, COVID-19, global, coronavirus, pandemic, institutional, institution, long, short, short squeeze, trading, investing.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in GME.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

BlackBerry Limited (BB) is a well-known Canadian multinational company which had been named Research In Motion (RIM) initially. The technology (tech) company initially became famous for its BlackBerry line of pagers, smartphones, and tablets. Its current focus is on enterprise software and the Internet of Things (IoT). On Tuesday, January 19, 2021, the tech company’s stock had a gain of +25.5%. This gain happened due to BlackBerry Limited settling patent royalty disputes. Furthermore, the company has taken bold steps to reposition itself in recent months, such as selling off patents and signing new contracts. Commentators have speculated that BlackBerry Limited may become a prominent big data company in the future.

Keywords – BlackBerry Limited, BlackBerry, BB, Research In Motion, RIM, Canadian, Canada, technology, tech, enterprise software, Internet of Things, IoT, patent, royalty, contract, big data, future.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in BB.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

On Tuesday, January 12, 2021, the stock of Etsy, Inc. (ETSY) had a +12.1% daily return. Etsy is a technology platform which serves as an online marketplace. Sellers are able to easily manage and scale their businesses (mainly focused on handmade products – arts, crafts, jewelry, clothing, and so on) through the platform. In a Valentine’s Day-related blog post text, Etsy disclosed impressive growth metrics around searches on its platform within the last three months as compared to the same time period in the prior year.

For example, searches for do-it-yourself (DIY) kits in the baking, cooking, and other food-related arena had an increase of 165%. Also, searches for Valentine’s Day decor had an increase of 117%. Lastly, searches for Valentine’s Day cards had an increase of 38%. Etsy has over 200,000 Valentine’s Day card offerings available.

In 2020, new sellers and new customers joined Etsy in strong numbers, since the global coronavirus pandemic has made e-commerce an attractive, convenient, and safe option for people looking to sell and buy items. Etsy takes a 12% to 15% cut of sales made on its platform, and does not hold or ship merchandise directly from a seller to a buyer. Website traffic in November and December of 2020 was particularly impressive, though it is unclear if this trend will be sustained into the future.

Keywords – Etsy, Inc., Etsy, ETSY, e-commerce, technology platform, online marketplace, growth, business, seller, buyer, Valentine’s Day, global, COVID-19, coronavirus, pandemic.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in ETSY.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

QuantumScape Corporation (QS) is a leading corporation in the development of lithium-metal batteries to be used in electric vehicles. The corporation seeks to change the landscape of energy storage and make a path towards sustainable energy for the world. Prominent investors in the company include Bill Gates plus Khosla Ventures. The corporation had a volatile trading week, per the table seen above.

Allegations that various investors would be selling a significant number of shares drove the -40.8% loss seen on Monday, January 4, 2021. Corporate management disputed the allegations and have stated that the strong business fundamentals of the corporation have not changed at all. After corporate management comments were released, the stock price partially recovered.

The corporation was founded in 2010. Early battery test results have been promising. At the corporation’s height of popularity, it was valued at $50 billion. The corporation went public in November 2020 through merging with a blank check entity called Kensington Capital Acquisition Corporation. As with many corporations funding innovative technology, the publicly traded stock of this corporation has seen volatility based on the nature of the news on any given day.

Keywords – QuantumScape Corporation, QuantumScape, QS, Kensington Capital Acquisition Corporation, lithium-metal battery, energy storage, sustainable energy, electric vehicle, EV, Bill Gates, Khosla Ventures.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in QS.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

Per the table shown above, FuelCell Energy, Inc. (FCEL) had a trading week of three down days and one up day. FuelCell Energy focuses on fuel cell technology, and also provides ultra-clean, comprehensive power solutions to customers. While the company is not currently profitable, its forecasted earnings growth rate for the next year is +57.1%. The fuel cell industry does not have direct subsidies available to it, but still the industry may benefit from federal government funds allocated to clean energy research. Given the nascent and uncertain nature of fuel cell technology, it is not surprising that FuelCell Energy’s stock has had its volatile ups and downs over time akin to what was seen in this trading week.

Best wishes for 2021 to all of our readers!

Keywords – FuelCell Energy, Inc., FuelCell Energy, FuelCell, FCEL, fuel cell technology, clean power, clean energy, profits, earnings, growth, federal government.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in FCEL.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2021 – Ambastha Financial LLC.

By Kuldip K. Ambastha

On Tuesday, December 22, 2020, IAC/InterActiveCorp (IAC) delivered a +14.1% return for the day. IAC/InterActiveCorp is an American holding company, headquartered in New York City, NY. The company has a variety of underlying holdings, mainly in the media / Internet arena. The Board of Directors of IAC/InterActiveCorp approved a plan to fully spin-off the company’s stake in Vimeo to shareholders. Vimeo is a leading video software company. After the spin-off is complete, Vimeo will be an independent, focused, pure-play company with an ability to more effectively raise capital to expand. In 1Q2021, IAC/InterActiveCorp will hold a stockholder meeting to discuss and approve the spin-off. In 2Q2021, the spin-off will happen if approved during the stockholder meeting. Investors cheered on this development on Tuesday, December 22, 2020.

Merry Christmas and happy holidays to all of our readers!

Keywords – IAC/InterActiveCorp, InterActiveCorp, IAC, holding company, Vimeo, American, USA, media, Internet, video, software.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in IAC.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2020 – Ambastha Financial LLC.

By Kuldip K. Ambastha

On Thursday, December 17, 2020, Rite Aid Corporation (RAD) had a +17.4% gain per share for the day. The corporation, best known for its retail drugstore chain operations, beat its quarterly adjusted earnings and revenues expectations, and also raised its full year outlook to expect positive earnings instead of a potential loss. Adjusted earnings came in at $0.40 per share, versus a consensus estimate of $0.02 per share. Revenues came in at $6.1 billion, versus a consensus estimate of $5.8 billion. An increase in pharmacy sales plus strong online performance were helpful during the quarter. Furthermore, cost-cutting measures also benefited the company.

Keywords – Rite Aid Corporation, Rite Aid Corp, Rite Aid, RAD, retail, drugstore, chain, earnings, revenues, consensus estimates, pharmacy sales, online, Internet, World Wide Web, WWW, Web.

Disclosure – The principals and clients of Ambastha Financial LLC have no positions in RAD.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2020 – Ambastha Financial LLC.