Ambastha Financial LLC

By Kuldip K. Ambastha

The stock price of Innovative Industrial Properties, Inc. (IIPR), an American real estate investment trust (REIT) focused on specialized properties rented out to state-licensed cannabis facilities through sale-leaseback agreements, fell by -16.9% per share on the trading day of Thursday, January 19, 2023. Investors were disappointed in the results disclosed by the company for 4Q2022 and 2022. Given how the economy has struggled in 2022, there is a worry that tenants will not be able to make their rent payments going forward. Thus far, three tenants are in default on rent obligations and the company has also renegotiated some leases to allow a delay in rent payments linked with an extended lease term or extra default provisions. Though cannabis has not been legalized fully at the federal level in the USA, Innovative Industrial Properties has carved out a dominant position in real estate linked to cannabis facilities – a dominant position which may be damaged should more tenants not be able to make rent payments in the future.

Keywords – Innovative Industrial Properties, Inc., Innovative Industrial Properties, Innovative Industrial, IIPR, cannabis, marijuana, real estate investment trust, REIT, 4Q2022, 2022, rent.

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

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 © 2023 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On Friday, January 13, 2023, the stock price of Virgin Galactic Holdings Inc. (SPCE), a space flight company, rose by +12.3% for the trading day. The company is considered to be a high-risk, high-reward investment offering, with an ambitious aim to bring commercial space flight to the masses. Its first commercial space flight is scheduled to happen in the second quarter of 2023 (2Q2023), flying passengers 50 miles above Earth for 90 minutes. One ticket for such a flight has a cost of $450,000. While unexpected complications can always come up with space flight technology, Wall Street was certainly impressed by Virgin Galactic Holdings on Friday.

Keywords – Virgin Galactic Holdings Inc., Virgin Galactic Holdings, Virgin Galactic, Virgin, commercial, space, flight, 2Q2023, Wall Street.

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

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 © 2023 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On Thursday, January 5, 2023, the stock of NovoCure Limited (NVCR), an oncology company, rose by +68.5% for the trading day. The LUNAR study has shown that a medical device developed by NovoCure is able to improve, in a statistically significant way, the prospect of survival for people with late-stage lung cancer. Thus, the company’s Tumor Treating Fields therapy is very promising. That said, the full study results are not yet available but NovoCure hopes to release a complete data set on this front in the near future at a medical conference. After the full study results are known and the needed regulatory approvals are obtained around the world, NovoCure may be able to expand its patient pipeline significantly.

Keywords – NovoCure Limited, NovoCure, NVCR, lung cancer, medical device, LUNAR study, Tumor Treating Fields therapy, study, data, regulation, approval, patients.

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

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 © 2023 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On the trading day of Thursday, December 29, 2022, the stock price of Cal-Maine Foods, Inc. (CALM), a fresh egg producer, fell by -14.5% per share. For the latest quarter, the company’s sales beat expectations while profits did not beat expectations. While egg demand and pricing per dozen eggs were strong, an increase in costs (for feed, processing, and packaging) weighed heavily on profits. Cal-Maine Foods is the largest egg producer in the USA, and though sales were strong the company still struggled during the latest quarter.

Keywords – Cal-Maine Foods, Inc., Cal-Maine Foods, Cal-Maine, CALM, fresh, egg, producer, demand, pricing, dozen, costs, feed, processing, packaging, profits, sales, struggle, quarter.

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

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 © 2022 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On the trading days of Thursday, December 22, 2022 and Friday, December 23, 2022, the stock tickers of AMC Entertainment Holdings, Inc. (AMC and APE), a holding company with movie theaters all over the world, posted daily returns which caught Wall Street’s attention. (See past coverage if needed: “What Caught Our Attention in the Investment World? – Week of June 1-4, 2021; By Kuldip K. Ambastha.”) Specifically, AMC (Class A equity) returned -7.4% on Thursday and -10.4% on Friday, while APE (preferred equity) instead returned +75.2% on Thursday and 44.2% on Friday. A plan to raise $110 million in equity capital through APE and also administer a 1-to-10 reverse stock split caused the bifurcation of daily returns seen here. Meme stock speculators in this case became bearish on AMC and bullish on APE, simultaneously, since AMC will be diluted if a share conversion proposal to convert APE shares into AMC shares on a 1:1 basis is successful.

Keywords – AMC Entertainment Holdings, Inc., AMC Entertainment Holdings, AMC Entertainment, AMC, APE, movie, theater, Class A, preferred, equity, share, stock, conversion, meme, Reddit, r/WallStreetBets.

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

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 © 2022 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On Monday, December 12, 2022, Weber Inc. (WEBR), primarily a grill (charcoal, gas, and electric) and related accessory company, had its stock price rise by +23.2% per share for the trading day. The catalyst here was a buyout offer of $8.05 per share, from a private equity firm. The company is expected to be taken private sometime in the first six months of 2023. Weber has struggled in the near past due to tough economic conditions linked to a lack of recent demand for its product offerings. Under private ownership, perhaps Weber could be restructured and become a stronger entity going forward.

Keywords – Weber Inc., Weber, WEBR, grill, charcoal, gas, electric, accessory, private equity, buyout, taken private, private ownership, economy, demand, restructuring.

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

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 © 2022 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On Thursday, December 8, 2022, the stock of Ciena Corporation (CIEN), a technology (tech) company, had a +20.0% per share jump in its price. (See past coverage if needed: “What Caught Our Attention in the Investment World? – Week of August 31 – September 4, 2020; By Kuldip K. Ambastha.”) For the company’s latest quarter, earnings and revenues both surpassed expectations. Corporate management is expecting strong growth in revenues, in the near future. Ciena’s supply chain problems of the past have eased, allowing for better integrated circuit supply from the company’s vendors and also resulting in the procurement of parts on the open market smoothly.

Keywords – Ciena Corporation, Ciena, CIEN, technology, tech, earnings, revenues, expectations, growth, supply chain, integrated circuit.

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

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 © 2022 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

The stock price of Zscaler, Inc. (ZS), a cloud security company, dropped by -10.7% per share on the trading day of Friday, December 2, 2022. In its latest quarterly results, Zscaler surpassed expectations when it came to earnings and revenues. However, the expected billings figure for the full year is lower than what Wall Street was hoping for, and thus the stock price declined sharply upon this realization. While the company has benefited from increased demand for cybersecurity offerings, it and many other technology companies have struggled in the face of an expected worldwide recession. Zscaler is seeing a longer sales cycle than compared with the past, as potential clients are reluctant to sign contracts as global economic conditions weaken.

Keywords – Zscaler, Inc., Zscaler, ZS, technology, tech, cloud security, cybersecurity, Wall Street, earnings, revenues, billings, demand, recession, sales.

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

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 © 2022 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On Wednesday, November 23, 2022, the stock price of Coupa Software Incorporated (COUP), a technology company focused on “Business Spend Management,” shot up by +28.9% per share. (See past coverage if needed: “What Caught Our Attention in the Investment World? – Week of March 14-18, 2022; By Kuldip K. Ambastha.”) The company may be acquired by a prominent private equity investment firm, in a buyout deal which could be funded through private credit lenders. While Coupa has easy to understand and easy to use offerings, the company has struggled in the recent past when looking at performance metrics such as sales, earnings, and adjusted net income. Nonetheless, perhaps the stock price of Coupa has fallen to such a level as to make a private equity buyout attractive with the strategy of buying at a discount, restructuring the company, and then selling it later for a premium.

Keywords – Coupa Software Incorporated, Coupa Software Inc., Coupa Software, Coupa, COUP, technology, tech, Business Spend Management, private equity, buyout, private credit, sales, earnings, adjusted net income, discount, restructure, premium.

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

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 © 2022 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human:

By Kuldip K. Ambastha

On Thursday, November 17, 2022, the stock price of Bath & Body Works, Inc. (BBWI), a prominent specialty retail company, rose by +25.2% per share. This rise in the stock price was driven by strong 3Q2022 quarterly performance results, with earnings surpassing the expected consensus estimate. Furthermore, Bath & Body Works, Inc. has raised its calendar year profit expectations. Corporate management is expecting a strong winter holiday gift purchasing period coming up. Also, Wall Street equity research analysts were impressed with the company’s expense management and inventory management endeavors.

Keywords – Bath & Body Works, Inc., Bath & Body Works, Bath & Body, BBWI, specialty retail, 3Q2022 quarter, calendar year, winter holiday, Wall Street, equity research, expense management, inventory management.

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

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 © 2022 – Ambastha Financial LLC.

CONTACT US

First Name

Last Name

E-Mail

Phone (optional)

Accept text messages? (optional) Yes

No

How can we help you?

Subscribe to our e-mail list? Subscribe (Yes) No Unsubscribe

Leave this field empty if you're human: