Morning Stock Market Analysis, News, Due Diligence (May 19/2020)

All right guys, it is that time, 4:30 AM. Let's get down to it. First things first, let's clear off the list from yesterday. Check out what the market is up to. SPY is still up. S&P is headed for— yeah, quite the run yesterday. Energy's up, just mean oil is up. Industrial's good. Real estate. That's interesting. I guess everything is in the green though. So looking like a positive market. Today, overseas markets like what's going on. All is well in the world again, apparently. Let's go into— get rid of this stuff. All right, let's get back at this. Okay, so this, this All right. All right. Just get everything set up here. We are good to go. Okay, so acquired and acquisitions. Let's go. Looking lights, bolts down. So when I'm going through here, guys, I'm realizing that you guys can't see this actually on the screen, but I have a feed. Extension, um, that pulls from a whole bunch of different RSS feeds, and it's got a ton of different keywords in it. Um, so it's this little guy up here. Um, it's interesting that you guys can't see this though. It keeps it hidden. I've got a whole browser here that opens up with Okay, so that's the BioSide. That's FDA approved. Waiter has no more noon. T-grams, EUA for COVID. Tencentric gets another approval. Okay, next we've got Orphan designation. Some merger news in the bio sector. So on Optum, I see 2 stocks that I actually really like, MFA and OGI. Side by side like that, so I'll take a look. Baidu got hit. Baidu got hit hard. All right, let's get through this news. So Energy Tech acquires OPV and OPD portfolio of Merck. Okay, not overly interested in that. So let's see what else we got here. Good morning, all you lurkers in the chat. Hope you guys are doing well. What we're doing here is just breaking down the initial PR releases that came in overnight, anything that I think is relevant. I'm primarily an equity trader, so it means I am trading stocks on the long term. Usually looking 2 to 3 quarters out. So these aren't necessarily option plays, they are, um, plays that I'm looking to hold for a quarter or 2. Uh, a little bit of a different style, I know, from a lot of the, the guys here on Twitch that like to do their options, but you got to go with what's successful, right? And right now in this market, I, I think that options are, are crazy beasts to be touching. So Congress doesn't like Facebook and Giphy, but Congress is okay with Grubhub and Uber Eats. Not sure how that works. Trump has been taking prescription hydroxychloroquine. Okay, so this is just revisiting the fact that it's not just because the president's taking it doesn't mean you should be. Um, I guess we all have to make our own decisions, right? The Astrak. This is just telling us what we already know, that there's fast-track systems in place for COVID. Okay. This is interesting. This article is claiming that there is already a pile of drugs on the market that can stop virus replication entirely. I know of, I know of 3 that are making the claim, but One of them is halted by the SEC at the moment. Another is unproven by peer review. And the third one is one that the FDA is all over already with Moderna mRNA. Okay, let's see here. Okay, so they're claiming that this drug here, uh, this drug here. And this drug here are exhibiting signs of being able to prohibit the virus entirely. It's like the product name of this is Vermox. Johnson and Johnson. So we've got J&J. This one is Nope, um, that's It's a disease apparently. We have aimed— Which is used to treat heart failure. Interesting. Naturally occurring, but this is banned in the US, so we won't look at that because it's banned in the US. Odds are it's not going to be the winner. Um, Mipron. TSK. Okay, um, the other ones that I know that have it are Blasodon, uh, And MBRX is the other one. So these would be the companies: J&J, GSK, IPIX, and MBRX that have the 100% COVID ones. SRNE, I'll put it on the list once I can see a medical study on it. I have yet to see a medical study on it. They haven't released one. Still no medical report here. This guy's— this guy's no doctor. This guy is a financial analyst. So just because he's got a solid track record financially does not mean that that proves that antibiotic combo. mRNA. Okay, so this is just saying that they are approved into their Phase 2 studies. Um, this is Kind of an extension play on COVID. So essentially, they're using AI to detect whether or not somebody's got coronavirus when they're doing the CT scan. So that that big round machine that puts you in that makes the the whirling noise, the they're going to be able to tell using AI right away if you have. COVID somehow. I mean, this is great news actually for the people that are looking to— that are looking to get a CT scan because they've had a stroke or anything else. It doesn't put them at risk for contamination. So I mean, that's That's good, right? Um, Tencetrix gets 5th FDA approval in lung cancer. Okay, so we'll make this 10-centric. Roche, that's unfortunate. The reason why I say Roche is unfortunate, guys, is Roche is a penny stock over here. Maybe you're in Europe, you can actually trade it, no problem. But here you're stuck to the penny stocks. And when I say the penny stocks, I mean the OTC. So the, like, the pink sheets. This is, this is one of the more expensive penny stocks, like this one or Nintendo. Yeah, so this is, this is technically a pink sheet, but it's $420 a share. Like, yikes. Okay, so whenever you're trading biopharm, guys, orphan designations are huge. These are, these are Absolutely massive. It's why I have a scanner set up for them. Amplia Therapeutics, ATX. It's Australian. Hopefully, uh, don't see it. Let's see if I can find it here. Amplia Therapeutics, INNM. Sure, that's the right one though. And then, um, Innate Therapeutics. Okay, so apparently this is not tradable, so that's unfortunate because that orphan drug designation is a big one. Those stocks always move. Um, Inventor. So you can trade Inventiva, but it is going to be pending stock. Not a fan of that. No trope. They're merging and becoming a different company called Petros. So it's NTRP. It looks like they're getting the short end of the stick though, because They're only going to own 20% of the company, so I wonder if that goes down as a result of that or up. I'm not really high-flying on that. Desafir Pharmaceuticals has secured approval for treating tumors, GIST. Deciphera Pharmaceuticals. Deciphera. Okay, so DCPH. Okay. And organogram and MFA. So OGI, for all you guys out there that love your ACB, OGI was the only pot stock that I would actually take a look at. Um, and OGI is medical exclusive in Canada, so they, they're able to— excuse me— they're able to eliminate a huge problem for the cannabis industry, and that's, uh, the waste on product. They actually end up not having a surplus because they are medical only. Their surplus doesn't really exist. They have very, very little burn, which is fantastic. We've got MFA. MFA is the REIT. I really like MFA. Not so much for the price movement. Like, this is great that it's moving back up. This is where it was. This is where it is. So we're looking at a huge drop there. The thing I like about MFA though is this thing had a 10% yield. So for those of you that like your dividends, for every share that you owned of this quarterly, you got paid 10%. what the stock was worth. Where that gets attractive is knowing that they're looking to put that back in place. If you were able to buy a stock like that for $1.61 and then it goes up to $7, you still get the 10% on the $7, not the $1.61 that you paid for it, which is a great way to, to build out a dividend portfolio. If you can find a stock that you know is going to have a high dividend yield and is currently low, you can buy in On the cheap, when it returns to where it was, I mean that that's a pretty stable track record there. Let's look at the five years. Like this is not a ton of movement here, right? So this is it. Like this is this is what you would want to see in dividend something that's super sustainable. Now this is this is COVID. You can't do a darn thing about that. But you can see recovery as we see economic reopening happen. So hopefully we're going to start to see this make some steady gains up towards the $3, $4, $5 mark. It's going to take some time as they've got to get through forbearance and people not able to pay their rent, but ultimately it will go up. It will go up. All right. So that's everything that I've got. These, I'm not going to check Bloomberg. Check this. I guess I can check this. So SRNE says that they've got 100%, uh, IPICS with brolacin has 100%, MBRX. So if they have 100%, J&J. Uh, notifications. So it was trending finance. Okay. So this is interesting. This is contrary to what we're seeing, or we're predicting, that coronavirus is going to drive people away from urban sectors. People are going to want to move further out from the cities. They're not going to want to live in the cities. That's just the reality of it. Yikes. There are many things that Trump gets railed for that I don't agree with, but this one I do. For you to slam the huns, just make this into a super political thing around the World Health Organization, is a big deal for me. Now is not the time to be politicizing something like that. China or us, you make a choice. I think right now, regardless of the job that The Who has done so far. I think that it's just important to have that, that third party for sure. Yeah. People are just going nuts. They're going nuts being stuck inside. Poor Mel Gibson. The guy just can't win. All right. Bloomberg. Europe's banking regulators plan to wait until the end of 3rd quarter before deciding whether to grant more relief. Okay, so that's, that's big. That's kind of nutty. So Europe's banks aren't looking to provide more stimulus until the end of Q3. China and Europe are expecting a boom in sales, which makes NIO Of particular interest. Neo is the is the Chinese equivalent to Tesla, guys. If you're unaware of that one, oh man. All right. I mean, that's interesting that you're in the midst of one of the worst medical crisis your country has faced in like 40, 50, 60 years, and you're focused on carbon neutrality by 2050. It's interesting. Okay, Texas reopens and is reporting more cases. Let's take a look at the Johns Hopkins. Tracker. I just want this to work. Make this work. Texas. Dallas. I mean, okay. They're saying Texas is coming into lockdown and we're seeing a massive spike. So where are the areas? There's a legend on this. It says Okay, so you got a bad breakout here. But I mean, Dallas, you look at Texas as a whole, take a look at California, take a look at the East Coast. Like, oh, I'd be less worried about Texas right now. And I think I'd be worried a little bit more about Louisiana or New York or Is that Arizona? Utah and Arizona. Interesting. But I don't even see the legend on this saying— I mean, it's great that they've got colors like that, but that's not really helping. Let's take a look at the World Tracker. Well, meters by country, USA. I mean, that, that's, that's not a flattening curve there at all. 14% kill rate. Oh boy. Okay, so let's go back to the countries. Russia is mooning Russia at one point. Was showing that it had little to none, absolutely no COVID cases. And here we are; they're beating Spain out. This is one that surprises me that India doesn't have more cases. I'm wondering if that's just testing. Nobody believes that number. Canada. Canada has a population of 30 million, okay, which is roughly the size of the state of California. You're telling me Canada has had more confirmed cases of COVID than China has? All that this shows me is either healthcare is really bad in China that nobody got tested, or these numbers is fake. That's it. Those are the, those are the two options here. Canada is doing accurate reporting. Is it perfect? Probably not. But this number here is very indicative that this number here is an outright lie. There's no way. Population of China right now, 1.393 billion. So 393. Is that right? Hundred million billion. Okay. But I want, I want the 80. What does it say that 80? 82,960. 82,960 divided by the 1,300,000. Like, come on. All right. So this would be 1%. This would be a tenth of a percent. This would be a hundredth of a percent. This is a thousandth of a percent. Okay, so 5 thousandths of a percent. That's nuts. Absolutely insane. And then you take a country like Canada. 78,072 divided by 30 million. Okay, under— we're talking 0.2% of Canada has it. 0.2. So I mean, that is that number staggering? No, not really, right? But I mean, this is this is realistic. Let's let's take a look at the U.S. The U.S. has had all kinds of numbers, right? So U.S. is probably the closest thing that we can get other than India to China. So here's the U.S. They're doing active testing across the U.S. They are reporting numbers because the whole world is watching them to report their numbers. And now you've got 1.5550539 divided by 328. Okay, so again, I mean, this is double Canada's contraction rate, but you guys have way more people. So there's no way China's number was back here, guys. Like, this is not—it's just not feasible. It's not possible. The math doesn't add up. Okay, so this is the argument that coronavirus is not going to hurt urbanization. So his argument is that in the event of a crisis like this, historically, Spanish flu, bubonic plague, uh, young people— so millennials, Gen Z— actually move into cities because there's no work to be found out in the rural areas. Um, I, I think the one glaring error that he's not taking into account here is that remote work can now be done from anywhere, right? You're talking about eras where you had to show up to work. You couldn't call in by phone and do your work at home. To a large extent, not anywhere near the way that you can now with Zoom and shared workspaces and the internet. I think that— I think that he's missed it. Now, this is interesting where he's saying families are moving out, old people are moving out, and what that may do is cause a massive decrease in tax revenue for these big cities, which will cause them to lower the prices of their housing, will cause them to lower their property taxes, which will actually draw people back in. So you've got 5 years from now, cities are reeling because people have moved out into the wild areas. And he thinks that the lower prices in the cities as a result of that will drive people back into the cities. The question that I have— and I mean, my family, we live in a— I guess you would call this semi-rural. We're not directly out in the country. We don't live on a farm. We're in a city, but it's a very small city surrounded by farmland. Right? I can tell you, I never want to go back to living in a city. Small town life is just something completely different. Now we visit the city. So when we want to go to a movie theater, we want to go do something. There's a lot of stuff around us locally that you can do as far as getting outdoors and stuff. But events and festivals and concerts and that kind of stuff, the entertainment side of things. Yeah, you drive into the city, but that's just it. You drive into the city, you don't have to live there. You drive there, you drive home, and no problem, right? I think that argument that, well, people are going to pick up their lives and leave because they don't want to be there right now. But 5 years from now, when the prices come down on the housing, everybody's going to run back into the cities. I— it doesn't add up for me. It just doesn't do it here. All right, guys, I am thrilled to be here. Through my news, I am through my didn't clear this didn't clear. I'm through what I need to look at. We started to build a list out here. If you guys have stocks you want me to take a look at, happy to do that now. We've got some time here. I'm just take a sixty second break, go get some water, and I will be right back. Okay, guys. All right, so if you guys have anything in particular you want me to take a look at, I'm happy to do that. Well, let's take a look at My internet's dropping. Equity offering, ESL equity offering. All right, let's see what we got here. So expect Moderna to go down today. Uh, price offering of 17 million shares at $76. Typically this will lower the price of a stock like this. Um, give me the That's a big drop. $5.90 and they're offering shares at $4.50. So that, that one's gonna fall a little bit there. Uh, GameStop. Interesting. How's GameStop doing this morning? It's up again. My goodness. It's this thing that just has no chill. It doesn't want to slow down. Who would have thunk it? GameStop. Who would have thunk it? Glad I got in on Friday. Okay. Uh, Leatt Lines, New York Stock Exchange non-compliance. So them being below a dollar. Interesting. So this is a publication that's dying, essentially. That's all, that's all it is, uh, which is unfortunate, um, but with no ad dollars, that just makes sense. It just makes sense. I wouldn't be surprised to see that delisted. Unless they do a stock split and then— Hexo wants to sell more shares. Bluebird equity offering. It's like people are taking this, this rise in the market, this, this growth in the market and going, look, all the stocks are up, our stock is up right now. Let's do an offering right now and price it conveniently at what it was just before this market went up. And that way we'll, we'll be able to pull in some extra economy here, have that liquidity available for Uh, future quarters. And it's like, oh man, really? Or can't just let the stock live and grow. You've gotta, you gotta try to squeeze it. Tesla plunged by 64%, but e-car sales are up in China. And then the only thing I can think of is NIO is just destroying that market. So this is big. This will be worth watching today. Powell and Mnuchin are both going to be brought in front of a Senate Banking Committee. And face the fire. Is the Fed and the Treasury doing what it should be? Companies will be required to raise $25 million, or alternatively, at least a quarter of their post-listing market capitalization. Okay. I mean, if the only inhibitor that you're throwing at this is money, this is not going to stop Chinese IPOs. I, um, I think NASDAQ has missed the mark on that. China's got plenty of money, uh, to just throw it whatever problems it comes across, for sure. Okay, so that's that. Let's see what's going on in the world of Twitch. Good morning, Kevin. How are you, man? Early bird, early bird. Okay, let's see. Baidu is up. mRNA is up a little bit. ACP, what the heck? This I agree with. ACB is 2 days up. Oh, Japan. How are things going over there? Let's see. Markets. Japan markets are up two and a half percent. That's not bad. That's not bad at all. Yeah, I think we see a price offering on this very, very soon. The second it starts to show declining movement, I think we're going to see ACB come out with an offering for sure. Let's just try to squeeze as much on this pump as we can get. I mean, the stock did a stock split not too long ago, guys. Like, ACB stock split. April, 1 for 12 reverse split. That people don't remember this is insane to me. Like, let's go back 6 months. Look, look at this thing. Look at this. Like, uh, gross. I don't like it. I'm not gonna play it. I'm gonna stay away from it, guys. I, I just, everything about the company, how it operates, that it's locked into such a small market, all of it is just It's an absolute disaster waiting to happen, and definitely not worth this. Pfizer taking out debt that they're probably trying to push towards more liquid capital to produce their potential vaccine. So that makes sense. This is good. Somebody's buying back shares right now, huh? Share buyback when you primarily run food stores in the US and Europe. Why are you doing that? I love Bill Murray. The guy's hilarious, right? Yeah. I mean, for now, the Anybody's numbers on reopening, I think you have to have at least a couple of weeks before you say definitively one way or the other what's going on. I don't think that you can in two days after reopening go look numbers are going down. Okay, but I mean let's let's be honest we don't really know that we yes I get it we're kind of bound by just the What you have is what you have. You have to go by the data that you have, but can't really claim that COVID is gone and we can reopen because clearly, well, I mean, we were looking at it a little bit earlier, but that idea of the the world meter for coronavirus, this is not leveled off yet. This is not at an apex. We are still going up. The world as a whole is still growing on cases. And I remember back in February when we started to look at this and it was like, okay, well, what's going on? Well, this is where testing started to take off. And it's not going to slow down. Not yet. This has to flatten. And it's showing a very, very slight flattening on the deaths. But this is your contraction. This is the cases that we're finding. Whether that's people that are contracting the virus now, which I think that's probably slowing down quite a bit with the amount of lockdowns that happen globally. But I think what we're doing is tests are now picking up people that already had this thing or have had it for a week. They've already contracted it, or we missed testing on it, or you know what I mean? Like, there's there's so many factors and variables on this thing. So when people are saying, well, it's We're through it. Let us open back up. I don't think we're over and through it, but the argument to open back up is separate from that. People are going nuts. People are going absolutely bonkers right now because you've locked them inside. Where's the— Yeah, so this is Poland. Pepper spray and tear gas. Yeah, yeah, that's just it. Like, as long as it looks like we're winning, we're winning. But man, oh man. Stock Trader, gotta be on the floor right there. Love that guy. 4 Securities. 6-foot distancing between brokers on the stock floor. I would love to see what that looks like. Look at this picture. Look at this. Look, this is what the floor looks like. Show me how you're gonna have all of those people on the floor 6 feet apart. There's no way. There's absolutely no way. 6 feet apart. Okay, so let's say from this dude here with his tablet out, okay, to this guy over here, okay, to what would be 6 feet away this way, like this guy This guy over here, and then buddy over here. So all of these people in between can't be here. 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11. Like, you— there's no way that you can do this, or to get on the floor. floor is going to be a serious advantage, which is funny because we've been going digital on the market for so long. Like, I, I question the logic of some of these plays. And I'm not saying that having the 6-foot rule is a bad thing. What I'm saying is, why are you opening up the floor at all? Why reopen the floor? You're able to trade from home. You're able to trade digitally. Yeah, yeah. I mean, wearing mask things is just— it's neither here nor there for me. Um, if I was— if I was— I mean, I was in there at an airport early February, and were there people wearing masks? Absolutely. Um, and if you're somebody that was coughing profusely, I think that it It's the least that you can do is pop up. Let's go. Hey, like, come on. Oh no, EMP. RIP. Well, the good news is parts are going for the cheap right now. Uh, dealerships are desperate to get rid of them. Are you looking at a new or used car? Because I think even used cars Classic cars. I don't know if I qualify the '92 Ford Mustang as a classic. Hey, like, that's a classic. I love that. All right, Pennant Group acquires 2 hospice agencies in Arizona. Future There's pause after mega market rally. Mega market rally, that's exciting stuff right there. 900 points, holy moly! Dow Jones is on a tear. That's crazy. Is that oil or what is it? Stocks being coming as the Fed gave monetary assurances, but really picked up after Moderna said okay. So Moderna and oil. Yeah, this is this is big. This congressional testimony is gonna be huge. So let's see if we can't get a time on that. Jen. I, I'm sure we'll be able to find it on, um, on YouTube as it's happening. Senate Banking Committee schedule. Do I think there will be a pullback in the upcoming days? Yeah. So I see a couple of different things happening. I think this is going to be big today. This, this Senate Banking Committee oversight from Powell and Mnuchin. You have the Fed and the Treasury answering what they're doing, what they plan to do. I think that's going to have a lot of sway. Now, Papa Powell has been pretty consistent with just saying money printer go brrr and the stock market goes hooray. But I think that there's gonna be some hard questions about the level of debt that we're taking on. There's gonna be some hard questions about the packages that we're offering as far as stimulus packages. I think the reality on the stimulus package is going to have to come out now, where what you're gonna have is everybody was kind of lit up on Friday of, wow, they passed the bill, this, this massive $3 trillion bill. It's not passed. It went through the House. Now it has to pass the Senate. And The Senate has already said that this bill is going to be dead on the floor. So what happens as soon as this bill is introduced in the Senate and it's just teared to shreds is you're going to see all that positive sentiment that went around that $3 trillion just kind of dissipate. It's going to go away. The oil glut is still not resolved. So while oil is showing some recovery, good days aren't back again. Do I think that we see the SPY? I think we see a red day today is what I think. I think that there's going to be some uncomfortable questions for these guys. At, uh, at this committee. And so out the gate, I think we'll see that positivity. First 15 minutes, we're gonna see that market go up. And then as the day goes on and those hearings happen, happens, uh, I think we see it decline a little bit. Um, let's say we finish around the 294, 293.50 range. Somewhere in there. That, that, that's my thought on this, at least for today. Really, really will be watching for that meeting when it happens. I think that's gonna be the big indicator today on what the market does as well. There are an awful lot of companies that are taking market offerings. I think there was 10 or 15 of them. Let's see here. Okay. Uh, Offering, debt offering, offering, equity offering, offering, equity offering, offering, offering. So there's a lot of companies that are going, this rise lately has been fantastic, but we need to actually have some liquid cash. So we're going to put out whatever kind of offering we can to drive income back into our Back into our companies, so we'll see. We'll see how it goes. Cornerstone Building up three percent as CEO buys forty-four thousand. CNR, that may be an interesting play. Okay, CNR. Think I have a dividend on it? Not listed. Hmm. I think I want to— I like this. I'm gonna do a bit more of a deep dive into it, I think. Okay, so cornerstone building. Okay, so they're non-residential metal products for construction, $1.7 billion in revenue. Um, Economic reopening means that we're gonna see construction repairs happening on buildings in a big way. Okay, okay. What have they got in the news lately? Is Cornerstone Building Brands using too much debt? Well, it's good to see that's leaning on the health. So they are up $600 million in debt as of the end of April. Up $600 million debt. They've got $475 million in cash. So their debt levels are concerning. Here's why analysts cut their Cornerstone Building Brands price target to $6. That's a massive decline in sales. 18% decline is big, big, big, big, big. Average price target fell 30%. Hmm, very interesting. Um, I would stay out of this. When is their earnings expectation? Cornerstone earnings are supposed to fall on— okay, so it was a revenue surprise. They beat People thought they would be down and out, but they actually beat. They missed on EPS, which is fine, but their revenue is what I'm, I'm more interested in. I don't particularly care about their EPS. I'm more focused on is the business as a whole, right? We're looking at debt as one of the reasons why we don't want to get into this. We don't want to play this. But the debt— why you wouldn't want to play this— The debt on this is Is the big B. So you want to know if they've got sales. You want to know that sales are still happening, that revenue is incoming. While the revenue was not probably as high year over year, it's probably down quite a bit year over year. I suspect that this ten million over is a good sign that they have contracts that are coming up. Let's see here. Earnings call presentation. Okay. Yeah, I was a— okay, let's— yeah, let's go big. Okay. Deploy policies, practices, yada yada yada. This is BS. Pro forma net sales of negative 3% over first quarter. Window siding, buildings, components, coders, wall systems. Okay, so what we're— for those of you guys that are hanging around, uh, in the stock community, you guys probably know Martini Rita. If you don't, you should find her, uh, check out her stream. She streams every day in the afternoon, uh, really, really sharp lady. She knows what she's talking talking about. She and I have had some lengthy conversations around the housing market and something we're calling the global ruralization theory. And that's the idea that post-pandemic, as economic lockdown happens or eases, what you're gonna see is people that did not like living in a major city during this time, And so what they're gonna be willing to do is actually move outside the city. And suburbia will grow. The people that live in suburbia that don't want it to be urban are gonna move further out. And you're gonna see this, this pushing outwards from the major cities. Now, when that happens, when you push outwards like that, that means that semi-rural, I guess, semi-urban, suburban, semi-rural and rural are all going to see new construction, right? As, as more bodies move out, you're going to need, uh, more housing, new housing, new infrastructure, new public buildings, new businesses, uh, and with that comes new construction. So I have been looking for a construction play. Now what's interesting was their, their, their company layout does say, uh, they are Good morning, Dice. That they are largely corporate. However, what you're seeing here is on a breakdown of their sales, single-family new residential and multifamily— what is this— residential repair and remodels and single-family new construction are the 2 big ones. So this tells me that people are buying new homes. Oh, plenty. This is, this is the money. This is where they are making the cash. So the question you have to ask if you're gonna play CNR is, and you've gotta come to your own conclusion on this, do you think that people are going to move outside of the cities? And as a result, we'll need a whole bunch more of new housing. And if that's true, then something like this might be appealing. If not, you've, you've think that people are going to go the other way, that they're going to drive into the urban centers. What you're looking at is the question of, do you think that enough people are going to move into the urban centers that they need to tear down existing buildings and build new skyscrapers, condo buildings? Is that kind of stuff going to happen? I think there's a win on either way, but you need to do your own due diligence on whether or not you think that that market's gonna open up. Financial performance. So this is a big one. So first quarter 2019, they actually beat their first quarter. Hmm, interesting. Okay. Very interesting. So windows were a big seller for them. Siding was up a little bit. Commercial segment. So this is what— this is their bread and butter. This is what they were touting as a big deal. And it's not really. They were down in sales on commercial. Okay, first quarter 2019, they had a negative balance on free cash flow of $76 million. They've got $30 million in the negative right now. So this is big. And what this tells us here is headed into Q3, that's when this business takes off. Look at this. Q1, Q2, Q3, bam, all of a sudden money's flowing in, right? So pair that with typically seasonally CNR does well headed into Q3, okay? Pair that with economic resurgence, right? Let's say the stimulus bill comes up. There's tons of stuff in there for housing, infrastructure. But most of the corporate stuff is on forbearance and lending debt. But even with those loans, I think a lot of the businesses that have been closed are going to need some upkeep, and these guys are probably going to benefit from this. So I think that they see a very, very profitable third quarter. The question is, what does the second quarter look like? Because this is a big jump, right, from $76 to $11. Like, this is— they start to see the cash flowing here, and then they reap the benefits through to Q2. Q4. Um, so this is— I'm not sure that this is going to have that same pattern, this massive jump, but we will see. Okay, I'm not gonna do that. Let's open up Cornerstone's— I want the call notes. Where are they? Cornerstone Jim Metcalf earnings call. Okay, yada yada yada yada yada. They don't have the questions here. Really? Oh, next. Oh, just give me a single page. I don't. Ain't nobody got time for that. Okay, so this is just BS, guys. This is them just circling the wagons. Q&A. This is what you want. Skip down to the Q&A in these transcripts. What the company wants to tell you is the first half of the call. And let's be honest, every company out there pays their CEO to spin whatever news they get to sound positive. And the reality is you need to dig deeper than that. You got to dig through the BS. And the best way to do that is to head down to the questions and gauge how they're answering questions. Look at the language, look at what they're talking about. Don't just read what the response is, but try to gauge Um, try to gauge the confidence in the response. Now, um, typically I would put the audio on, but my headset's giving me trouble today. So, uh, if you can skip through, normally these come with an audio file. So this one does have one at the top. I saw it. Um, so, uh, if you guys can listen to it, also the tone of their voice and how they react to certain questions. A really good CEO is prepared for any question and has the answer. Um, one who is really trying to just stay on script will keep giving the same answer over and over and over again. And somebody who's unprepared obviously gets blown out of the water and tries to pass it around as much as possible. So somebody asks a question, they go, you know, I think the best person to answer that is somebody who's not me. So hold on. Okay, so Good morning, Levi. How you doing today? Good. Okay, so they are expecting Q2 to be down 25%. Oh nice, power nap. That sounds good right about now. Uh, okay, so they're expecting their Q2 to be down 25% versus last year. So remember when we were looking at that chart, guys, where it was, uh, 72 million in debt Q1, 11 million in debt Q2, and then the money train started flowing and they had massive gains. I'm gonna put a pause on this, guys, because we got a question over on YouTube. If you want to grasp what the market will be on a certain day, what is the fastest way to do it? Okay, so the fastest way to do it is head over to a tool called koifin.com. It's a free tool. I'm not sponsored. I don't get paid for showing them off. I just love the tool. Okay, so head over here, click Markets, Today's Markets. Okay, voilà, there it is. So what, what you're seeing here is a complete breakdown on the markets as a whole. Here's all the major indexes. So the Russell is probably not a big one for you guys, but the Dow is the futures and S&P 500, NASDAQ 100. Okay, so that's what we're seeing charted out here. This gives you an idea of how things are looking pre-market. So that's a good way to get started. Is the market sentiment the same as it was the day before? So yesterday we had a green day. What you're looking at is, does the market still seem positive? Absolutely, it's still looking pretty positive. Okay, great. Which sectors are leading that charge? Energy, so that means oil is driving. Industrials, financials, so banks. Businesses, real estate. So these these are very very interesting leaders because this means that this is surrounding COVID hype. That's what you should be reading into this utilities, materials, real estate, financials. That tech is not a leader here or consumer staples. That means that this is on the stimulus news. Okay, so that's going to be super important. You want to keep that in mind. The other thing you want to look at is the global markets that. Are open or have been open all night, how are they performing? And they are up as well. Crude oil is up 11%. So these are— this is solid. Like, this is a solid-looking market right now. The big caution though is this: the hype on the stimulus bill is going to start to wane. The Senate is not going to pass the stimulus bill as it is. So when that headline gets the news of Senate shuts down Nancy Pelosi's House bill, a lot of that positive sentiment that you've seen is going to dissipate from the market. When it dissipates from the market, people are going to look at, okay, well, what's doing well? And they're going to go back to tech and they'll go to communications, they'll go to consumer staples, they'll go back to their healthcare. But the other thing that people are going to start taking a closer look at will be the oil. And while the oil futures are starting to align a little bit, The big problem with oil is we are still in the midst of a massive glut. We just have we've got more oil than we know what to do with, and that's a huge concern. So yeah, the reality is I think that today with Mnuchin and so we got the Treasury and the head of the Treasury, head of the Fed, both speaking to the Senate today. I really think that what we're going to see is. Market sentiment starts to decline as they're asking tough questions about what kind of stimulus do we need? What are we looking at? What's the long-term effect? Powell's Powell's typical line is don't worry about it. We're here for you guys. We're gonna print money endlessly. But the reality to it is yeah, the reality of it is he he's gonna say this is gonna take a long time to fix. Like we're we're talking. not Q4 this is going to be fixed. We're talking like Q4 2021 or Q2 2022 that we see this fixed. That's in the event that we get a vaccine and in the event that COVID kind of moves on. So he's saying like 2 years out is where we're seeing economic recovery. Market hates it when he says that. So these are all kind of the bits and pieces. Hopefully that gives you a snapshot of what's going on. We're Where for me, it's a little bit of look at the market, look how it feels, look at what it's doing, what is it thinking right now? And then from there, gauge the news that's coming out globally that has a lot of the conversation happening, right? So take a look at the major sectors, look at tech, look at oil, look at energy, look at financials, banks, real estate, take a look at that stuff, see what's happening. That's where we start to use these tools like Google. I use my PR tool. Uh, to give me some insights into stuff. Lots of searches about are GameStops open? Uh, so that's, that's good news for me. Um, but yeah, hopefully that answers your question. Hopefully that, that's helpful for you. Uh, okay, so down 25% in Q2. Back to CNR here, guys, trying to decide whether or not, whether or not I like CNR headed into Q4. So they're showing improvement over the last couple of weeks. What I like about what, what the CEO is doing is he's very honest. He's very, very— and I mean, there's seemingly honest and then there's honest. Seemingly honest is where you just provide generalities. What he's saying is something that often CEOs would be cautioned never to say. That's— he's telling these investors that are listening, these analysts and investors, it has been hard. It's been rough. Like, to just say, yeah, our guidance is to be down 25%. Like that's a massive thing to say. And that he's owning that and saying it's been bad. It has been absolutely awful. But here's what we're genuinely seeing. We're seeing states reopen. We're seeing people that are doing building and construction needing their supplies and inventory restocked. A lot of them just left it unstocked. So whatever they had on hand, they used up. And so now you've got all these empty inventories that need to be filled up. Okay, so Deutsche Bank. Okay, so the question from Deutsche Bank was, you're seeing positive growth into June like you typically do. Are you saying that people just picking up projects that have been delayed, or are there new projects? What's that looking like? And the CEO is getting back and saying, okay, well, geographically, you've got to consider where we are and what's happening. So with different areas opening up mean different things, right? California opening up, Is, is too general. You have to consider, are we talking LA or are we talking Northern California? In Texas, are we talking San Antonio? Are we talking Dallas-Fort Worth? Like, what are we talking? New York State, are we talking Buffalo or Watertown or are we talking New York City? So I think that's what he's getting at here. They're focusing on cost reductions while there's an increase in order, which is good. So they do have an oversight committee that's looking at states as they're declaring that they're going to reopen, and they're putting strategies in independently for each state on those timelines. So I think that's good. I'm glad it helps. Yeah, Koi Fin is a fantastic tool, guys. Because it's free, I like it that much more. It's not locked behind something. Now, I don't trade using Koifin. I trade on TD. So for those of you that use Thinkorswim, this may look familiar to you. It may look a little bit different. This is the Canadian version. This is the TD Advanced Dashboard, but this is what I use to trade my equity holdings. So my RDSP, my Canadian margin, US margin accounts are all with TD, and then Interactive Brokers is what I use for my options trading. Now I know a lot of people like to do their options tradings on some other platforms, but I'm a huge fan of Interactive Brokers just because of them being a prime broker. I can trade more markets, I can trade more stocks, I can trade trade, uh, very specific trades, uh, using that tool that you just can't make on stuff like Robinhood or E-Trade or, um, what's the other one people use? Webull. Um, yeah, so if for me I prefer the TD Advanced Dashboard for equity trading, I prefer Interactive Brokers for my options. Uh, but yeah, Koyfin is great for news. The other thing that's great about Koyfin is you can go right to top news And it'll show you the trending news right here. It'll show you anything on social media that thinks is important. It'll show you latest news. So this is as press releases drop. Home Depot is hurting right now. So it's interesting that Cornerstone had a surprise on their, on their earnings of A decent amount, but Home Depot is hurting. So this tells me that the, the construction side of things with construction businesses is actually doing better than home renos. So this does lean more towards that, that understanding that it's new homes being built. It's not people repairing their homes, it's people getting out of the city and buying some new housing. So that will be interesting. I think Interactive Brokers is actually really good as far as their support team goes. So I would just reach out to the support team and have a conversation with them of these are the types of stocks that I want to trade. Can you let me know what Interactive Brokers is an interesting one, guys? You have to register. You have to give your financials. It is a prime broker. It's not you deposit $100 and you get to start trading. It's a bit of a bigger beast, but with that comes a phenomenal customer support service. You'll be able to reach out and actually say, this is what I want to be able to trade. I'm going to be able to trade these stocks, blah, blah, blah, whether they're bio or whether they're— I mean, I had an issue with USO, and I think it took me 48 hours to hear back. But yeah, just make sure that the email is very, very clear as to what you want to trade. So giving them actual stock tickers will be very helpful of I'm looking to trade these stocks, bam, and these stocks, bam. So if you want to trade anything that's a leveraged ETF, yeah, yeah, use the message center. That's all. You're not going to get a phone line. I mean, right now there's no way. I don't see how you— you— yeah, it's just not possible. Possibly gonna fall down right now. Okay. Um. So this is a really tough question that's being asked here. He's actually ripping into you say you've got this this liquid cash available, but do you actually have it available? Are you guys hiding things? Are there things that aren't on the surface here that we don't know about? They are confirming that they do have room in their asset base. Loan. There's no restrictions. Okay. Barclays wanted to ask about the non-res backlog. I know you gave some helpful color on the vertical. Non-res backlog is just their, their commercial. That's non-residential backlog. Yeah, Twitch, YouTube, Twitter. If you guys look down here on this yellow thing, all of my different Links are there, so you guys, if you are Twitch fans and would prefer to watch there, feel free. But I do have I do have the chat up on all of them, so I am able to see what you guys are saying and answer accordingly. Okay, so this is good news. They're not cancellations. They are not seeing cancellations. What they are seeing is. People extending. Oh, that's the link right there. You should be able to just click that and that should take you to me. Yep, that's me. Okay, so 30-40%, which means they are going to have a jam-packed summer. They are going to be so busy this summer. So this is actually a really, really attractive play, I think. Okay, are we still planning to bring down debt by the 3/4 to a full turn by year end? And then also with the CapEx spend, what percent will be attributed to growth-focused initiatives versus— Not at all. Thanks for watching, man. Appreciate it. So a lot of uncertainty around the forecast for 2020. So they've pulled their guidance. So you see the stuttering, you see the stalling. This is an uncomfortable question for him. So that, that's something as an investor that when you're reading through this, you need to take note of this, this stalling. We want to, we want to. This is him not being able to actually formulate an answer. He didn't have one prepared ahead of time. He's trying to tiptoe around the difficult conversation around How, how much are you committing to paying down the debt load that you've taken on? And what he's saying is we've had to pull our guidance because we can't really say. We don't know what this looks like. Economic reopening could be a boom for us, but we could get shut right back down. We don't know. And we, so we can't say that all is well because we're expecting these pushouts to happen in June and July and August. What we are saying is if things go well, we should be okay, but if there's another economic Shutdown, a lockdown, who knows what's gonna happen. Atlanta-Dallas has been big for them. Washington State, New Jersey, New York. Okay, I think I've read enough on CNR. I like it. It's gonna go on my list for today. I like it. Okay, uh, we have about 30 minutes left here before I cut stream, guys. So, uh, I'm gonna go refill my water. I will be right back in 60 seconds. If there are stocks you want me to take a look at, please just put them in the chat, the ticker. And I will do my best to get through them, give some analysis and insight as to what I think about them. So if you guys have anything in particular you want me to look at, just throw it in chat, and when I get back, I'll take a look. Right. Okay, so nobody has anything that they want me to look at in particular. Okay, no problem. Let's take a look at— let's head back here. My wife is just waking up from the other room and telling me to check CRS. All right, so CRS is a Canadian mining company. They sent us something in the mail saying we are a fantastic stock. with up to 500% gain opportunity. All you need to do is take a look at our magical stock that's gonna go through the roof. So let's take a look at it. Fairly new stock. What about RCL? Yeah, I can definitely take a look at RCL. So for the last 6 months, it's only been a publicly traded stock for 6 months. It declined from $2.50 to $0.69. It is mining and exploration, so it's completely dependent on the veins that they hit in their mining. They do not— yeah, I mean, they're Ontario-based, Canadian Shield. They're forced under lockdown, so they're currently not mining, which means that they're going to have less revenue. Less revenue means that the thing is going to go down even more. This is a penny stock. Even worse, it's Canadian penny stock. Even worse, it's in the mining sector. Everything about CRS I don't like. You're welcome. Yeah, RCL and Abbott. Okay, so let's let's pull up let's pull up RCL. Okay, so Royal Caribbean guys, cruise industry. They are down pre-market today. Let's go to something that's a little bit closer. Let's go to one month. So they had a good day yesterday. They've been rising steadily. 16.5% yesterday was good. Let's take a look at quarter to date. Okay, so the question with where is this gonna go, right? Where is RCL going to go is completely dependent on what kind of international travel bans exist. The EU is pushing to open up, and that's good news for Royal Caribbean. The Caribbean nations are dependent on tourism, they are going to push to have these ships floating to them as quickly as possible. I think the big thing that we need to look at is Cruise bookings and see what comes up in the news. Okay. So we're seeing a lot of reduced pricing on bookings. Carnival bookings jumped 600%. It's kind of a big deal, but that's Carnival. It's not RCL. Cruising's future is promising. Norwegian Carnival heading opposite ways. Travel's ready to cruise. So I mean, of the 3, I probably like CCL better just because we've got firm data on them. The other thing with CCL is it's a little bit more attractive as far as cost of entry. Um, I think that this one for me would be the one that I look at over RCL. Uh, CCL, we have numbers that they are 600% up. Um, I, I think this one at $15 is a lot more appealing than RCL at $40. Uh, hopefully that's helpful. Uh, with Abbott, Abbott got some bad news about their test. 48% false negatives is no joke. Um, yesterday it was up slightly I think what happens to Abbott is we see a— I would either short sell this or take a put option into Q3 or Q4 of next year. Try to get a put option. Well, first of all, I am not qualified to give you guys financial advice. My thoughts on this would be if you were to play Abbott, you would play it To the put side, $65 as long as possible. Okay, ABT may have got approved in Britain, but there was reporting in the States that the test that is rapidly being used by countries has a 48% false negative, which is just brutal. So if you're paying Abbott in the short run, I don't know that it's got a ton more room to run. Okay, I think it's just about at its peak. Um, maybe, maybe $95, but we'll see. I think it's just about at its peak, but, uh, it's got a lot of room to fall. So, um, for me, I always look— like to look at how high do I think it possibly could go and how low do I think it could fall, and I gauge it based off that. Now, I play long equity in bio, so we'll consider this a bio-ish stock. Um, looking at this, if I'm taking— if I'm a long player, uh, I, I want to see this have way more upside potential than downside potential, right? And this is absolutely the opposite. So this would be ideal for somebody who's a short seller. Um, if you're somebody that likes to play put options, this is what I would be looking for in that case. This is not great for me. I see a lot of downside potential. I see that $65 line there as a reasonable point where they were in January. I think that's about where they're going to end back, uh, but it's going to take a few quarters for them to fall down. So make sure that if you're getting into a short position, you're getting into it with the understanding I'm gonna be having this for a little while. Okay. Okay. LSE is next. Caplease. I don't see this popping up. LSE INRG. INRG. Okay, INRG pops up. LSE didn't pop up. Guys, with Carnival, so I'm never going to tell you guys, do I think it's worth it for you to put it in? Just because I'm not, I'm not in a position to give you guys financial advice about what you should or should not take. Now, as far as myself, I only like biopharmaceuticals. With Carnival, if I was to put my money in a cruise line, that would be the one that I put it in. Only because we have data on their bookings. Yeah. Oh, under the, under the London Stock Exchange. INRG. INGR. Ingredion. This is the one. Well, this should— oh, because sorry, I had a dyslexic moment. That's on me. That's on me. There it is. Greedion. Okay. So look at January levels. This is a declining stock. So in a year of boom, the stock is declining. January was not great for it. It saw stability. Like this is, this is not the trend that you want to see happening over three years. You kind of want to see it going like this. Yeah, you'd almost want this chart flipped, especially given that. This year, 2019 to 2020, was a year of boom, right? Um, so I don't like the price movement on this. Now, what do these guys do? Uh, starch, starches, starch sugars. Oh, so this might actually be a good play. And the reason why this might be a good play is candy sales are through the roof. Chocolate and candy is through the roof right now. So what do you need when you're making all that junk crap? You need Modified starches, sugars, glucose syrup, high fructose syrup. You need this crap. This might actually be a decent long play. Now, it's not biofarm, so I probably wouldn't get into it myself. But knowing that industries like sweets and chocolate and that kind of stuff are on the rise as far as sales go, there's potential here. There is potential here. You'd probably be taking an options play though, because it's I don't know what, what kind of portfolio you're working with, but $80 a share, you need a lot of capital to make that worth your while as far as an equity play. Okay, so ETFs. If you guys don't know, I'm not a huge fan of ETFs. Actually, I'm a vocal advocate against ETFs. And the reason why is the way an ETF works is typically they take one shining star and say, this thing is fantastic. And then they take a whole pile of dog crap and they merge it all together in a package and go, we're going to make this dog crap more valuable by tying it to these other stocks that do really well and people will buy it. The big problem I have with that is if you know that, if you know that's how they build these ETFs, then what you're able to do is actually go into the ETF and see what its holdings are, see what's performing well for it, and then just directly invest in the stocks that are performing performing well and skip the dog crap. I will definitely take a look into NVIDIA and AMD. Okay, so let's open up this, this Global Clean Energy ETF. Okay, so it's okay. So here's the iShares Global Clean Energy by BlackRock. Solar, wind, or other renewable resources. Top holdings. Enphase, Siemens, Vestas. Okay, so this right here and this right here, anything that's over 5%, really anything that's over 5% in the portfolio, Take a look at those stocks directly and how they're performing. If they're performing well, I would just recommend that you buy into these. If they're not performing well, well, this is the majority of the holding, right? So there's companies that I would think should be on here that aren't. Total is a big one. Down 12% since inception. Top sectors: renewable, semiconductor. Beta versus S&P. So the beta shows the relationship to the S&P. So when the S&P goes up, if you've got a positive number here, when the S&P goes up, it mirrors very closely. Uh, the S&P movement. So this ETF, when the S&P goes up, this goes up. When the S&P goes down, it goes down. Whereas if it was negative, it would inverse that, right? So, uh, something like Costco lately, where the SPY went down but Costco went up, that would be an inverse beta or a negative beta. Uh, this is— that's a— this just mirrors the SPY, but not even well, because it's not even a 1-to-1. It, it kind of moves up when the SPY moves up. Um, Not a fan. I'm just gonna be honest on this one. Not a fan. I don't like renewable. I'm not a huge fan of renewable energy by itself. I like companies that have some renewable energy in their in their pipeline, but they also still operate on oil and natural gas, which is why I like Total better. For the cost of this per share, I mean, it's eleven bucks, but I I think you are going to see better results looking at something like total than you are this. Yeah, and you can do that same breakdown of ETFs. I suggest you actually take a look at TAN and do the breakdown on TAN. I think that you're going to be better, better off there. Okay. NVIDIA and AMD were next. So let's hop on to NVIDIA first. Here, Nvidia. So Nvidia had their corporate AI chip drop. This is going to be a big deal for cryptocurrencies, crypto farms, corporate data centers. Yeah, I'm not saying to buy TAN. What I'm saying to do is do that same breakdown that we just did on, on that BlackRock clean energy thing where we looked at what its holdings were and pick out the stocks from TAN that are performing well because TAN is actually going to see some growth here. And that means that they've got some stocks that are in their portfolio that are going to grow. So just, it's really easy for you to see, type in TAN holdings, you'll be able to break down, okay, well, what are they owning that's actually going to work well and then invest directly in those. As opposed to trying to buy the ETF as a whole. The ETF is actually just built for the lazy trader. It is. You don't want to actually do the homework and the due diligence. So here, here's an ETF that covers a sector. Now buy into it right now. There's a lot of common ETFs out there. So SPY is one that we talk about. We actually use the SPY to gauge movement. SQQQ, TAN, is another one that we talk about. Yeah. So there's a lot of ETFs out there, but it's for the lazy investor. And I would highly encourage you guys, especially with Google at your fingertips, not to be lazy investors. Do the due diligence, take the time, and you're going to see a lot better results, I think, from picking out individual plays on it. So Nvidia. Nvidia has 2 things that you need to consider. On the one hand, they've got this new AI chip. We're going into the Christmas season. they typically perform well. So there's that. On the other side, they've got a billion-dollar lawsuit against them for manipulating their financials to show that their gaming sales were up when in reality it was their crypto mining that was up. And that's been the backbone of their business. So they've been fudging some numbers is the accusation in the lawsuit. I am fairly inclined based off of what I've read and the number of people that are corroborating it. There's 5 or 6 different people that used to work for Nvidia all across China and Russia that have worked at their crypto farms that say that this looks legit. We're backing this lawsuit. For me, that makes me a little bit wary about Nvidia. Again, so I'm always trying to gauge how much to the upside, how much to the downside. For this, I see the upside being maybe $25, and maybe it goes to $375. I don't think we're going to that $400 mark. On the downside, I think that a recovery back down to that $130, $140 40 line as possible. So exit price on MRNA? I can— because I'm not allowed to give you guys financial advice, I'm not a financial advisor, I don't have the accreditation to do so. Telling you an exit price, I think, is a bit of an issue. I can take a look at it though and give you kind of ballpark and what my Thought is on it. I am not currently holding MRM. Someone on Reddit said Nvidia should have market cap forty billion. That's true, but I mean the amount of stuff that you see on on the stuff that you see on Reddit, you really just can't take into account. And it's my issue with Nvidia isn't that they claimed Nvidia is a much bigger beast than people thought. Let's just put it that way. Nvidia owns massive crypto farms. It's feeding those crypto farms with the technology it's creating. I think for you to say that it's got a market cap of $40 billion is not understanding the depth and scope of Nvidia. I think that's somebody who's a video gamer who likes AMD better and is saying it should only be a $40 billion market Nvidia is a bigger beast. It's so much bigger. It's got way more moving parts than that person thinks. I don't know that they're worth the $200 billion that they've got, but we'll see. Commercial's where the money's at. And AMD is not playing in the commercial sector as much yet. I think they're gonna have a good Q4 with next-gen systems coming out. I like AMD probably around the $75 mark. So that gives it some upside. On the downside, if something goes wrong, probably around that $27 mark. So I would say it's pretty close to even top to bottom. Yeah, top to bottom, it looks about the same. It's a 50/50. So for me, again, guys, I don't play tech anyway. But if I did play tech, I wouldn't be playing If I was a short seller, Nvidia looks better for me, I think. Okay, mRNA. What's going on with mRNA? Okay, mRNA is a tale of a sad story. And the reason why I say that is here is this tiny little nothing of a company. Okay, puttering along, puttering along. Oh, COVID happens. Now, for the rest of the world, COVID did this in February, but Moderna hopped on the bandwagon early. We saw the potential, and I'm not faulting them for this. I think that this was a sound move by their CEO. He said, I think that we can do this. Let's do this. Let's get ahead of this thing. They did. And as a result, they were first to the field. They've had more time, more finance, and more headlines on their product. And as a result, up to 80. Now what we're going into is phase 2 trials, guys, which means we've done a small sample group, uh, of 6 to 8 people on the phase 1 trials that have allowed them to move forward to a phase 2 trial. Phase 2 trial is going to have 600 people. This is where you can get burned very, very badly with Moderna. With a much larger study like that, you're going to find different results with different people. You're going to find people that Don't— the drug doesn't perform well, where you could get some negative numbers. I tell you what happens to Moderna in the event that the Phase 2 trial does not go well. If the Phase 2 trial does not go well, you can expect this stock to fall from the sky back down to this $14 mark. That's— it's crazy, right? Now, if Phase 2 goes well, if Phase 2 goes well, It has potential, I would say, to be up around that $115 mark. I don't think it goes much beyond that. Yeah. So like, that's, that's kind of where I see the price movement on this. It's got a lot more to the downside for sure, but they're banking it all on this. So when it comes to companies that are working on vaccines that I like, as far as the medical information I've seen, I like IPIX. I like MBRX. I like J&J. Those are the ones that I like. I'm holding— I'm reserving judgment on SRNE until I see them actually drop a medical report. They haven't dropped one yet. So until I actually see the data on what they've done, all they've done though is put it into a petri dish. IPIX has had their drug at the federal FDA labs since the same time as Moderna, and they are still in the running as one of the top drugs, top drug candidates that people are considering. So IPIX is there. What makes IPIX's drug brolastinin so attractive is it can be used as a treatment, a vaccine, and as a antiviral for secondary infection. So it kind of covers all 3 at once. Whereas Moderna, Moderna is only looking to create a vaccine. Their vaccine will not be able to be used for treatment or secondary infection. So I like Brolacin better there. MBRX, as far as a vaccine, they're, they're, they have peer-reviewed medical evidence that their drug has a 100% effect. So just like similar to SRNE's claims, MBRX also has a drug that had a 100% effect rate on COVID. They actually have peer-reviewed medical studies available though. They've got a member of the FDA actually on the board. So MBRX is one that when it gets unhalted should do quite well. Um, and then Johnson Johnson has a candidate as well. Uh, but that's it. Yeah, that's, that's my thought on, uh, mRNA, guys. Uh, $115 is the highest I could see it going topside, but I'm more likely to think it declines. Um, I don't think it's going to perform well in phase 2, but that's, that's for you. There's a lot of due diligence to do on that, guys. Uh, even if and when it's not a long hold, make sure you get out of it at the peak because after this COVID thing is dealt with, the COVID vaccine just becomes a flu vaccine. It's not big money. What's your opinion on airlines that keep piling bad news but still making gains? Could they continue to soar or will there be some pullback because of all the bad news? Okay, so I, I have a couple of rules when it comes to stocks. The big one is never bet against the Saudis. Saudi Arabia's got a pile of money and I don't recommend you ever try to go against a company that has Saudi backing. Boeing has picked up. Boeing has picked up contracts with the Navy on top of all the government contracts they already had. They are reopening plants. 737 Max is coming due for approval, and now they have Saudi Arabia backing them. If I if I wanted to play aviation at all, I would be looking at this. When when the Saudis give something the approval stamp, it gets the approval stamp. So this would definitely be what I'm looking at. I had a great day yesterday, up 12.8%. I think Boeing is the one that I like now as far as airline airlines. If we're talking specifically airlines instead of the aviation industry, I think Alaska Air is a strong one. I think there's been a lot of conversations on Bloomberg from CEOs in the airlines and. Industry— United, Southwest, Ryanair— all of them have come on saying that they think that the smaller airlines actually stand to have the most gains. So I would be looking at something like AAL or Hawaiian Airlines. What is the— in the airlines? Okay, so H-A-A-L, or, um, what's the other small one? Southwest, it's a little bit bigger, but even Southwest would be okay. Those would be the 3 that I would look at. I'm not actually gonna— I don't play the airline sector at all. But that would be my opinion on, on that sector right now is I do see potential gains coming up on it. Boeing would be the most certain play of all. If you're looking at equity, I don't know that Boeing is possible for you though. So, uh, for an options play to the call side, I like Boeing. Um, as far as equity holdings, I think I like Alaska Air better than Southwest, but, uh, take your pick from the two. Uh, the only reason I say I like Alaska Air better is it's a smaller airline. Uh, what I know of the industry is that this at $10 is just going to double to $23. Um, yeah, I, I don't think it goes below where it is. I, I think it It'll be fine. Sorry, wrong ticker here. ALK is Alaska. So Alaska, AL is the American Airlines. So this would be the equity play I take, would be American Airlines. All right guys, it is that time. Thank you so much for watching. I really appreciate you guys swinging through. I'm here every morning from 4:30 AM till 7:00 AM Eastern Standard Time, breaking down the markets, uh, helping you guys take a look at some stocks, give you some ideas, give you some thought process. We have some great dialogue. Thank you so much for swinging through, guys. I will catch you tomorrow. Uh, take it easy until then. I hope the market is kind to you today. Later.