11/3 Notable Small Cap Movers
Long/Short Equity, Short Only, Growth, Special Situations
Seeking Alpha Analyst Since 2010
Adam Gefvert is the head analyst for White Diamond Research, a research firm for hedge funds and high net worth individuals. You can read those reports at whitediamondresearch.com.
Primarily a short seller, he has saved investors millions of dollars by exposing highly overvalued small cap stocks. He has a 90%+ success rate with his Seeking Alpha short ideas. He specializes in technology, energy, and biotech stocks, because those are the sectors with the greatest valuation inefficiencies. You can follow Adam on twitter @shiningboy
Follow White Diamond Research on twitter @whiteresearch
What's important about this blog is to find actionable trade ideas based on information found regarding the previous day's small cap movers. This will be a closer focus on this blog going forward. I'll be writing less about non-actionable stocks, and more about actionable stocks. I'm also going to spend more time looking at stocks I have more of an interest in, that I've looked at in the past. It's all about making good fundamental decisions and making money!
Big Gainers
DCIX +348% Up on reverse split. Not a fundamental reason. Reached peak of $19 at about 1:30pm EST. That's often a good time to short a high flier if you want to take a shot. There was an SA article the day before warning about it, those SA articles are gold to help you get ready for such an event.
MYO +45% Up on getting Canadian approval. The stock had been oversold before, is the only company of its kind to do bionic arms. Probably will fade from here, doubt it's a buy.
NEOS +27% Crazy rally today. It had already rejected the offer from PDL Pharma for $10.25, closed at $12.90 today. Surprised that it is only rallying today, doesnt' seem to be any new news. Maybe a short? Or has another company already shown interest?
CERS +22% Not sure why it's up, missed revs. Is a biotech, must have said interesting things in its quarterly call.
BIO +21% Stock too big to fundamentally trade, $8B market cap.
PETX +20% Earnings call must have sounded good to investors. Stock went above $7 when drug was approved on 10/13. It faded since then, now it's back up today, investors must have more confidence in launch.
PODD +19% Revs and EPS beat consesus, annual guidance raised.
KALA +19% Rebounded likely because was oversold. Hard to predict this stock.
ABUS +19% Up on positive earnings call.
IO +15% Continued strong uptrend from earnings. Didn't fade at all, kept climbing after rising 50% the previous day. Not much discussion on it.
VRAY +15% Up on news that its MRidian Linac radiotherapy system was selected by 2 Danish hospitals. This is a great indication of interest from some hospitals in Europe.
CRCM +15% EPS beat consensus.
WING +13% Up on slight rev/EPS beat.
Big Decliners
GNMK -41% Slower than anticipated European traction.
RUBI -40% Badly missed revs and EPS. Investors realize that the company is likely a permanent, ad-tech loser. Closed at 52 week lows.
KEYW -33% Defense industry company. Missed on revs, EPS below consensus.
CBL -26% Lowered guidance and div cut, many analyst dgs.
PACB -25% Missed on revs badly, by 20%, EPS in line. Very bad for a company this high in valuation to miss revs.
P -25% Lowered guidance.
FNGN -24% Slightly less rev and lowered guidance. Stock rose into October. Gave all its gains back and more today.
PLUS -23% Down on earnings miss.
STMP -23% The chickens could be coming home to roost here. Many analysts have been bearish on this stock for awhile.
RMAX -21% Internal investigation on improper practices of executives. Stock was only down 9% in the PM, ended the day down much more. What's the trade on Monday? A rebound maybe? This stuff shouldn't affect revenue. However, the earnings report was delayed which is never good.
ARC -19% Analyst dgs, see headwinds.
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