We share weekly commentaries with investors on stocks in our strategies that have appreciated or dropped more than 15% in a day during the course of the week. We hope you find this commentary useful.
Silvergate (SI), a bank specializing in cryptocurrency, traded down 20% on Tuesday as the equity and crypto markets sold off broadly. In our view, based on the stong network effects of the Silvergate Exchange Network (SEN), Silvergate will be a prime beneficiary of increased institutional and corporate crypto adoption.
Workhorse (WKHS), a technology company that designs, manufactures, builds, and sells battery-electric vehicles and aircraft in the United States, traded down 47% on Tuesday and then up 24% on Thursday. The sharp decline was in response to its loss of the U.S. Postal Service’s (USPS) next generation delivery vehicle contract to Oshkosh. WKHS then appreciated on news that a Democrat in the House of Representatives is attempting to overrule the contract award to Oshkosh. ARK finds it odd that the USPS is not committing to a fully electric platform which, according to our research, will dominate truck production and sales in the next ten years.
BASE Inc. (4477JP), an internet service provider in Japan, declined 15% on Wednesday after SBI Securities downgraded it on valuation concerns. BASE enables individuals and small businesses to launch online stores within minutes.
注: BASE Inc. (4477JP) 周三下跌15%，此前SBI Securities因估值问题下调了该公司的评级。BASE使个人和小企业能够在几分钟内推出网上商店。
Organovo (ONVO), a biotechnology company focused on 3D-bioprinting, traded up 23% on Wednesday, possibly because investors and speculators may be gaining confidence in Organovo’s ability to maximize its 3D-bioprinting assets and deliver on a revitalized commercial strategy. We believe shares will be volatile until Organovo reveals more about its path forward.
LendingTree (TREE), an online financial services marketplace, traded down 15% on Thursday after reporting quarterly results that included a 58% drop in non-mortgage revenues. The stock fell further on Friday after Northland downgraded it to underperform on expected margin pressure, a negative that we believe will reverse with continued strength in the economy.