|Bid||0.5104 x 3000|
|Ask||0.5110 x 3200|
|Day's Range||0.5050 - 0.5589|
|52 Week Range||0.1120 - 1.9500|
|Beta (5Y Monthly)||0.68|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
For the past three months, Wall Street has been abuzz over retail investors. Between the Reddit movement, which began in January and has focused on highly short-sold companies, and heightened volatility since the pandemic struck last year, retail investors have flocked to the stock market. The average age of Robinhood's user base is only 31.
In the investment sector, you win some and you lose some. Don’t let anyone tell you differently – everybody’s got a system that works wonders in a bull market. It’s when things go awry that you find the best systems that still win about 60% to 70% of the time. Which leaves a lot of room for error, like my call on Castor Maritime (NASDAQ:CTRM) stock. Source: Pavel Kapysh / Shutterstock.com In early April, I looked at some publicly traded companies that were popular on social media forums like Reddit. CTRM stock is definitely one of those names. I first researched the global shipping company for Benzinga. At the time, shares were trading hands at 71 cents. As a high-risk, high-reward wager, it seemed a reasonable bet considering the power of the internet and the contrarian thesis of a return to normal. Fast forward to April 1, and CTRM stock had come almost full circle, with shares priced at 74 cents. Though the contrarian outlook lost some of its punch as declining novel coronavirus cases suggested an economic rebound was likely, Castor Maritime maintained its most valuable catalyst – social freaking media.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Therefore, I was willing to entertain another bullish take on CTRM stock. Look, I saw with the rest of the world what Redditers did to billion-dollar hedge funds. I’d be foolish to say that this crowd has no power or influence, because they do. We’ve become the United States of Reddit and I wasn’t going to become a Benedict Arnold. 7 Great Stocks to Buy Under $10 In hindsight, maybe I should have. While I can always do without a barrage of hate mail for “wrongthink,” I made a poor call on CTRM stock. On the following session, shares plummeted. Even now, it just looks like a mess – one positive session doesn’t change the bigger picture. But could a third time be the charm for this socially driven company? Maybe the Fundamentals Will Matter for CTRM Stock My InvestorPlace colleague Ian Bezek has a blunt take on CTRM stock, noting that investors should get out of the embattled firm before it capsizes. Fundamentally, he makes a strong argument, particularly regarding the dilution of shares in order for Castor to expand its fleet. Bezek wrote: “A shareholder that owned 1% of Castor Maritime in 2019 now owns less than 0.01% of the company thanks to its unprecedented dilution. In light of this, the company picking up a few more vessels isn’t remotely enough to make up for the tsunami of new shares that have flooded the market.” Moreover, Bezek had some commentary on the social media following, noting that Castor’s subreddit r/CTRM has more than 16,000 members, with one thread having more than 66,000 comments. This leads into a bigger concern — that CTRM stock may not have much support besides coordinated groupthink. And that means that once the crowd gets tired of the trade – and they will – you get more of what just happened. That may seem like sacrilege to some but it’s the reason why I said you should only play CTRM stock with “dumb money.” You just never know when that threshold might arrive. Not Enough Firepower Moving forward, I believe Castor faces two challenges. First, social media may not have the firepower to get CTRM stock back to where it once was. While 16,000 members is impressive, a hedge fund will easily have more spending power to deploy than that entire forum put together. I’m not casting aspersions: I’m just speaking reality. Second, the economic contrarian narrative may have already been priced into Castor shares. On a related note, there’s a risk that maybe the global economy goes backward again. Although we shouldn’t make a big deal out of this, the latest U.S. jobless claims report came in higher than expected. We still have a long way to go before returning to normal. Finally, given the fragile state of the global economy, we’re one or two bad events from having serious damage done to us. So for now, the market has spoken. CTRM appeared interesting, but that doesn’t seem to be the case anymore. On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. More From InvestorPlace Why Everyone Is Investing in 5G All WRONG It doesn’t matter if you have $500 in savings or $5 million. Do this now. Top Stock Picker Reveals His Next Potential 500% Winner Stock Prodigy Who Found NIO at $2… Says Buy THIS Now The post Donât Fight the Tape With Castor Maritime Stock appeared first on InvestorPlace.
Castor Maritime (NASDAQ:CTRM) stock got a boost on Friday after announcing the acquisition of a new shipping vessel. Source: VladSV / Shutterstock.com According to a news release, Castor Maritime has agreed to purchase a “2011 Japanese-built Panamax dry bulk carrier.” The company is paying an unaffiliated third-party seller $18.48 million for the ship. Castor Maritime notes that the new shipping vessel is being bought through one of its separate wholly-owned subsidiaries. The company also mentions that the deal will be complete when it takes delivery of the vessel.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Castor Maritime also points out that the deal needs to complete customary closing conditions before it can get the vessel. So long as there are no problems along the way, it’s set to close during the second quarter of the year. Petros Panagiotidis, CEO of Castor Maritime, said this about the deal bumping CTRM stock up today. “We are pleased to announce our ninth vessel acquisition in 2021 with the addition of another Panamax dry bulk vessel to Castor’s fleet. Our focus remains on deploying our capital and growing our fleet through timely acquisitions of vessels across shipping segments.” 7 Great Stocks to Buy Under $10 CTRM stock is seeing a decent amount of trading today following news of the vessel acquisition. As of this writing, more than 98 million shares of the company’s stock have changed hands. For some additional perspective, the stock’s daily average trading volume is about 192 million shares. Castor Maritime is an international shipping company that handles deliveries through its ocean-faring ships. When its recent deliveries are complete, the company will own a total of 15 ships. CTRM stock was up 1% as of noon Friday and is up 174.4% since the start of the year. Castor Maritime isn’t the only company catching the eyes of investors on Friday. Several other stocks are also performing well and gaining interest from investors. A few examples of these include TherapeuticsMD (NASDAQ:TXMD), fuboTV (NYSE:FUBO), and Santo Mining (OTCMKTS:SANP). Investors that are eager to learn more about why these stocks are up today can check out the links below. More Friday Stocks News TXMD Stock: The News Giving TherapeuticsMD Shares a Shot in the Arm Friday FUBO Stock Alert: The Exclusive Rights Deal That Has FuboTV Shares on Fire Friday SANP Stock: 13 Things to Know About the New Skullys NFT Website as Penny Stock Santo Mining Soars On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks. Read More: Penny Stocks — How to Profit Without Getting Scammed More From InvestorPlace Why Everyone Is Investing in 5G All WRONG It doesn’t matter if you have $500 in savings or $5 million. Do this now. Top Stock Picker Reveals His Next Potential 500% Winner Stock Prodigy Who Found NIO at $2… Says Buy THIS Now The post CTRM Stock: The News Giving Shipping Company Castor Maritime a Bump Today appeared first on InvestorPlace.