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Eva Ados, ERShares COO, joins Yahoo Finance’s Kristin Myers and Alexis Christoforous to discuss market outlook and the tech sector.
Eva Ados, ERShares COO, joins Yahoo Finance’s Kristin Myers and Alexis Christoforous to discuss market outlook and the tech sector.
(Bloomberg) -- Elon Musk helped legitimize cryptocurrencies in the eyes of Wall Street investors. Now, his tweets are scaring them off.About a quarter of Bitcoin’s value has been wiped away in the span of a week, in part thanks to headspinning tweets from Musk on everything from Bitcoin’s toll on the environment to whether Dogecoin is the better digital currency. The token is now worth about as much as it was when Tesla first disclosed in February its intention to buy some.Musk has always been tongue in cheek with his crypto dabbling, but his latest posts have sown confusion across the industry and revived the debate over whether the nascent asset class is a serious investment.Can Bitcoin ever be a hedge against inflation and gold alternative with volatility like this? And is it simply a running joke on Twitter for the world’s second-richest man?These questions are resonating with GAM Holding AG, which oversees 124.5 billion Swiss francs ($138 billion), as unpredictable swings in crypto are proving a major drawback.“Its volatility is so huge that it can actually distract clients from their investment goals,” said Julian Howard, head of multi-asset solutions at the firm. “It’s often driven by tweets rather than fundamentals.”Before this month’s roller-coaster, the widespread adoption of crypto had been on an upswing, with Tesla’s $1.5 billion purchase of Bitcoin in February a watershed moment. At the time, Musk announced he would allow customers to buy cars with Bitcoin and would keep a portion of Tesla’s balance sheet in the token.The move, the first by a major corporation, raised expectations that other corporate treasurers would follow suit and adoption of crypto as a medium of exchange would take hold. Goldman Sachs Group Inc. and Morgan Stanley also announced plans to offer their clients exposure to crypto.With hordes of new retail and institutional investors piling in, prices shot up from $29,000 in January and reached $60,000 last month. After the pullback, the token now trades around $43,000 and some analysts say the market still looks precarious, especially as the fate of Bitcoin becomes tied to Musk’s Twitter outbursts.“I would definitely expect reduced appetite going forward,” said Felix Dian, founder of crypto-focused MVPQ Capital in London, which counts 70% of its investors as institutions. “First, because of the loss of momentum from a technical perspective, but also because of the extreme sensitivity on environmental issues.”Because Bitcoin has no underlying fundamentals, such as profit streams or interest payments that help anchor the value of stocks and bonds, it’s inherently a speculative bet on market trends in the years ahead.“It’s the ultimate momentum trade,” said Wayne Wicker, chief investment officer at Vantagepoint Investment Advisers. “The mainstream adoption will come from institutional investors over time and regardless of Elon Musk.”Still, for all the eye-watering moves lately, Bitcoin is far less volatile than it used to be. Benson Durham of Cornerstone Macro LLC says Bitcoin’s correlation to other assets, therefore its impact on overall portfolio swings, is a more relevant metric for investors.By that measure, there’s “not much change to write home about during the recent pullback,“ he wrote.Meanwhile, crypto insiders say the Musk-driven volatility is just a temporary blip and will soon blow over.“We take a longer view, and investors would be right to do the same,“ said Greg King, chief executive officer of Osprey Funds, which offers crypto trust funds. “The key question is whether we think this asset is going to last? The answer is yes.”More stories like this are available on bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
The S&P 500 dipped 10.56, or 0.3%, to 4,163.29, with tech stocks and other former market darlings once again taking the brunt of the losses.
(Bloomberg) -- Software maker Monday.com Ltd. and luxury online retailer 1stDibs.com Inc., both backed by venture capital firm Insight Partners, filed on Monday to go public in what may be a bellwether week for U.S. listings.Both companies in filings with the U.S. Securities and Exchange Commission listed the size of their initial public offerings as $100 million, a placeholder amount that will likely change. Their filings came after a volatile week of trading that led at least three companies to delay their IPOs.Read more: IPOs Are Getting Delayed as Volatility Spooks Debutants (1)More deals are slated to price this week, including listings from Oatly Group AB and Procore Technologies Inc. Website maker Squarespace Inc. is also set to go public through a direct listing.Monday.com, an Israeli workplace management software maker, was valued at $2.7 billion last year, Bloomberg News reported. It reported $59 million in revenue in the first three months of 2021, an 85% jump from the same period last year, its filing showed.Principal shareholders include Insight Partners, Stripes Holdings, Sonnipe Ltd. and three Monday.com executives.New York-based 1stDibs.com, which sells luxury goods like diamond accessories and vintage paintings, could seek a valuation of more than $1 billion, Bloomberg News has reported. Its backers include Benchmark Capital, Insight Partners, T. Rowe Price Group Inc., Spark Capital and Index Ventures.Monday.com is working with Goldman Sachs Group Inc. and JPMorgan Chase & Co. on its listing while 1stDibs.com is working with Bank of America Corp., Barclays Plc., Allen & Co. and Evercore Inc.More stories like this are available on bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
An integration with crypto firm Taurus will bring a variety of digital assets to Temenos’ banking and institutional clients.
The air is leaking out of the crypto complex, led by sharp declines in popular trades, including bitcoin, dogecoin and crypto platform Coinbase Global on Monday.
The crypto car drove to the dump Monday as most blockchain assets fell.
AT&T ruined a lot of shareholder value by trying to get success in the media business, a veteran media analyst Craig Moffett tells Yahoo Finance Live.
By Dhirendra Tripathi
Dividend stocks are always popular. They offer investors a clear path to returns, with regular cash payments and a yield – a return on the original investment – that usually far exceeds bond yields. But not all dividend stocks are created equal, and some offer better opportunities than others. Dividend yield is a key metric. Among S&P listed companies the average yield is only 2%. However, the highest yields aren’t always the way to go. Investors should also consider share appreciation or upside potential – these factors aren’t always connected to dividends, but they will affect the general returns available from a given stock. To that end, we’ve used the TipRanks database to pull up two high-yield dividend stocks that share a profile: a Buy-rating from the Street’s analyst corps; considerable upside potential; and a dividend yielding over 8%. Let’s take a closer look. New York Mortgage Trust (NYMT) We’ll start with a real estate investment trust (REIT), a logical place to turn for high dividend returns. REITs typically pay out higher than average dividends, as a way of complying with profit-return regulations in the tax code. New York Mortgage Trust, which holds a portfolio of adjustable-rate residential mortgage loans, commercial mortgages, and non-agency mortgage-backed securities, is typical of its niche, both in the quality of its portfolio and its high yield dividend. In its recent 1Q21 financial release, NYMT listed several metrics of interest to investors. The company sold off non-agency RMBS and CMBS totaling $111.6 million, purchased $347.3 million in residential loans, and finished the quarter with $4.72 billion in total assets. The company saw net investment income of $30.3 million, and was able to fund its dividend payment, to the tune of 10 cents per common share. At that payment rate, the dividend yields 8.91%. This was the second dividend declaration in a row at 10 cents; the company has been gradually increasing the payment since cutting it back last summer during the worst of the corona crisis. B. Riley analyst Matt Howlett was impressed by NYMT’s management of the recent economic crisis, and that factor takes a lead role in his recent initiation report. “Over the last decade, NYMT has delivered among the highest economic return within the space due in part to strong asset selection, low leverage, and a highly efficient operating structure. While the March 2020 liquidity crisis was a setback for the industry, NYMT managed the crisis admirably, in our view, and avoided any major wear and tear on the company. In fact, we argue that as NYMT has rebuilt, its originations have become more direct (acquiring loans vs. securities), and its cost of capital has been declining,” Howlett opined. In line with these comments, Howlett rates the stock a Buy, and his $6 price target implies a one-year upside potential of 36%. Based on the current dividend yield and the expected price appreciation, the stock has ~45% potential total return profile. (To watch Howlett’s track record, click here) Overall, there are four recent reviews on record for NYMT, and they break down to 2 Buys, 1 Hold, and 1 Sell for a Moderate Buy consensus rating. The shares are selling for $4.45, and the average price target of $5.17 suggests room for ~17% upside from that level. (See NYMT stock analysis on TipRanks) Global Net Lease (GNL) Next up, Global Net Lease, is another REIT. The portfolio here is built on commercial real estate properties. A review of the company’s portfolio shows 306 such properties, totaling 37.2 million square feet of leasable space, let to 130 tenants. GNL operates in 10 countries, and boasts that 99.7% of its total square footage has been leased. The average lease has 8.3 years remaining – an important factor, as the long term provides stability to the portfolio. In the first quarter of 2021, GNL showed a top line of $89.4 million, up 12.8% from the year-ago quarter. The company ran a net loss, but at $800,000 that loss was significantly smaller than the $5 million lost in 1Q20. Net operating income was up from $71.9 million one year ago to $81.8 million in 1Q21. GNL reported sound liquidity in the quarter, with $262.9 million in cash or cash equivalents and an additional $88.6 million available in credit. And most importantly, GNL reported collecting 100% of rents due in Q1. GNL declared a 40 cent dividend for common shareholders during the quarter, and through it distributed a total of $36.2 million. At that rate, the dividend annualizes to $1.60 and gives a high yield of 8.59%. The dividend was cut last year during the corona crisis, but has been kept stable for five quarters since then. All of this adds up to a company that is sound on fundamentals of its business, and that has attracted notice from analyst Bryan Maher. In his note for B. Riley, Maher writes, “GNL's strong portfolio metrics provide for an attractive setup for the balance of 2021…. Given that GNL, in our view, is not over-levered and can borrow at exceedingly low rates, combined with prudent use of its in-place ATM, we are not concerned about the REIT's ability to finance acquisitions to hit our $300.0M target for 2021.” The analyst summed up, "Given GNL's well-crafted industrial/ office net lease portfolio and strong operating metrics, we reiterate our Buy rating on the shares." The Buy rating comes with a $23 price target attached. At current share price, that implies an upside of ~25% for the next 12 months. (To watch Maher’s track record, click here) Some stocks fly under the radar, and GNL is one of those. Maher's is the only recent analyst review of this company. (See GNL stock analysis on TipRanks) To find good ideas for dividend stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights. Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
The payments will reach more than 65 million children, according to senior administration officials.
(Bloomberg) -- JD Logistics Inc., the delivery arm of e-commerce giant JD.com Inc., is seeking to raise as much as HK$26.4 billion ($3.4 billion) in its Hong Kong initial public offering, seizing on China’s online shopping boom sparked by the coronavirus pandemic.The warehousing and shipping company is selling 609.2 million shares at HK$39.36 to HK$43.36 each, according to a statement published in the South China Morning Post. The company will start taking investor orders from Monday and is set to begin trading on May 28 in Hong Kong. The deal is expected to be priced on May 21, according to the terms of the IPO obtained by Bloomberg News.At $3.4 billion, JD Logistics would be the second-largest IPO in the city this year, after Kuaishou Technology’s $6.2 billion listing in February. Hong Kong has seen two other blockbuster JD.com-related offerings in the past 12 months, including online health-care unit JD Health International Inc.’s $4 billion IPO in December, as well as its own second listing in June, which raised $4.6 billion.JD Logistics’ first-time share sale comes as Hong Kong’s market shrugs off concerns over inflation. The city has hosted $20.5 billion worth of IPOs so far this year, nearly seven times the $3 billion raised in the same period in 2020, data compiled by Bloomberg show.Created in 2007 and set up as a standalone unit under JD.com a decade later, JD Logistics’ networks include both so-called last mile and longer distance lines, as well as cold chain and bulky item networks, according to its prospectus. It operated more than 900 warehouses across China as of the end of 2020.The logistics firm’s revenue climbed 47% in 2020 to 73.4 billion yuan, the prospectus shows. The company reported a net loss of 4.1 billion yuan last year, compared to 2.2 billion yuan in 2019. It plans to use the proceeds from the IPO to upgrade and expand its logistics networks, develop advanced technologies and to expand its customer base.JD Logistics has attracted seven cornerstone investors to its offering, who agreed to subscribe for about $1.53 billion of stock, according to the terms.The cornerstone investors are:SoftBank Vision Fund $600 millionTemasek Holdings Pte about $220 millionBlackstone Group Inc. $150 millionTiger Global $200 millionChina Chengtong Holdings Group Ltd. $160 millionMatthews Asia $100 millionOaktree Capital $100 millionBofA Securities Inc., Goldman Sachs Group Inc. and Haitong International Securities Group Ltd. are joint sponsors for the listing.(Updates with details of cornerstone investors from term sheet.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Berkshire Hathaway took a stake of more than $900 million in insurance broker (AON) and sold off nearly all of its longtime investment in (WFC) (WFC) in the first quarter. Berkshire’s quarterly 13-F filing released late Monday showed a new position of about 4.1 million shares in Aon (ticker: AON). Berkshire (BRK.A, BRK.B) has been steadily selling its stake in Wells Fargo since early 2020.
Consequently, data retrieved from Glassnode affirmed the Bitcoin supply held by long term holders has returned to accumulation mode, even as price dips.
(Bloomberg) -- The Tokyo Stock Exchange is considering expanding trading hours for cash equities in a move designed to attract retail investors and foreign traders, the Nikkei newspaper reported on Monday, without citing anyone.The bourse, which currently ends trading at 3 p.m. Tokyo time, is considering expanding hours into the afternoon or evening in a change that could be in time for a system renewal in 2024, the report said. An advisory body plans to meet as early as this week and solicit opinions from brokerages and institutional investors, according to the Nikkei.If realized, the move would be the first significant change in trading hours in Tokyo in over a decade. In 2011, the exchange shortened its lunch break by 30 minutes to the current one hour. The Tokyo exchange now trades between 9 a.m. and 3 p.m. local time, with the break between 11:30 a.m. and 12:30 p.m., making the five-hour trading day considerably shorter than many other regional rivals. The bourse is also considering canceling the fixed lunch break, the Nikkei said.A spokesman for Japan Exchange Group Inc., which operates the TSE, said it wasn’t the source of the report.“It’ll be important to have a debate in the securities industry,” Finance Minister Taro Aso said of the report. Longer hours wouldn’t lead to much burden on those offering online services, but “for the many places offering face-to-face services it will impact staffing and opening hours, so it’s not easy to accept.”Online BrokeragesA similar recommendation in 2014 for the exchange to consider an evening session failed to result in changes. The plans were dropped following opposition from traditional brokerages, who said longer hours would increase costs. Some members of an advisory panel at the time also called for a separate afternoon session.But with a growth in online brokerages since that attempt, a proposal could lead to a clash between brokerages offering in-person services and the increasing number of online outlets. One of the goals, according to the report, is to provide opportunities for Japan’s rising number of retail investors, whose ability to trade during work hours is limited. Much will depend on how any changes are actually implemented.“Online brokerages will be in favor, and they’re much bigger than they used to be,” said Hajime Sakai, chief fund manager at Mito Securities Co., who cautioned it took years of preparation to shorten the lunch break. “It’ll take time but it’s going in the direction of expanding hours. That’s the way the times are trending.”Closing PriceA lengthy consultation period is likely before any changes are seriously considered.“If really implemented, this would require a lot of adjustments from both front-end to back,” Takeo Kamai, head of execution services at CLSA Securities Japan Co., said. “We’ll really need to see how much support this idea will get from the street.”With most companies reporting earnings after the close of market, trading on earnings is often done on exchanges overseas, or on proprietary trading systems (PTS) run by securities firms, such as the SBI Holdings-backed Japannext Co.There has been renewed interest in such alternative venues since the TSE’s unprecedented outage last October, which highlighted how centralizing trading in Japan is. In March, Cboe Global Markets Inc. agreed to acquire Chi-X Asia Pacific Holdings Ltd. to expand its reach into Japan and other markets. A growth in rival venues could be a threat to the Tokyo exchange, though recently appointed CEO Hiromi Yamaji has said he welcomed the competition.“Longer trading hours does not increase the amount of money that people have to trade,” said Travis Lundy, an analyst who publishes on Smartkarma. “One of the important functions of a market is its daily settlement mechanism - a closing price. A lot of volume gets traded around that price and a closing auction function is normal. Putting that much later would be seriously inconvenient and serve nobody.”(Updates throughout with comments)More stories like this are available on bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
‘When same-sex marriage became a possibility in New York, he declined to consider it because he did not want to take on any possible financial obligations that a future divorce might entail.’
(Bloomberg) -- Michael Burry, the investor who rose to fame for making billions off bets against mortgage securities during the financial crisis, has placed a sizable wager against Elon Musk’s Tesla Inc.Burry’s Scion Asset Management owned bearish puts against 800,100 shares of the electric-car maker as of March 31, according to a regulatory filing Monday. The puts give Scion the right to sell Tesla shares on or before an unidentified date in the future.Tesla shares closed at an all-time high of $883.09 on Jan. 26, after a yearlong rally jolted the stock higher by almost 700%. It had lost a quarter of its value by the end of March, and is down 35% from its peak as of the close Monday.The bet against Tesla isn’t Burry’s first. He said in a since-deleted tweet in early December that his firm was short shares of the EV maker. The hedge fund manager also advised Musk to sell shares to raise capital while his stock, then on a torrid run from the pandemic lows, was at what Burry called “ridiculous” levels.Tesla earned record profit in the first quarter, sidestepped an industry chip shortage, improved its manufacturing and even made money off Bitcoin, its earnings results showed in late April. Yet shares fell in a sign of the lofty expectations the company now contends with. Among the quibbles from analysts: Tesla didn’t offer a specific estimate for vehicle deliveries in 2021.It’s impossible to know when Burry’s Scion made the bets against Tesla, at what price the puts are in the money and how much the firm paid for them. The filing, a quarterly rundown of holdings required of hedge funds of a certain size, said the position was worth $534 million -- an amount likely derived by multiplying Tesla’s share price on March 31 by the number of shares Scion bet against.“Tesla is down 14% since the end of the first quarter, so on balance, these puts have been profitable, though it’s impossible to know for sure,” said Steve Sosnick, chief strategist at Interactive Brokers LLC. “He’s expressing the type of skepticism that many have on Tesla. I would have to believe that he accumulated various Tesla options at various strikes, and some of them probably have expired.” Burry was played by Christian Bale in the film version of Michael Lewis’s best-selling account of the 2008 financial crisis, “The Big Short.”(Updates with quote in seventh paragraph)More stories like this are available on bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Coinbase Global on Monday said it plans to sell $1.25 billion of convertible debt. Its stock closed below its $250 reference price for the first time since the crypto platform listed on the Nasdaq exchange in mid-April.
AT&T said Monday it will combine its massive WarnerMedia media assets, which includes HBO and CNN, with Discovery Inc. to create a new media heavyweight in a $43 billion deal.
The stock markets can sometimes be a study in paradoxes. Good and bad news will exist simultaneously, tugging in various directions, and short-term trends can shift in a single trading session. Start with two data points noted by Oppenheimer’s chief investment strategist John Stoltzfus. He draws attention to the Q1 earnings – reporting season is winding down – particularly to the strong results. After 91% of the S&P 500-listed companies had reported, quarterly revenues had grown 9.8% year-over-year and earnings were up 47%. On the negative side, Stoltzfus contrasted the solid earnings with the poor April jobs report. The new jobs total reached a mere 266,000; far short of the nearly 1 million expected, and the February/March numbers were revised downwards. Stoltzfus sees resilience in the markets, however, as stocks continue to hover near record levels. "So far in 2021 the US economy and stocks have shown remarkable resilience considering the challenges and uncertainties they face in the process of moving towards the 'next new normal.' It’s no secret that a whole lot of love in the form of accommodative monetary policy from the Fed and gargantuan levels of stimulus from Capitol Hill have played a significant role to effect the process of navigating a landscape fraught with the uncertainties that come with any recovery from a major crisis," Stoltzfus wrote. The upshot: Oppenheimer comes down in favor of stock investing in today’s overall market environment, with an emphasis on US equities. The investment firm has been consistent in this stance for some time now, and its stock analysts have been making their recommendations accordingly. Two of those recent stock recommendations caught our eye; according to the TipRanks database, these are stocks that gotten under the radar of the analyst class. They haven’t had much coverage, but Oppenheimer’s analysts believe that each could double or more in the next year. Let’s find out why. Cyclacel Pharmaceuticals (CYCC) The first stock we’re looking at, Cyclacel Pharma, is involved in clinical-stage research into new cancer medications. The company’s focus is on innovative drug candidates based on ‘cell cycle, transcriptional regulation, and mitosis biology;’ in plainer language, the way cells divide. Uncontrolled cell division is a hallmark of tumor growth, and Cyclacel aims to tackle that facet of cancer through several pathways. Cyclacel has two main drug candidates in its pipeline, fadraciclib and CYC140. Both are undergoing clinical trials as treatments for solid tumors and leukemia, but with different mechanisms. The first is a transcriptional regulator, while the second is in the anti-mitotic program. Fadraciclib is administered either orally or intravenously, and is an inhibitor or CDK2 and CDK9. It has been shown to cause death of cancer cells at sub-micromolar concentrations. The company plans to begin dosing patients with fadraciclib in Phase 1b/2 studies against solid tumors and leukemia by the end of this year. Data from the earlier Phase 1 study, against two forms of leukemia, will also be released later this year. CYC140 follows a different pathway, being a selective inhibitor of PLK1, a mitotic pathway enzyme. PLK1 has a central role in cell division, and its inhibition in tumor cells is a promising mode of treatment. Like fadraciclib above, CYC140 will be entering a Phase 1/2 study against solid tumor and leukemia, with patient dosing to begin this year. The drug candidate has already completed a Phase 1 study in patients with advanced leukemias, and data from that study will also be released in the coming months. Covering this stock for Oppenheimer, 5-star analyst Kevin DeGeeter lays out the upbeat prospects for the company. “We view CYCC as offering a unique opportunity to participate in POC data readouts from two targeted cancer therapies before the end of 2022. Our investment thesis is based on the following assumptions: 1) oral fadraciclib maintains an acceptable safety profile, including myelosuppression—a key challenge for first-generation pan-CDK inhibitors; and 2) CYC140 exhibits potential for single-agent activity. With successful POC data from one or more Phase II expansion cohorts, we expect CYCC to explore opportunities for partnering of commercial rights to markets outside the US,” DeGeeter opined. In line with his bullish comments, DeGeeter rates CYCC an Outperform (i.e. Buy) along with a $17 price target. The figure is set to reward investors with 12-month returns of ~140%, should DeGeeter's thesis play out accordingly. (To watch DeGeeter’s track record, click here) Micro-cap biopharmas don’t get a lot of analyst attention – they tend to fly under the radar. However, there are two reviews on file here and both are to Buy, making the consensus rating a Moderate Buy. CYCC shares are priced at $7.06, with an average price target of $17.50 indicating a runway toward ~148% upside for 2021. (See CYCC stock analysis on TipRanks) Chemomab Therapeutics (CMMB) Next up, Chemomab, is another biotech firm. This company is focused on the treatment of fibrosis-related diseases, especially of the liver. The company merged with the Israeli biotech firm Anchiano this past December, forming a combined entity that will pool resources to develop Chemomab’s drug candidate, CM-101. The merged company began using the CMMB ticker on the NASDAQ this past March. The pipeline drug, CM-101, is a monoclonal antibody, first in its class, targeting CCL24 and known to interfere with disease-causing fibrosis of the liver, skin, and lungs. Chemomab has three parallel programs, all Phase 2 clinical trials, to study CM-101 in the treatment of rare fibrotic diseases. These diseases include Primary Sclerosing Cholangitis (PSC), Systemic Sclerosis, and Liver Fibrosis MoA (NASH). The first is a chronic, progressive, cholestatic disease of the liver, without current treatment options. In preclinical studies, CM-101 was seen to inhibit the overexpression of CCL24 and to attenuate cholestasis and fibrosis in animal subjects. The company is currently enrolling patients in a Phase 2a clinical trial, SPRING, for the treatment of PSC. The trial is expected to enroll 45 patients by early 2022, and preliminary data is expected in the first half of next year. Systemic Sclerosis is a rare, chronic autoimmune disease of the skin, and is better known as scleroderma. The disease can involve numerous organs of the body, and is slowly progressive. CM-101’s anti-fibrotic action has been found efficacious in preclinical studies, and a Phase 2 clinical trial is planned to start later this year. Finally, NASH – non-alcoholic steatohepatitis, or non-alcoholic fatty liver – is another fibrotic illness without a currently approved treatment. The disease is the liver manifestation of an underlying metabolic disorder, and can lead to liver failure. The Phase 1b clinical trial indicated that CM-101 was well-tolerated and showed promise in treating this condition. A Phase 2a trial, SPLASH, is scheduled to enroll 40 patients by year’s end, and early data is expected in 1H22. Analyst Jeff Jones, in his coverage of this stock for Oppenheimer, notes the company's pipeline and the cash runway as significant factors. “Compelling results in several disease models point to CCL24 neutralization as a treatment strategy, and initial clinical safety is supportive. Phase 2 reveals in primary sclerosing cholangitis (PSC) and non-alcoholic steatohepatitis (NASH) are anticipated in 1H:22, and a trial in systemic sclerosis (SSc) is on track to commence later this year. We would expect success in any of these poorly-met fibrotic indications, each of which offers sizable sales potential for CM-101, to drive significant value for CMMB. Cash runway, post recent financing, is approximately two-plus years," Jones wrote. To this end, Jones gives CMMB shares an Outperform (i.e. Buy) rating along with a $42 price target. At the current share price of $16.63, that price target suggests an upside of ~153%. This stock appears to be flying under the Street’s radar and currently Jones' is the sole CMMB review. (See CMMB stock analysis on TipRanks) To find good ideas for biotech stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights. Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
Cathie Wood's firm believes the concern about Bitcoin mining's impact on the environment is misguided.