November 2020 - Page 6 of 9

Release – OptimizeRx (OPRX) – Third Quarter 2020 Revenue Up

Posted on November 10, 2020 by Admin

OptimizeRx Third Quarter 2020 Revenue Up 110% to Record $10.5 Million, Driving Non-GAAP Net Income of $1.1 million or $0.07 Per Share

ROCHESTER, Mich., Nov. 09, 2020 (GLOBE NEWSWIRE) — OptimizeRx Corp. (Nasdaq: OPRX), a leading provider of digital health solutions for life science companies, reported results for the three and nine months ended September 30, 2020. Quarterly and nine months comparisons are to the same year-ago period.

Financial Highlights

Revenue in the third quarter of 2020 increased 110% to a record $10.5 million, with the first nine months of 2020 up 56% to a record $26.9 million.
Gross profit in the third quarter of 2020 increased 99% to $6.0 million.
GAAP net loss totaled $0.3 million or $(0.02) per share in the third quarter, with non-GAAP net income at $1.1 million or $0.07 per share (see definition of this non-GAAP measure and reconciliation to GAAP, below).
Cash and cash equivalents totaled $12.0 million at September 30, 2020.
Closed additional enterprise deals, bringing total value of enterprise-level engagements to $21 million in annualized revenue.

Q3 2020 Operational Highlights

Expanded direct-to-patient reach via partnership with Epion Health, a leader in digital patient engagement solutions, allowing patients at health systems and medical groups across the nation access to the OptimizeRx digital health and communications platform.
Partnered with Higi, a consumer healthcare technology and engagement company, to provide healthcare consumers with financial assistance and treatment support programs at point-of-dispense. Higi provides OptimizeRx access to more than 10,000 self-service health stations nationwide that allow consumers to measure, track and act on their health data.
Expanded digital health communication network in collaboration with Change Healthcare to enable providers in the Change Healthcare network to digitally receive important information from the life sciences industry via OptimizeRx.
Secured two SaaS-based enterprise-level engagements with a combined annual contract value of $3.6 million.
Enhanced corporate governance with the addition of Greg Wasson, former president and CEO of Walgreens Boots Alliance, to the board of directors.
Continued webinar series featuring industry thought leaders discussing innovative ideas for improving medication launches.

Q3 2020 Financial Summary

Total revenue in the third quarter of 2020 increased 110% to a record $10.5 million versus $5.0 million in the same year-ago quarter. The quarterly increase was due to increases in sales in the company’s messaging products and patient engagement products, including from its acquisition of RMDY Health in 2019.

Gross margin decreased to 57.1% in the third quarter of 2020 as compared to 60.4% in the year-ago quarter. The decrease was related to a change in mix of services provided. The company expects gross margin to improve in the fourth quarter with a target of 60% for the year.

Operating expenses totaled $6.2 million, up from $5.0 million in the same year-ago quarter. The increase was due to the company’s efforts to expand its product line and build out its organization for future growth.

Net loss on a GAAP basis in the third quarter of 2020 was $0.3 million or $(0.02) per share, as compared to a net loss of $1.6 million or $(0.11) per share in the third quarter of 2019.

Non-GAAP net income for the third quarter of 2020 was $1.1 million or $0.07 per share, compared to non-GAAP net loss of $0.9 million or $(0.07) per diluted share in the same year-ago period (see definition of these non-GAAP measures and reconciliation to GAAP, below).

While the company expects to return to GAAP profitability as its revenue grows, expenses related to investments in growth initiatives or non-cash charges could result in a GAAP loss in any given quarter. Given the opportunity at hand as discussed below, the company continues to be focused on top-line growth while maintaining a strong balance sheet.

Cash and cash equivalents totaled $12.0 million at September 30, 2020, as compared to $14.1 million at June 30, 2020. The decrease was due to an increased investment in working capital. The company has continued to operate debt-free and expects to be cash-flow positive for the remainder of the year.

Management Commentary

“In Q3, we realized triple digit revenue growth, mostly organic, which drove strong non-GAAP net income,” stated OptimizeRx CEO, William Febbo. “It reflects how our pharma clients are increasingly seeing the point-of-care as essential to their marketing spend.”

“We also continued to see a growing proportion of enterprise-level recurring revenue and growing interest from our customer base for our new solutions, such as patient engagement, hub enrollment and TelaRep™. We finalized our integration and go-forward plan for patient engagement, which provides additional scale for driving growth in recurring revenue. It also opens up access to additional budgets within our client base and supports improved gross margins over time.

“We expanded our platform reach during the quarter via our Higi and Epion partnerships that connect us digitally to millions of new patients. We see ourselves at just the beginning of a broad expansion into retail or point-of-dispense as another channel to enable affordability and adherence. Both of these partnerships are very timely, as we are all looking for ways to connect digitally at more points in the healthcare workflow and maximize access to care.

“We are seeing more rapid adoption of digital tools for doctors to combat the COVID disruption. Macro trends are in our favor as highlighted by the rapid adoption of telehealth and other digital tools. A clear theme forming is the need for the appropriate digital tools for doctors to maintain their practices with under such drastic disruptions occurring with the pandemic. This allows for our solutions to be highlighted as an effective tool set to help deliver care to patients.

“Looking ahead, we are on track for a strong annual growth rate, non-GAAP income and positive cash flow from operational activities. Our pipeline is better than it has ever been, currently sitting at $140 million, nearly double versus this time last year. We continue to anticipate a close rate in the range of 35 percent to 50 percent, with these prospects keeping us on pace for another year of record growth in an expanding addressable market.”

Conference Call

OptimizeRx management will host the presentation, followed by a question and answer period.

Date: Monday, November 9, 2020
Time: 4:30 p.m. Eastern time (1:30 p.m. Pacific time)
Toll-free dial-in number: 1-800-430-8332
International dial-in number: 1-323-347-3277
Conference ID: 9818386

Please call the conference telephone number five minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact CMA at 1-949-432-7566.

A replay of the call will be available after 7:30 p.m. Eastern time on the same day through November 30, 2020, as well as available for replay via the Investors section of the OptimizeRx website at optimizerx.com/investors.

Toll-free replay number: 1-844-512-2921
International replay number: 1-412-317-6671
Replay ID: 9818386

Definition and Use of Non-GAAP Financial Measures

This earnings release includes a presentation of non-GAAP net income (loss) and non-GAAP earnings (loss) per share or non-GAAP EPS, both of which are non-GAAP financial measures.

The company defines non-GAAP net income (loss) as GAAP net income (loss) with an adjustment to add back depreciation, amortization, non-cash lease expense, stock-based compensation, acquisition expenses, income or loss related to the fair value of contingent consideration, and deferred income taxes. Non-GAAP EPS is defined as non-GAAP net income (loss) divided by the number of weighted average shares outstanding on a basic and diluted basis. The company has provided non-GAAP financial measures to aid investors in better understanding its performance. Management believes that these non-GAAP financial measures provide additional insight into the operations and cashflow of the company.

Because of varying available valuation methodologies, subjective assumptions and the variety of equity instruments that can impact a company’s non-cash operating expenses, management believes that providing non-GAAP financial measures that excludes non-cash expenses allows for meaningful comparisons between the company’s core business operating results and those of other companies, as well as provides an important tool for financial and operational decision making and for evaluating the company’s own core business operating results over different periods of time.

The company’s non-GAAP net income (loss) and non-GAAP EPS measures may not provide information that is directly comparable to that provided by other companies in the company’s industry, as other companies in the industry may calculate such non-GAAP financial results differently. The company’s non-GAAP net income (loss) and non-GAAP EPS are not measurements of financial performance under GAAP and should not be considered as an alternative to operating income or as an indication of operating performance or any other measure of performance derived in accordance with GAAP. The company does not consider these non-GAAP measures to be substitutes for or superior to the information provided by its GAAP financial results.

The table, “Reconciliation of non-GAAP to GAAP Financial Measures,” included below, provides a reconciliation of non-GAAP net income (loss) and non-GAAP EPS for the three months and nine months ended September 30, 2020 and 2019.

About OptimizeRx

OptimizeRx Corporation (NASDAQ: OPRX) is a digital health company that facilitates communication at the point-of-care among all stakeholders in healthcare. Primarily focused on life science and payer clients, its suite of digital and mobile SaaS-based solutions enables affordability, patient adherence and care management. OptimizeRx’s network reaches more than 60% of U.S. ambulatory providers, delivering therapeutic support on specialty medications and patient financial assistance directly within a provider’s workflow through leading electronic health platforms. OptimizeRx’s fully integrated platform supports the real-time exchange of information, improving provider knowledge and patient engagement, and ultimately leading to healthier outcomes.

For more information, follow the company on Twitter, LinkedIn or visit www.optimizerx.com.

Important Cautions Regarding Forward Looking Statements

This press release contains forward-looking statements within the definition of Section 27A of the Securities Act of 1933, as amended, and such as in section 21E of the Securities Act of 1934, as amended. These forward-looking statements should not be used to make an investment decision. The words ‘estimate,’ ‘possible’ and ‘seeking’ and similar expressions identify forward-looking statements, which speak only as to the date the statement was made. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events, or otherwise. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted, or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, the effect of government regulation, competition, and other material risks.

Company Contact
Doug Baker, CFO
Tel (248) 651-6568 x807
dbaker@optimizerx.com

Media Contact
Maira Alejandra, Media Relations Manager
Tel (754) 245-7070
malejandra@optimizerx.com

Investor Relations Contact
Ron Both or Grant Stude
CMA Investor Relations
Tel (949) 432-7557
oprx@cma.team

See Optimizerx Corporation Condensed Consolidated Balance Sheets (Unaudited)

Source: OptimizeRx

Release – Chakana (CHKKF) – Announces New High-Grade Discovery at Paloma West – Soledad Project Peru

Posted on November 10, 2020 by Admin

Chakana Announces New High-Grade Discovery at Paloma West – Soledad Project, Peru

22.65 Metres of 2.81 g/t Gold, 3.80% Copper, and 56.2 g/t Silver (9.36 g/t Au-eq) from 48 Metres

Vancouver, B.C., November 10, 2020 – Chakana Copper Corp. (TSX-V: PERU; OTCQB: CHKKF; FRA: 1ZX) (the “Company” or “Chakana”), is pleased to report a new high-grade discovery at the Paloma West target at the expanded Soledad Project in Ancash, Peru. Results from the first three holes at Paloma West are part of the ongoing Phase 3 drill program, a fully funded 15,000 metre drill program that started August 15, 2020. Phase 3 is testing a tight cluster of high-grade, gold-enriched tourmaline breccia pipe targets within the Paloma and Huancarama breccia complexes (Fig. 1). Ten holes have now been completed in the Paloma targets for a total of 2,387 metres. Drilling is currently underway at Huancarama where three holes have been completed thus far.

Mineralized intervals from these three holes at Paloma West include:

* Cu_eq and Au_eq values were calculated using copper, gold, and silver. Metal prices utilized for the calculations are Cu – US$2.90/lb, Au – US$1,300/oz, and Ag – US$17/oz. No adjustments were made for recovery as the project is an early stage exploration project and metallurgical data to allow for estimation of recoveries are not yet available. The formulas utilized to calculate equivalent values are Cu_eq (%) = Cu% + (Au g/t * 0.6556) + (Ag g/t * 0.00857) and Au_eq (g/t) = Au g/t + (Cu% * 1.5296) + (Ag g/t * 0.01307).

Significant intervals of mineralization were encountered in all three holes.

The three holes were collared outside of the breccia pipe in wall rock, drilled through the breccia, and exited the breccia on the other side ending in wallrock.
Higher grades occur along the margin of the breccia in each hole. For example, hole SDH20-140 has 80m of 0.39 g/t Au, 0.97% Cu, and 30.5 g/t Ag starting at 21m. At the first contact with breccia, the north margin zone averages 0.79 g/t Au, 1.95% Cu, and 82.7 g/t Ag over 18.05m. The margin zone on the south side of the breccia averages 0.73 g/t Au, 4.04% Cu, and 46.3 g/t Ag over 8m.
The north margin zone in hole SDH20-141 is precious metal rich, averaging 2.66 g/t Au and 443.2 g/t Ag over 5m starting at 29m. The south margin zone in this hole averages 2.81 g/t Au, 3.80% Cu, and 56.2 g/t Ag over 22.65m starting at 48m.

Examples of drill core from these holes are shown in Figures 5 and 6.

David Kelley, President and CEO commented, “the first three holes in Paloma West demonstrate very significant grades for copper and precious metals, which are especially encouraging given the shallow depths. When considered with the broad zones of mineralization encountered at Paloma East located 150 metres to the north east (see news releases dated September 17, and October 26, 2020), the Paloma area has far exceeded our expectations with initial scout drilling and mineralization open at depth. We look forward to releasing more results on drilling at Paloma West.”

Phase 3 Drill Program Update – Paloma Target Area

The Paloma target area consists of two mapped outcropping breccia pipes, Paloma East and Paloma West (Fig. 2) and at least one breccia dike. Previous surface rock sampling confirmed strongly anomalous gold concentrations in both the targeted breccia pipes as well as within several scattered small exposures of breccia and vein-like structures in the Paloma area. The Paloma East and Paloma West surface expressions are located on the flanks of a prominent late-time electromagnetic conductivity feature (Fig. 4). The anomaly extends beyond the limits of the survey grid and the Paloma area, representing an expanded area for future exploration.

About Chakana Copper

Chakana Copper Corp is a Canadian-based minerals exploration company that is currently advancing the high-grade gold-copper-silver Soledad Project located in the Ancash region of Peru, a highly favorable mining jurisdiction with supportive communities. The Soledad Project consists of high-grade gold-copper-silver mineralization hosted in tourmaline breccia pipes. A total of 31,641 metres of drilling has been completed to-date, testing eight (8) of twentythree (23) confirmed breccia pipes with more than 92 total targets. Chakana’s investors are uniquely positioned as the Soledad Project provides exposure to several metals including copper, gold, and silver. For more information on the Soledad project, please visit the website at www.chakanacopper.com.

Sampling and Analytical Procedures

Chakana follows rigorous sampling and analytical protocols that meet or exceed industry standards. Core samples are stored in a secured area until transport in batches to the ALS facility in Callao, Lima, Peru. Sample batches include certified reference materials, blank, and duplicate samples that are then processed under the control of ALS. All samples are analyzed using the ME-MS41 (ICP technique that provides a comprehensive multi-element overview of the rock geochemistry), while gold is analyzed by AA24 and GRA22 when values exceed 10 g/t by AA24. Over limit silver, copper, lead and zinc are analyzed using the OG-46 procedure. Soil samples are analyzed by 4-acid (ME-MS61) and for gold by Fire Assay on a 30g sample (Au-ICP21).

Results of previous drilling and additional information concerning the Project, including a technical report prepared in accordance with National Instrument 43-101, are made available on Chakana’s SEDAR profile at www.sedar.com.

Qualified Person

David Kelley, an officer and a director of Chakana, and a Qualified Person as defined by NI 43-101, reviewed and approved the technical information in this news release.

ON BEHALF OF THE BOARD
(signed) “David Kelley”
David Kelley
President and CEO

For further information contact:
Joanne Jobin, Investor Relations Officer
Phone: 647 964 0292
Email: jjobin@chakanacopper.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-looking Statement Advisory: This release may contain forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Chakana to be materially different from any future results, performance, or achievements expressed or implied by the forward looking statements. Forward looking statements or information relates to, among other things, the interpretation of the nature of the mineralization at the Soledad copper-gold-silver project (the “Project”), the potential to expand the mineralization, and to develop and grow a resource within the Project, the planning for further exploration work, the ability to de-risk the potential exploration targets, and our belief in the potential for mineralization within unexplored parts of the Project. These forward-looking statements are based on management’s current expectations and beliefs but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward- looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.

Figure 1 – View looking north showing breccia pipes and occurrences within the northern Soledad cluster. Pipes that have been drilled in previous campaigns are shown in red. Targets shown in green are the focus on this 15,000m drill campaign. Other pipes and occurrences remain to be tested by drilling. Additional breccia pipes occur on the south half of the property and are not shown here.

Figure 2 – Map showing location of outcropping Paloma East and Paloma West breccia pipes and drill hole lithology in holes completed to date. Red represents tourmaline breccia. Location of section line for Figure 3 indicated.

Figure 3 – Section looking northwest showing the first three drill holes in Paloma West.

Figure 4 – Map showing 2-D late-time conductivity response from time-domain electromagnetics survey at Paloma (Channel 15 z component, contour units in ohm-m).

Figure 5 – Examples of mineralized core from drill holes reported in this release showing different styles of mineralization found in Paloma West: A) SDH20-140 – mosaic breccia showing base of oxidation; the interval 32-38m assays 0.96 g/t Au, 4.00% Cu, and 70.7 g/t Ag; B) SDH20-141 – shingle breccia with chalcopyrite-pyrite cement; the interval 49-55m assays 3.46 g/t Au, 7.21% Cu, and 85.9 g/t Ag; C) SDH20-141 – shingle breccia with abundant chalcopyrite-pyrite cement; the interval 65-70.75m assays 3.87 g/t Au, 3.26% Cu, and 65.8 g/t Ag; D) SDH20-142 –tourmaline-cemented mosaic breccia with sporadic chalcopyrite-pyrite in matrix; the interval 74-80m assays 4.12 g/t Au, 0.88% Cu, and 31.4 g/t Ag.

Figure 6 – Detailed core photos from Paloma West: A) SDH20-140 (29.8m) oxidized mosaic breccia, void spaces were originally filled with sulfide similar to photo B; B) SDH20-140 (35m) mosaic breccia with sporadic chalcopyrite-pyrite cement; C) SDH20-140 (78.9m) cavity filled with euhedral quartz-pyrite-chalcopyrite; D) SDH20-140 (99.5m) mosaic breccia with zones of semi-massive chalcopyrite-pyrite; E) SDH20-141 (50.7m) chaotic shingle breccia with semi-massive chalcopyrite-pyrite cement; F) SDH20-141 (66.6m) shingle breccia with late chalcopyrite replacing pyrite; G) SDH20-142 (38.3m) contact of andesitic tuff with sheeted veining and tourmaline breccia with abundant chalcopyrite at margin; H) SDH20-142 (79.75) mosaic breccia with chalcopyrite cement; I) SDH20-142 (94.25m) mosaic breccia with chalcopyrite-pyrite cement; J) SDH20-142 (86.4m) massive euhedral chalcopyrite-pyrite filling void space in mosaic breccia.

Orion Group Holdings (ORN) – New Concrete awards positive – Asset sales look likely

Posted on November 10, 2020 by Admin

Tuesday, November 10, 2020

Orion Group Holdings (ORN)

New Concrete awards positive – Asset sales look likely

Orion Group Holdings, based in Houston, Texas, is a specialty construction company within the Marine and Industrial Construction sectors, with operations focused in the continental United States and Caribbean. Revenue is split roughly 50/50 between a Marine Construction segment that provides marine facility, pipeline and structural construction services and a Commercial Concrete segment that provides turnkey concrete services in the light commercial and structural construction markets.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Three concrete awards of $52 million reflect a positive signal from 3Q2020 low bids pending award. The contracts for concrete and paving services on the construction of large distribution centers; two near Houston and one in the Dallas-Fort Worth (DFW) area. The Houston projects total $38 million, or one for $21 million and another for $17 million, and the DFW project totals $14 million. Work will begin shortly with completion in 1H2021.

Industry fundamentals remain positive despite state level concerns about COVID-19. 3Q2020 backlog dropped to $429 million, but total low bids pending award increased versus 2Q2020. Including total low bids pending award of $108 million, potential backlog approximates $537 million. Including low bids pending award of $49 million in Marine and $59 million in Concrete, potential backlog equals $291 …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.

Townsquare Media Inc (TSQ) – An Impressive Recovery; Raising Estimates

Posted on November 10, 2020 by Admin

Tuesday, November 10, 2020

Townsquare Media Inc (TSQ)

An Impressive Recovery; Raising Estimates

Townsquare Media Inc is an entertainment and media company offering digital marketing solutions in the United States and Canada. It owns and operates radio stations, social media properties focusing the small and mid-cap companies. Services offered to the clients include live events, local advertising, digital advertising, e-commerce offerings, few others. The segments through which the company operates its businesses are classified into Local marketing solutions and Entertainment segments. Revenues are generated from commercials through broadcasts and sale of internet based advertisements.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Outperforms highest expectations. Q3 revenues of $95.3 million was better than our recent upwardly revised revenue estimate of $92.1 million. Cash flow, as measured by adj. EBITDA, was $17.5 million, significantly better than our $11.3 million estimate. The results benefited from a large $4.4 million in Political advertising, above our upwardly revised $2.6 million estimate, and accounted for the large variance in our estimates.

Improving results, even without Political. Revenue trends appear to be moderating even without the benefit of Political advertising. Q4 advertising pacings are down 17%, a sequential improvement from the 21% decline in q3, ex Political. Its Digital Interactive business continues its double-digit revenue growth in Q4, up an expected 16%, a sequential acceleration from 14% growth in Q3 …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

Information Services (III) – Beats 3Q Expectations, Continues to Move Forward in a COVID World

Posted on November 10, 2020 by Admin

Tuesday, November 10, 2020

Information Services (III)

Beats 3Q Expectations, Continues to Move Forward in a COVID World

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 700 clients, including more than 70 of the top 100 enterprises in the world, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,300 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

3Q20 Operating Results. Third quarter results came in better than expected, with revenue of $61.6 million and adjusted EBITDA of $8.2 million. Management had forecast revenue in the $53-$55 million range and adjusted EBITDA in the $6-$7 million range. EPS for the quarter was $0.04 and adjusted EPS was $0.10. We had forecast revenue of $53 million, adjusted EBITDA of $6.8 million, EPS of $0.01, and $0.05 per share of adjusted EPS.

Geographies. Revenues were $35.0 million in the Americas, up 11% sequentially and down 13% versus the prior year; $20.9 million in Europe, flat sequentially and down 7% on a reported basis (down 11% in constant currency) versus the prior year; and $5.7 million in Asia Pacific, up 19% sequentially and up 8% on a reported basis (and up 4% in constant currency) versus the prior year. Recurring …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

Sierra Metals (SMTS)(SMT:CA) – Big 3Q Beat; Raising Estimates

Posted on November 10, 2020 by Admin

Tuesday, November 10, 2020

Sierra Metals (SMTS)(SMT:CA)

Big 3Q Beat; Raising Estimates

As of April 24, 2020, Noble Capital Markets research on Sierra Metals is published under ticker symbols (SMTS and SMT:CA). The price target is in USD and based on ticker symbol SMTS. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target.

Sierra Metals Inc is a precious and base metals producer in Latin America. The company acquires, explores, extracts, and produces mineral concentrates consisting of silver, copper, lead, zinc and gold in Mexico and Peru. Its activity includes the operation of the Yauricocha Mine in Peru, and the Bolivar and Cusi mines in Mexico. Yauricocha is an underground polymetallic mine using the sublevel block caving and cut-and-fill mining methods. Bolivar is a copper-silver-zinc-gold underground mine using room-and-pillar mining method. The majority of the revenue is earned by selling of the mineral concentrates to its customers in Peru.

Mark Reichman, Senior Research Analyst of Natural Resources, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Better-than-expected third quarter earnings. Sierra Metals reported adjusted earnings per share of $0.11 compared with $0.02 during the prior year period and our estimate of $0.06. The variance to our estimate was largely due to lower-than-expected operating costs. Compared with the prior year period, mining costs declined 18.3% and gross profit as a percent of revenue increased to 45.1% from 28.4%. Adjusted EBITDA increased 72.5% to $37.2 million compared to $21.6 million earned during the prior year. During the third quarter, free cash flow amounted to $24.0 million. Despite a challenging operating environment due to COVID, SMTS delivered exceptional operating and financial results.

Updating estimates. We are increasing our 2020 EPS and EBITDA estimates to $0.21 and $102.9 million from $0.14 and $85.5 million, respectively. Additionally, we have increased our 2021 EPS and EBITDA estimates to $0.38 and $172.7 million from $0.30 and $137.3 million. Our estimate revisions reflect lower costs and higher margin …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

E.W. Scripps Company (SSP) – A Political Firestorm

Posted on November 10, 2020 by Admin

Tuesday, November 10, 2020

E.W. Scripps Company (SSP)

A Political Firestorm

The E.W. Scripps Co. (www.scripps.com) serves audiences and businesses through a growing portfolio of television, print and digital media brands. After approval of its acquisition of two Granite Broadcasting stations later this year, Scripps will own 21 local television stations as well as daily newspapers in 13 markets across the United States. It also runs an expanding collection of local and national digital journalism and information businesses including digital video news service Newsy. Scripps also produces television programming, runs an award-winning investigative reporting newsroom in Washington, D.C., and serves as the longtime steward of one of the nation’s largest, most successful and longest-running educational programs, Scripps National Spelling Bee. Founded in 1879, Scripps is focused on the stories of tomorrow.

Michael Kupinski, Director of Research, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Q3 exceeds expectations. Local Media revenues, boosted by better Political and Core advertising, lead the company to over achieve expectations. Total company revenues were $493.7 million versus our $458.9 million estimate. Political advertising was a strong $96.4 million versus our $82.0 million estimate. Core advertising was 15.6% better than our estimate, $151.5 million versus $131.0 million. National Media revenues were 4.1% above expectations, as well.

Cash flow stronger than expected. Cash flow, as measured by adjusted EBITDA, was $145.9 million, versus our estimate of $119.4 million. The results reflected expenses that were largely in line, given the strict cost control measures. As such, the stronger revenues fell to the bottom line. Given better than expected high margin Political advertising, management increased its free cash flow guidance …

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

Eagle Bulk Shipping (EGLE) – Turning Point? 4Q2020 Off to Solid Start

Posted on November 9, 2020 by Admin

Monday, November 09, 2020

Eagle Bulk Shipping (EGLE)

Turning Point? 4Q2020 Off to Solid Start

Eagle Bulk Shipping Inc. is a US-based drybulk owner-operator focused on the Supramax/Ultramax mid-size asset class, which ranges from 50,000 and 65,000 deadweight tons in size; these vessels are equipped with onboard cranes allowing for the self-loading and unloading of cargoes, a feature which distinguishes them from the larger classes of drybulk vessels and provides for greatly enhanced flexibility and versatility- both with respect to cargo diversity and port accessibility. The Company transports a broad range of major and minor bulk cargoes around the world, including coal, grain, ore, pet coke, cement, and fertilizer. Eagle operates out of three offices, Stamford (headquarters), Singapore, and Hamburg, and performs all aspects of vessel management in-house including: commercial, operational, technical, and strategic.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Adjusted 3Q2020 EBITDA slightly below expectations due to lower-than-expected TCE rates and negative variances in opex and S,G&A expenses. The dry bulk market recovery that began in June, boosted operating results, but reported 3Q2020 EBITDA of $11.5 million was about $1.0 million below our estimate after excluding derivative losses of $2.9 million. TCE revenue was lower and opex and S,G&A expenses were higher than expected. Excluding the derivative losses, adjusted EBITDA was $14.5 million.

Adjusting 2020 EBITDA estimate to reflect 3Q2020 operating results and forward cover that reflects the firmer 2H2020 dry bulk market. The dry bulk market improved over the past five months with 4Q2020 forward cover of 73% of available days booked at $11,275/day compares favorably to 3Q2020 forward cover of 66% of available days booked at $9,220/day. Operating costs were higher in 3Q2020 and we are …

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

Neovasc (NVCN)(NVCN:CA) – Q3 Earnings: Reducer Commercialization in the US is Delayed

Posted on November 9, 2020 by Admin

Monday, November 09, 2020

Neovasc (NVCN)(NVCN:CA)

Q3 Earnings: Reducer Commercialization in the US is Delayed

As of April 24, 2020, Noble Capital Markets research on Neovasc is published under ticker symbols (NVCN and NVCN:CA). The price target is in USD and based on ticker symbol NVCN. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target.

Neovasc Inc is a specialty medical device company. The company develops, manufactures and markets products for the rapidly growing cardiovascular marketplace. Its products include the Tiara for the transcatheter treatment of mitral valve disease and the Neovasc Reducer for the treatment of refractory angina. Neovasc is developing the Tiara for the treatment of mitral valve disease. Neovasc operates its business in one segment.

Ahu Demir, Ph. D., Biotechnology Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Reducer commercialization is delayed based on the FDA’s panel decision. The FDA’s Circulatory System Devices Panel did not vote in favor of Reducer commercialization in the U.S. for the treatment of patients suffering from refractory angina. The company is required to conduct an additional clinical study to evaluate Reducer in patients. Neovasc plans to provide further details on the clinical trial design and path to approval following the FDA’s official response to premarket approval application (PMA), anticipated in H1 2021.

Q3 earnings results. The company reported $0.63 million in revenues and $0.15 million in COGS. Total expenses were $10.6 million including $5.1 million SG&A expenses and $5.5 million R&D in Q3 2020. The company had approximately $14 million in cash and cash equivalents on September 30, 2020, sufficient until March 2021 …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

Is the Future of Nuclear Power Small Modular Reactors?

Posted on November 9, 2020 by Admin

The First U.S. Small Modular Reactor Design is Sign of the Future for Nuclear Energy

Advancements in nuclear energy will keep it relevant for the foreseeable future. But, cleaner forms of energy are expected to take a larger share of electricity production. According to the U.S. Energy Information Administration’s Annual Energy Outlook 2020, the pivot to greener forms of energy will cause coal-fired and nuclear-powered generation to lose share to renewable and natural gas-fired power sources.

Source: EIA Annual Energy Outlook 2020

Renewable energy’s share of electricity generation is estimated to rise from 19% in 2019 to 38% by 2050. Natural gas, which accounted for 37% in 2019, is expected to provide 36% in 2050. On the losing end, coal-fired and nuclear power generation account for 13% and 12% in 2050, respectively, compared to 24% and 19% in 2019. What the analysis does not consider is progress in nuclear energy technology and the potential for public policies that put a price on carbon emissions.

Major Objections to Nuclear Power

Objections to nuclear power generally center on three issues. First, large-scale nuclear plants are very costly, and there are no incentive systems in place to reward the generation of carbon-free electricity. Second, nuclear power plants generate nuclear waste in the form of radioactive spent fuel, which needs to be safely stored. Third, the potential for a nuclear meltdown, such as what happened at Three-Mile Island in the 1970s, is a risk that many find unacceptable. What may be surprising are the many advancements in technology that may help overcome deep-seated objections and cause policymakers and the public to re-think nuclear power’s value proposition.

On a bipartisan basis, Congress passed the Nuclear Energy Innovation Capabilities Act in 2018, which promotes public-private partnerships through the U.S. Department of Energy’s Gateway for Accelerated Innovation Nuclear program to accelerate the development of the next generation of nuclear reactors. In 2019, the Nuclear Energy Innovation and Modernization Act was signed into law, which requires the Nuclear Regulatory Commission to develop new processes for licensing nuclear reactors, including staged licensing of advanced nuclear reactors.

Modular Reactors May Be Part of the Solution

NuScale Power and TerraPower are just two examples of companies that are working to advance less-costly, smaller nuclear reactors that produce less nuclear waste and reduce the potential for an accident. NuScale Power, a privately held company, is developing a small modular reactor design using a safer, smaller, scalable version of pressurized water reactor technology. In September 2020, the U.S. Nuclear Regulatory Commission approved the design of NuScale’s small modular reactor which could portend a full design certification in 2021. Privately held TerraPower was founded by Mr. Bill Gates and is a nuclear reactor design company that is developing a class of nuclear reactors using new technologies, including the traveling wave reactor. By using depleted uranium as fuel, the new reactor type offers the potential to reduce nuclear waste, lowers cost, and eliminates the need for reprocessing. Small modular reactors could be paired with and act as a backup to intermittent renewable sources of energy.

Putting a Price on Carbon Emissions

According to the U.S. Department of Energy, nuclear power accounted for 20% of U.S. electric generation in 2019 and 55% of the carbon-free electricity produced. While the issue of nuclear power is controversial, policymakers would be wise to consider it as part of the solution for combatting climate change. While natural gas-fired power plants are thought to be a key part of the energy transition to cleaner energy, they still emit greenhouse gases. Putting a price on carbon emissions through cap and trade programs or a carbon tax could help level the playing field. Currently, utilities that produce energy with coal-fired or natural gas-fired power plants are not penalized for carbon emissions. Likewise, utilities that generate carbon-free energy with more costly nuclear plants are not rewarded. Either levying a direct carbon tax or establishing a market-based cap and trade program could remedy the existing inequity.

Conclusion

The chorus for cleaner energy is growing stronger. Proposed plans for a clean energy revolution calls for the U.S. to achieve a 100% clean energy economy to reach net-zero emissions no later than 2050. In order to accomplish this goal, the plan would seek to achieve a carbon pollution-free power sector by 2035. While renewables, including wind and solar, play a significant role, policymakers should consider the downsides to these sources of energy, including the issue of intermittency and their footprint. For example, in terms of power density, as measured by watts per square meter, nuclear has a smaller footprint than some renewables, including wind farms. According to the Nuclear Energy Institute, wind farms require up to 360 times as much land area to produce the same amount of electricity as a nuclear facility, while solar photovoltaic facilities required up to 75 times the land area. Besides killing birds, wind farms are unsightly, take up a lot of space, and decommissioned wind turbine blades are difficult to recycle and often end up in landfills. Advanced nuclear reactors could make a significant positive impact toward reaching U.S. and global climate targets between now and 2050. Based on the promise of advanced nuclear technologies, policymakers should also ensure the viability of the entire nuclear fuel supply chain, including domestic production of uranium.

Suggested Reading:

When Does OPEC Expect Oil Demand to Plateau?

Oil and Gas Price Ratio, Which Way is it Headed?

Is America’s Energy Dominance Relying on Immaculate Areas?

Virtual Road Show Series – Tuesday, November 10 @ 1pm EST

Join Lineage Cell Therapeutics CEO, Brian Culley and CFO, Brandi Roberts for this exclusive corporate presentation, followed by a Q & A session moderated by Ahu Demir, Ph.D., Noble’s Biotechnology Analyst, featuring questions taken from the audience. Registration is free, but attendance is limited to 100.
Register Now | View All Upcoming Road Shows

Sources:

Annual Energy Outlook 2020, U.S. Energy Information Administration, January 29, 2020.

5 Fast Facts About Nuclear Energy, U.S. Department of Energy, Office of Nuclear Energy,

TerraPower, Corporate Website, 2020.

NuScale, Corporate Website, 2020.

NRC Approves First U.S. Small Modular Reactor Design, Press Release, Department of Energy, Office of Nuclear Energy, September 2, 2020.

First U.S. Small Nuclear Reactor Design is Approved, Scientific American, Dave Levitan, September 9, 2020.

Nuclear Energy Policy Represents a Bipartisan Path Forward on Climate for the Biden Administration, Atlantic Council, Jennifer T. Gordon, November 7, 2020.

Land Needs for Wind, Solar Dwarf Nuclear Plant’s Footprint, Nuclear Energy Institute, July 9, 2015.

Wind Turbine Blades Can’t Be Recycled So They’re Piling Up in Landfills, Bloomberg, Chris Martin, February 5, 2020.

Photo: NuScale Power modular nuclear power plant (artist rendering)

TherapeuticsMD (TXMD) – Q3 EPS: Annovera Sales Impress

Posted on November 9, 2020 by Admin

Monday, November 9 2020

TherapeuticsMD Inc. (TXMD)

Q3 EPS: Annovera Sales Impress

TherapeuticsMD, Inc. is an innovative, leading healthcare company, focused on developing and commercializing novel products exclusively for women. Our products are designed to address the unique changes and challenges women experience through the various stages of their lives with a therapeutic focus in family planning, reproductive health, and menopause management. The Company is committed to advancing the health of women and championing awareness of their healthcare issues.

Ahu Demir, Ph.D., Biotechnology Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Q3 2020 earnings release. The company reported third-quarter earnings today. Total revenues from marketed products were $19.3 mm and EPS was ($0.12), beating Street’s and our estimates of ($0.13) and ($0.13) in EPS and $15.5mm and $15.0 mm in revenues, respectively. TXMD shares gained approximately 30% in value (as of 2 pm ET) following the earnings release.

Annovera is the major revenue generator. The company achieved a record quarter for Annovera despite significantly reduced access to prescribers due to coronavirus. In Q3 2020, Annovera net sales were $6.4 mm. Total prescription (TRx) increased ~115%, while repeat writers doubled their average volume quarter over quarter (Q/Q). The company gained preferred coverage for Annovera with one of the top…

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This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report.
NOTE: investment decisions should not be based upon the content of
this research summary. Proper due diligence is required before
making any investment decision.

Gevo, Inc. (GEVO) Scheduled To Present at NobleCon17

Posted on November 9, 2020 by Admin

Join Gevo, Inc. (NASDAQ: GEVO) CEO Patrick Gruber at NobleCon17 – Noble Capital Markets 17th Annual Small & Microcap Investor Conference – January 19&20, 2021. Following a formal presentation, a seasoned Wall Street research analyst will join Patrick to moderate a LIVE Q&A session. If you want to be added to the roster of presenters… or if you would like to join the virtual audience of investors, at no cost, go to nobleconference.com.

NobleCon 17 Complete Presenting Company Schedule

Q3 EPS: Annovera Sales Impress

Posted on November 9, 2020 by Admin

Monday, November 9 2020

TherapeuticsMD Inc. (TXMD)

Q3 EPS: Annovera Sales Impress

Ahu Demir, Ph.D., Biotechnology Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Click to get the full report

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report.
NOTE: investment decisions should not be based upon the content of
this research summary. Proper due diligence is required before
making any investment decision.