Driven By Stem (STMH)(STEM:CA) – Stem Holdings: Farm-to-Home Cannabis Provider

Monday, April 26, 2021

Driven By Stem (STMH)(STEM:CA)
Stem Holdings: Farm-to-Home Cannabis Provider

Stem Holdings Inc is engaged in the purchasing, improving, and leasing of properties and finance assets which are operated by third parties and are used for the cultivation and retail sale of marijuana. Its properties includes 42nd Street, and Mulino Farm which are used for agriculture. The company generates its revenue in the form of rental income from tenants.

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

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

    Initiating Coverage. We are initiating research coverage on Stem Holdings. We believe the Company’s recent merger with Driven Deliveries has established Stem as the first cannabis cultivator and technology omnichannel retailer with e-commerce ordering and express and next-day delivery.

    From Farm-to-Home.  With 22 licenses spanning cultivation, processing, edibles, and distribution, Stem is truly a “farm-to-home” cannabis operator. The new home delivery business can leverage off Stem’s existing manufacturing and dispensary business and vice versa, while the Company’s award winning brands and proprietary genetics provide a competitive edge …



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. 

Sierra Metals (SMTS)(SMT:CA) – Trimming Estimates Based on Modestly Lower 2021 Production Expectations

Monday, April 26, 2021

Sierra Metals (SMTS)(SMT:CA)
Trimming Estimates Based on Modestly Lower 2021 Production Expectations

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.

    Trimming 2021 production expectations. While Sierra is expected to meet its forecasted production guidance ranges, we now forecast silver, gold, copper, lead, and zinc production of 4.4 million ounces, 11.5 thousand ounces, 45.6 million pounds, 32.7 million pounds, and 105.0 million pounds, respectively. Our estimates are now closer to the midpoints of the company’s guidance for each metal. The company’s operations and ability to develop higher grade ore bodies have been hindered by the pandemic’s impact on Sierra’s work force. Upside to our estimates may depend on the negative impacts of the pandemic abating.

    Updating estimates.  We have modestly lowered our 2021 EPS and EBITDA estimates to $0.36 and $166.1 million from $0.38 and $173.1 million, respectively. Our respective first quarter 2021 EPS and EBITDA estimates are $0.05 and $28.4 million. The reduction in our estimates reflects lower full year production and higher costs. Sierra Metals will release first quarter 2021 financial results after the …



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. 

Release – Kratos Defense and Security Solutions (KTOS) – Demonstrates SATCOM Situational Awareness to an Operationally Secure Environment Using Commercial Resources


Kratos Demonstrates SATCOM Situational Awareness to an Operationally Secure Environment Using Commercial Resources

 

U.S. DoD and allied nations effort included roaming capability, electromagnetic interference support and sharing of data through Unified Data Library (UDL)

SAN DIEGO
April 26, 2021 (GLOBE NEWSWIRE) — 
Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS), a leading National Security Solutions provider, announced today that they were the first to successfully exhibit an integrated SATCOM capability providing real-time Situational Awareness (SA) to an operationally secure environment. The demonstration included roaming among different networks to optimize wideband satellite communications (SATCOM) using Enterprise Management and Control (EM&C). EM&C is an effort by the 
DoD to plan, initiate, monitor and restore rapid, automated access to hybrid satellite constellations and networks, operated by various service providers.

The demonstration was part of a multi-national Joint All Domain Command and Control (JADC2) demonstration hosted by 
U.S. European Command, 
U.S. Air Forces in 
Europe and Air Forces Africa, and the 
Department of the Air Force Chief Architect Office. EM&C capabilities provided by Kratos and its industry partners highlighted a means for providing real-time satellite communication end-to-end connectivity status and operational readiness including spectral data, link and equipment status and detecting/geolocating electromagnetic interference (EMI). The event also highlighted a method to restore satellite service in response to interference and the capability to gather and fuse information from sensors and satellites through the 
Unified Data Library (UDL). The UDL is a 
U.S. government owned, cloud-enabled database accessible by the 
DoD and coalition partners. The capabilities available through EM&C are important as they support real-time warfighter communication across domains in times of war or conflict.

LTC Gary Thompson, Chief, Fighting SATCOM Capability Integration, SMC SATCOM Capability Integrator Office said, “This demonstration of EM&C helped the warfighters better understand the key satellite links used for communication and enabled precision identification, characterization, and troubleshooting of interference along the long-haul communication pathways. In addition, utilization of the UDL allowed the sharing of critical information across the joint forces for timely, fused situational awareness and lethality.”

EM&C is an important strategic goal of the military to effectively operate an integrated SATCOM enterprise by increasing assured SATCOM access for the warfighter with legacy and next-generation terminals. It improves the effectiveness of the DoD’s critical SATCOM infrastructure by enhancing resilience and giving more satellite link choices, reducing resource allocation times and improving bandwidth efficiency. Funding for the recent European demonstration was provided through the Air Force Life Cycle Management Center Advanced Battle Management System (ABMS) Broad Agency Announcement, of which Kratos is an award recipient. Kratos’ partnered with 
Knight Sky, LLC for terminal and 
Gateway equipment supporting the Flexible Terminal Interface (FTI), and 
SES Government Solutions (SES GS) to provide SATCOM capacity.

About Kratos Defense & Security Solutions

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) develops and fields transformative, affordable technology, platforms and systems for United States National Security related customers, allies and commercial enterprises. Kratos is changing the way breakthrough technology for these industries are rapidly brought to market through proven commercial and venture capital backed approaches, including proactive research and streamlined development processes. At Kratos, affordability is a technology and we specialize in unmanned systems, satellite communications, cyber security/warfare, microwave electronics, missile defense, hypersonic systems, training, combat systems and next generation turbo jet and turbo fan engine development. For more information go to www.KratosDefense.com.

Notice Regarding Forward-Looking Statements
Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended 
December 27, 2020, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the 
SEC by Kratos.

Press Contact:
Yolanda White
858-812-7302 Direct

Investor Information:
877-934-4687
investor@kratosdefense.com

Source: Kratos Defense & Security Solutions, Inc.

QuickChek – April 26, 2021



Ocugen up over 20% in midday trading

Ocugen shares rise on Friday’s announcement of a $100M Direct Offering

Research, News & Market Data on Ocugen

Watch recent presentation from NobleCon17



Kratos Demonstrates SATCOM Situational Awareness to an Operationally Secure Environment Using Commercial Resources

Kratos Defense & Security Solutions announced that they were the first to successfully exhibit an integrated SATCOM capability providing real-time Situational Awareness to an operationally secure environment

Research, News & Market Data on Kratos



Noble Capital Markets initiates coverage on Stem Holdings

Noble initiates research coverage on Stem Holdings, cannabis cultivator and technology omnichannel retailer with e-commerce ordering and express and next-day delivery

Research, News & Market Data on Driven By Stem



electroCore, Inc. Announces Johns Hopkins University School of Medicine Study of Non-Invasive Vagus Nerve Stimulation

electroCore, Inc. announced that Johns Hopkins University School of Medicine is starting an investigator-initiated trial of non-invasive vagus nerve stimulation (nVNS) using the Company’s proprietary gammaCore device to treat symptomatic exacerbation of nausea in patients with gastroparesis and related disorders

Research, News & Market Data on electroCore



Avivagen Announces First Purchase Order from Large Integrated Producer in Asia

Avivagen Inc. announced that it has received its first purchase order from a large, integrated livestock producer in Thailand

Noble Capital Markets Senior Research Analyst Joe Gomes’ report

Research, News & Market Data on Avivagen

Watch recent presentation from NobleCon17

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Release – electroCore Inc. (ECOR) – Announces Johns Hopkins University School of Medicine Study of Non-Invasive Vagus Nerve Stimulation (nVNS) for Symptomatic Exacerbation of Nausea in Patients with Gastroparesis and Related Disorders


electroCore, Inc. Announces Johns Hopkins University School of Medicine Study of Non-Invasive Vagus Nerve Stimulation (nVNS) for Symptomatic Exacerbation of Nausea in Patients with Gastroparesis and Related Disorders

 

ROCKAWAY, NJ
April 26, 2021 (GLOBE NEWSWIRE) —  — 
electroCore, Inc. (Nasdaq: ECOR), a commercial-stage bioelectronic medicine company, today announced that 
Johns Hopkins University School of Medicine is starting an investigator-initiated trial of non-invasive vagus nerve stimulation (nVNS) using the Company’s proprietary gammaCore device to treat symptomatic exacerbation of nausea in patients with gastroparesis and related disorders (NCT04857281).

Many gastrointestinal disorders can cause nausea and vomiting, of which the most well-known is gastroparesis, a digestive disorder in which the stomach empties slowly.1 The symptoms of gastroparesis can range from mild to severe, requiring prolonged hospitalizations and interventions, and causing life-threatening complications which can significantly affect the quality of life in affected individuals. It is estimated that close to 6 million Americans suffer from gastroparesis which is more common in women than men.2 The economic impact of gastroparesis can be substantial, with studies reporting 11% of patients disabled due to their gastroparesis symptoms, while another 28.5% reported a loss of yearly income. 3

Nausea without slow gastric emptying may be even more common and has been referred to by many names, including chronic unexplained nausea and vomiting (CUNV), gastroparesis-like syndrome (GLS), functional vomiting, and vomiting of unexplained etiology (VUE). Many of these patients can be classified as having functional dyspepsia (FD) which is a disorder that may affect 10% of the US population.4

“The vagus nerve plays a key role in the regulation of nausea and vomiting,” commented Dr. Jay Pasricha, Professor of Medicine and Neurosciences and Director of the 
Johns Hopkins Center for Neurogastroenterology and principal investigator of the study. “Vagal modulation is currently thought to be a major component of the treatment benefit from an implanted gastric electrical stimulation (GES) device in patients with symptoms of gastroparesis and the planned proof of concept study explores whether a non-invasive hand-held device for vagal modulation can also be effective in reducing the need for traditional rescue medications for patients with unexplained nausea and vomiting.”

“We appreciate  Dr. Pasricha and his team selecting gammaCore (nVNS) for their study,” said  Eric Liebler, Senior Vice President of Neurology at electroCore, Inc. “gammaCore (nVNS) is the first non-invasive, handheld medical device proven to activate the vagus nerve by providing a patented mild electrical stimulation through the skin, and offers a potential alternative to GES that could eliminate significant risks of injury or illness associated with implantation.”

For more information, visit clinicaltrials.gov.

About electroCore, Inc.

electroCore, Inc. is a commercial stage bioelectronic medicine company dedicated to improving patient outcomes through its platform non-invasive vagus nerve stimulation therapy initially focused on the treatment of multiple conditions in neurology. The company’s current indications are for the preventative treatment of cluster headache and migraine and acute treatment of migraine and episodic cluster headache.

For more information, visit www.electrocore.com.

About gammaCoreTM

gammaCoreTM (nVNS) is the first non-invasive, hand-held medical therapy applied at the neck as an adjunctive therapy to treat migraine and cluster headache through the utilization of a mild electrical stimulation to the vagus nerve that passes through the skin. Designed as a portable, easy-to-use technology, gammaCore can be self-administered by patients, as needed, without the potential side effects associated with commonly prescribed drugs. When placed on a patient’s neck over the vagus nerve, gammaCore stimulates the nerve’s afferent fibers, which may lead to a reduction of pain in patients.

gammaCore is FDA cleared in the United States for adjunctive use for the preventive treatment of cluster headache in adult patients, the acute treatment of pain associated with episodic cluster headache in adult patients, and the acute and preventive treatment of migraine in adolescent (ages 12 and older) and adult patients. gammaCore is CE-marked in the European Union for the acute and/or prophylactic treatment of primary headache (Migraine, Cluster Headache, Trigeminal Autonomic Cephalalgias and Hemicrania Continua) and Medication Overuse Headache in adults.

  • gammaCore is contraindicated for patients with:
    • An active implantable medical device, such as a pacemaker, hearing aid implant, or any implanted electronic device
    • A metallic device, such as a stent, bone plate, or bone screw, implanted at or near the neck
    • An open wound, rash, infection, swelling, cut, sore, drug patch, or surgical scar(s) on the neck at the treatment location
  • Safety and efficacy of gammaCore have not been evaluated in the following patients:
    • Patients diagnosed with narrowing of the arteries (carotid atherosclerosis)
    • Patients who have had surgery to cut the vagus nerve in the neck (cervical vagotomy)
    • Pediatric
    • Patients (younger than 12 years)
    • Pregnant women
    • Patients with clinically significant hypertension, hypotension, bradycardia, or tachycardia

Please refer to the gammaCore Instructions for Use for all of the important warnings and precautions before using or prescribing this product.

Forward-Looking Statements

This press release and other written and oral statements made by representatives of electroCore may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements about electroCore’s business prospects and clinical and product development plans; its pipeline or potential markets for its technologies; the timing, outcome and impact of regulatory, clinical and commercial developments; the availability and impact of payer coverage, the potential of nVNS generally and gammaCore in particular to treat symptomatic exacerbation of nausea in patients with gastroparesis and related disorders and other statements that are not historical in nature, particularly those that utilize terminology such as “anticipates,” “will,” “expects,” “believes,” “intends,” other words of similar meaning, derivations of such words and the use of future dates. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the ability to raise the additional funding needed to continue to pursue electroCore’s business and product development plans, the inherent uncertainties associated with developing new products or technologies, the ability to commercialize gammaCore™, the potential impact and effects of COVID-19 on the business of electroCore, electroCore’s results of operations and financial performance, and any measures electroCore has and may take in response to COVID-19 and any expectations electroCore may have with respect thereto, competition in the industry in which electroCore operates and overall market conditions. Any forward-looking statements are made as of the date of this press release, and electroCore assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by law. Investors should consult all of the information set forth herein and should also refer to the risk factor disclosure set forth in the reports and other documents electroCore files with the 
SEC available at www.sec.gov.


1 Camilleri, M; Parkman HP; Shafi MA; Abell T; Gerson L. Clinical guideline: management of gastroparesis. 2013 Jan; 108 (1): 18-37.
2 Rey E, Choung RS, Schleck CD, Zinsmeister AR, Talley NJ, Locke GR III. Prevalence of hidden gastroparesis in the community: the gastroparesis“iceberg”. J Neurogastroenterol Motil. 2012;18:34–42.
3 Lacy BE, Crowell MD, Mathis C, Bauer D, Heinberg LJ. Gastroparesis: quality of life and health care utilization. J Clin Gastroenterol. 2018; 52: 20–24.
4 Harer, K; Pasricha PJ. Chronic Unexplained Nausea and Vomiting or Gastric Neuromuscular Dysfunction (GND) An Update on Nomenclature, Pathophysiology and Treatment and Relationship to Gastroparesis. 2016 Dec; 14 (4): 410-419.


Investors:
Rich CockrellCG Capital
404-736-3838
ecor@cg.capital

or

Media Contact:
Summer Diaz
electroCore
816-401-6333
summer.diaz@electrocore.com

Kratos Defense and Security Solutions (KTOS) – Demonstrates SATCOM Situational Awareness to an Operationally Secure Environment Using Commercial Resources


Kratos Demonstrates SATCOM Situational Awareness to an Operationally Secure Environment Using Commercial Resources

 

U.S. DoD and allied nations effort included roaming capability, electromagnetic interference support and sharing of data through Unified Data Library (UDL)

SAN DIEGO
April 26, 2021 (GLOBE NEWSWIRE) — 
Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS), a leading National Security Solutions provider, announced today that they were the first to successfully exhibit an integrated SATCOM capability providing real-time Situational Awareness (SA) to an operationally secure environment. The demonstration included roaming among different networks to optimize wideband satellite communications (SATCOM) using Enterprise Management and Control (EM&C). EM&C is an effort by the 
DoD to plan, initiate, monitor and restore rapid, automated access to hybrid satellite constellations and networks, operated by various service providers.

The demonstration was part of a multi-national Joint All Domain Command and Control (JADC2) demonstration hosted by 
U.S. European Command, 
U.S. Air Forces in 
Europe and Air Forces Africa, and the 
Department of the Air Force Chief Architect Office. EM&C capabilities provided by Kratos and its industry partners highlighted a means for providing real-time satellite communication end-to-end connectivity status and operational readiness including spectral data, link and equipment status and detecting/geolocating electromagnetic interference (EMI). The event also highlighted a method to restore satellite service in response to interference and the capability to gather and fuse information from sensors and satellites through the 
Unified Data Library (UDL). The UDL is a 
U.S. government owned, cloud-enabled database accessible by the 
DoD and coalition partners. The capabilities available through EM&C are important as they support real-time warfighter communication across domains in times of war or conflict.

LTC Gary Thompson, Chief, Fighting SATCOM Capability Integration, SMC SATCOM Capability Integrator Office said, “This demonstration of EM&C helped the warfighters better understand the key satellite links used for communication and enabled precision identification, characterization, and troubleshooting of interference along the long-haul communication pathways. In addition, utilization of the UDL allowed the sharing of critical information across the joint forces for timely, fused situational awareness and lethality.”

EM&C is an important strategic goal of the military to effectively operate an integrated SATCOM enterprise by increasing assured SATCOM access for the warfighter with legacy and next-generation terminals. It improves the effectiveness of the DoD’s critical SATCOM infrastructure by enhancing resilience and giving more satellite link choices, reducing resource allocation times and improving bandwidth efficiency. Funding for the recent European demonstration was provided through the Air Force Life Cycle Management Center Advanced Battle Management System (ABMS) Broad Agency Announcement, of which Kratos is an award recipient. Kratos’ partnered with 
Knight Sky, LLC for terminal and 
Gateway equipment supporting the Flexible Terminal Interface (FTI), and 
SES Government Solutions (SES GS) to provide SATCOM capacity.

About Kratos Defense & Security Solutions

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) develops and fields transformative, affordable technology, platforms and systems for United States National Security related customers, allies and commercial enterprises. Kratos is changing the way breakthrough technology for these industries are rapidly brought to market through proven commercial and venture capital backed approaches, including proactive research and streamlined development processes. At Kratos, affordability is a technology and we specialize in unmanned systems, satellite communications, cyber security/warfare, microwave electronics, missile defense, hypersonic systems, training, combat systems and next generation turbo jet and turbo fan engine development. For more information go to www.KratosDefense.com.

Notice Regarding Forward-Looking Statements
Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended 
December 27, 2020, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the 
SEC by Kratos.

Press Contact:
Yolanda White
858-812-7302 Direct

Investor Information:
877-934-4687
investor@kratosdefense.com

Source: Kratos Defense & Security Solutions, Inc.

Avivagen Inc. (VIVXF)(VIV:CA) – Receives Largest Single Purchase Order

Monday, April 26, 2021

Avivagen Inc. (VIVXF)(VIV:CA)
Receives Largest Single Purchase Order

Avivagen Inc is a Canadian based company operating in the healthcare sector. It develops science-based, natural health products for animals. It develops and commercializes products for livestock feeds to replace antibiotics for growth promotion and to help prevent disease by supporting the animal’s own health defenses. Its product range includes OxC-beta, Vivamune health chews, Oximunol chewable tablets, and Carotenoid Oxidation products.

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

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

    Order. On Friday, Avivagen announced it had received a purchase order for a single shipment of 4.4 metric tonnes of OxC-beta Livestock. This represents the largest single shipment purchase order of OxC-beta to date and represents a 10% increase in size over the previous record single shipment order. This one order represents more than 40% of the previous year’s total volume. The order continues the momentum seen by Avivagen in the acceptance of OxC-beta as an alternative to antibiotics in animal feed, in our view.

    UNAHCO.  Friday’s order was placed by UNAHCO, one of the earliest adopters of OxC-beta. Since UNAHCO’s first order in November 2016 of 150 kilograms for use in swine feed, UNAHCO’s demand for the product has grown significantly. In April 2020, UNAHCO placed a three tonne order, which was 50% larger than any previous order, only to top that with a four tonne order In October of last year. Including …



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. 

Release – Avivagen (VIVXF)(VIV:CA) – Announces First Purchase Order from Large Integrated Producer in Asia


Avivagen Announces First Purchase Order from Large Integrated Producer in Asia

 

Ottawa, ON / Business Wire/ April 26, 2021 / – Avivagen Inc.  (TSXV:VIV, OTCQB:VIVXF) (“Avivagen”), a life sciences corporation focused on developing and commercializing products for livestock, companion animal and human applications that safely enhances food production and supports immune function, thereby supporting general health and performance, is pleased to announce it has received its first purchase order from a large, integrated livestock producer in Thailand. The customer is a very large, well-known and respected swine and poultry producer in the region. This first purchase order from this customer, while modest in size, comes on the heels of several trials conducted by the customer with sows and piglets over the last nine months, whereby Avivagen’s OxC-betaTM Livestock consistently outperformed any and all competitive alternatives.

“We are very excited about this purchase from a very large and established market leading livestock producer in Thailand,” said Kym Anthony, Avivagen’s CEO.  “It is our belief that this first purchase, similar to our experience with UNAHCO, will lead to a growing rollout over the coming quarters and years by the customer and is likely to influence other producers in the region to adopt our product. The real world evidence of the benefits of our product are leading to more customer wins and growing adoption of our OxC-beta™ Livestock product.”

With annual livestock feed production in 2020 of 21million tonnes[i] Thailand is an important market opportunity for Avivagen, not only due to its size but the fact that Thailand’s largest livestock export market remains the European Union, where AGPs (Antibiotics as Growth Promoters) have been banned since 2010

About OxC-beta™ Technology and OxC-beta™ Livestock

Avivagen’s OxC-beta™ technology is derived from Avivagen discoveries about ?-carotene and other carotenoids, compounds that give certain fruits and vegetables their bright colours. Through support of immune function the technology provides a non-antibiotic means of promoting health and growth. OxC-beta™ Livestock is a proprietary product shown to be an effective and economic alternative to the antibiotics commonly added to livestock feeds. The product is currently available for sale in the United States, Philippines, Mexico, Taiwan, New Zealand, Thailand, Brazil, Australia and Malaysia.

Avivagen’s OxC-beta™ Livestock product is safe, effective and could fulfill the global mandate to remove all in-feed antibiotics as growth promoters. Numerous international livestock trials with poultry and swine using OxC-beta™ Livestock have proven that the product performs as well as, and, sometimes, in some aspects, better than in-feed antibiotics.

About Avivagen

Avivagen is a life sciences corporation focused on developing and commercializing products for livestock, companion animal and human applications that, by safely supporting immune function, promote general health and performance.  It is a public corporation traded on the TSX Venture Exchange under the symbol VIV and is headquartered in Ottawa, Canada, based in partnership facilities of the National Research Council of Canada. For more information, visit www.avivagen.com. The contents of the website are expressly not incorporated by reference in this press release.

Forward Looking Statements

This news release includes certain forward-looking statements that are based upon the current expectations of management. Forward-looking statements involve risks and uncertainties associated with the business of Avivagen Inc. and the environment in which the business operates. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions aim”, anticipate”, appear”, believe”, consider”, could”, estimate”, expect”, if”, intend”, goal”, hope”, likely”, may”, plan”, possibly”, potentially”, pursue”, seem”, should”, whether”, will”, would” and similar expressions. Statements set out in this news release relating to the future delivery of product based on the purchase order received, Avivagen’s expectations as to growth of its branding in certain jurisdictions, continued distribution and acceptance of Avivagen’s technology, anticipated growth in demand for Avivagen’s products,  the possibility for OxC-beta™ Livestock to replace antibiotics in livestock feeds as well as fill a critical need for health support in certain livestock applications where antibiotics are precluded and the size of market opportunities are all forward-looking statements. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. For instance, the order described may not result in new orders for Avivagens products,  the customer plans may change due to many reasons Avivagens products may not gain market acceptance or regulatory approval in new jurisdictions or for new applications and may not be widely accepted as a replacement for antibiotics in livestock feeds,  and fulfillment of the order may be delayed beyond current expectation, or in the worst case cancelled, in each case due to many factors, many of which are outside of Avivagens control.  Readers are referred to the risk factors associated with the business of Avivagen set out in Avivagens most recent managements discussion and analysis of financial condition available at www.SEDAR.com. Except as required by law, Avivagen assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.

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

For more information:

Avivagen Inc.
Drew Basek
Director of Investor Relations
100 Sussex Drive, Ottawa, Ontario, Canada K1A 0R6
Phone: 416-540-0733
E-mail: d.basek@avivagen.com

Kym Anthony
Chief Executive Officer
100 Sussex Drive, Ottawa, Ontario, Canada K1A 0R6
Head Office Phone: 613-949-8164
Website: www.avivagen.com

Is ESG and B Corp. Investing Smart?

 


ESG, B Corps, and Investors

 

ESG investing and its accelerated rise show that people see purpose in putting their money where their values are or by following a growing investment trend – in many cases both. Companies are certainly aware of the movement and are working to establish themselves as fitting ESG investment criteria. Increasingly companies are altering the impact of their daily operations, and investors are noticing and reacting. According to the most recent biennial report from the United States Forum for Sustainable and Responsible Investment (US SIF), total US-domiciled assets under management employing ESG investing strategies increased 42 percent over the past two years, to $17 trillion in 2020, up from $12 trillion at the start of 2018.

The increased levels of adoption of ESG standards reporting have taken their cue from consumer demand, as customers and investors direct their dollars towards organizations that support this popular trend and away from others. Social governance and environmental standards are becoming the new norm as new companies develop in the mold and older companies innovate to capitalize on the movement of business towards these standards.

 Environmental, Social, Governance

MSCI has the tag line “Powering better investment for a better world,” their framework has currently taken the lead to shape understanding of the specific aspects of the operations that fall under “ESG”. The environmental (E) factors include measurements like carbon emissions in a company’s transport and logistics, the efficiency of their energy sources, and, particularly in the case of F&B companies, water usage. Social (S) factors relate to how the company treats its employees and diversity in leadership. Governance (G) indicators take a look at issues like share class structure, data security, and government structure.

 

 

In the past, it may have seemed that standards of accountability inhibited performance. However, as consumers and businesses alike adopt such standards, ESG rankings may actually point to the long-term viability of a company. According to research from MSCI, companies in the bottom ESG quintile have been twice as likely to suffer a catastrophic loss (over 95% cumulative loss) within three years.

 

B Corps

Many companies have also gone beyond the ESG standards and have now established themselves as B Corps. This certifies them as “benefit corporations” compliant with the standards of B Lab, a Pennsylvania-based business research organization that has set standards around corporate impact. According to B Lab, B Corp members in the U.K. have experienced an average YoY 14% growth rate, about 28x higher than the national average. For example, Leading B Corps rise are fast-moving consumer goods (FMCG or CPG) brands that grew 21% on average in 2017 compared to a national average of 3% across their respective sectors.

In 2016, MSCI downgraded Equifax’s ESG rating due to concerns about data privacy and cybersecurity. Almost exactly a year later, Equifax announced the data breach that compromised the personal information of 147 million people.

 

Take-Away

Beyond “greenwashing” and hollow corporate social responsibility, ESG frameworks have become increasingly integrated into business operations. Undoubtedly, a high ESG ranking also gives way to higher brand equity today and marketing campaigns can be designed around to appeal to the trend.  

In 2021, carrying a high ESG rating benefits a company in more ways than one. For investors, the trend is an added category worth reviewing; from an investment standpoint, this is where the attention is currently.

 

About the Author:

Laila Jiwani is a freelance writer specializing in topics related to social finance and international economic trends. Currently based in Dallas, Texas, she is an Erasmus Mundus Joint Master’s Graduate and has worked for economic development organizations in the U.S., Morocco, Kenya, Pakistan and Kyrgyzstan.

 

Suggested Reading:

Five Reasons Investors Increasingly Use ESG Standards

Expect 500,000 Fewer U.S. Births in 2021



Can Mining be Green and Sustainable?

Can Small Investors Compete With Wall Street?

 

Sources:

https://www.msci.com/who-we-are/about-us

https://bcorporation.net/

https://hbr.org/2016/06/why-companies-are-becoming-b-corporations

https://www.forbes.com/sites/jasonbisnoff/2020/12/14/esg-investing-a-sizzling-sector-that-will-get-even–hotter-under-president-biden/?sh=69ad80c23302

https://netimpactboston.wordpress.com/2015/03/12/b-corp-interview-anne-sherman-staach

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Avivagen (VIVXF)(VIV:CA) – Announces First Purchase Order from Large Integrated Producer in Asia


Avivagen Announces First Purchase Order from Large Integrated Producer in Asia

 

Ottawa, ON / Business Wire/ April 26, 2021 / – Avivagen Inc.  (TSXV:VIV, OTCQB:VIVXF) (“Avivagen”), a life sciences corporation focused on developing and commercializing products for livestock, companion animal and human applications that safely enhances food production and supports immune function, thereby supporting general health and performance, is pleased to announce it has received its first purchase order from a large, integrated livestock producer in Thailand. The customer is a very large, well-known and respected swine and poultry producer in the region. This first purchase order from this customer, while modest in size, comes on the heels of several trials conducted by the customer with sows and piglets over the last nine months, whereby Avivagen’s OxC-betaTM Livestock consistently outperformed any and all competitive alternatives.

“We are very excited about this purchase from a very large and established market leading livestock producer in Thailand,” said Kym Anthony, Avivagen’s CEO.  “It is our belief that this first purchase, similar to our experience with UNAHCO, will lead to a growing rollout over the coming quarters and years by the customer and is likely to influence other producers in the region to adopt our product. The real world evidence of the benefits of our product are leading to more customer wins and growing adoption of our OxC-beta™ Livestock product.”

With annual livestock feed production in 2020 of 21million tonnes[i] Thailand is an important market opportunity for Avivagen, not only due to its size but the fact that Thailand’s largest livestock export market remains the European Union, where AGPs (Antibiotics as Growth Promoters) have been banned since 2010

About OxC-beta™ Technology and OxC-beta™ Livestock

Avivagen’s OxC-beta™ technology is derived from Avivagen discoveries about ?-carotene and other carotenoids, compounds that give certain fruits and vegetables their bright colours. Through support of immune function the technology provides a non-antibiotic means of promoting health and growth. OxC-beta™ Livestock is a proprietary product shown to be an effective and economic alternative to the antibiotics commonly added to livestock feeds. The product is currently available for sale in the United States, Philippines, Mexico, Taiwan, New Zealand, Thailand, Brazil, Australia and Malaysia.

Avivagen’s OxC-beta™ Livestock product is safe, effective and could fulfill the global mandate to remove all in-feed antibiotics as growth promoters. Numerous international livestock trials with poultry and swine using OxC-beta™ Livestock have proven that the product performs as well as, and, sometimes, in some aspects, better than in-feed antibiotics.

About Avivagen

Avivagen is a life sciences corporation focused on developing and commercializing products for livestock, companion animal and human applications that, by safely supporting immune function, promote general health and performance.  It is a public corporation traded on the TSX Venture Exchange under the symbol VIV and is headquartered in Ottawa, Canada, based in partnership facilities of the National Research Council of Canada. For more information, visit www.avivagen.com. The contents of the website are expressly not incorporated by reference in this press release.

Forward Looking Statements

This news release includes certain forward-looking statements that are based upon the current expectations of management. Forward-looking statements involve risks and uncertainties associated with the business of Avivagen Inc. and the environment in which the business operates. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions aim”, anticipate”, appear”, believe”, consider”, could”, estimate”, expect”, if”, intend”, goal”, hope”, likely”, may”, plan”, possibly”, potentially”, pursue”, seem”, should”, whether”, will”, would” and similar expressions. Statements set out in this news release relating to the future delivery of product based on the purchase order received, Avivagen’s expectations as to growth of its branding in certain jurisdictions, continued distribution and acceptance of Avivagen’s technology, anticipated growth in demand for Avivagen’s products,  the possibility for OxC-beta™ Livestock to replace antibiotics in livestock feeds as well as fill a critical need for health support in certain livestock applications where antibiotics are precluded and the size of market opportunities are all forward-looking statements. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. For instance, the order described may not result in new orders for Avivagens products,  the customer plans may change due to many reasons Avivagens products may not gain market acceptance or regulatory approval in new jurisdictions or for new applications and may not be widely accepted as a replacement for antibiotics in livestock feeds,  and fulfillment of the order may be delayed beyond current expectation, or in the worst case cancelled, in each case due to many factors, many of which are outside of Avivagens control.  Readers are referred to the risk factors associated with the business of Avivagen set out in Avivagens most recent managements discussion and analysis of financial condition available at www.SEDAR.com. Except as required by law, Avivagen assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.

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

For more information:

Avivagen Inc.
Drew Basek
Director of Investor Relations
100 Sussex Drive, Ottawa, Ontario, Canada K1A 0R6
Phone: 416-540-0733
E-mail: d.basek@avivagen.com

Kym Anthony
Chief Executive Officer
100 Sussex Drive, Ottawa, Ontario, Canada K1A 0R6
Head Office Phone: 613-949-8164
Website: www.avivagen.com

electroCore Inc. (ECOR) – Announces Johns Hopkins University School of Medicine Study of Non-Invasive Vagus Nerve Stimulation (nVNS) for Symptomatic Exacerbation of Nausea in Patients with Gastroparesis and Related Disorders


electroCore, Inc. Announces Johns Hopkins University School of Medicine Study of Non-Invasive Vagus Nerve Stimulation (nVNS) for Symptomatic Exacerbation of Nausea in Patients with Gastroparesis and Related Disorders

 

ROCKAWAY, NJ
April 26, 2021 (GLOBE NEWSWIRE) —  — 
electroCore, Inc. (Nasdaq: ECOR), a commercial-stage bioelectronic medicine company, today announced that 
Johns Hopkins University School of Medicine is starting an investigator-initiated trial of non-invasive vagus nerve stimulation (nVNS) using the Company’s proprietary gammaCore device to treat symptomatic exacerbation of nausea in patients with gastroparesis and related disorders (NCT04857281).

Many gastrointestinal disorders can cause nausea and vomiting, of which the most well-known is gastroparesis, a digestive disorder in which the stomach empties slowly.1 The symptoms of gastroparesis can range from mild to severe, requiring prolonged hospitalizations and interventions, and causing life-threatening complications which can significantly affect the quality of life in affected individuals. It is estimated that close to 6 million Americans suffer from gastroparesis which is more common in women than men.2 The economic impact of gastroparesis can be substantial, with studies reporting 11% of patients disabled due to their gastroparesis symptoms, while another 28.5% reported a loss of yearly income. 3

Nausea without slow gastric emptying may be even more common and has been referred to by many names, including chronic unexplained nausea and vomiting (CUNV), gastroparesis-like syndrome (GLS), functional vomiting, and vomiting of unexplained etiology (VUE). Many of these patients can be classified as having functional dyspepsia (FD) which is a disorder that may affect 10% of the US population.4

“The vagus nerve plays a key role in the regulation of nausea and vomiting,” commented Dr. Jay Pasricha, Professor of Medicine and Neurosciences and Director of the 
Johns Hopkins Center for Neurogastroenterology and principal investigator of the study. “Vagal modulation is currently thought to be a major component of the treatment benefit from an implanted gastric electrical stimulation (GES) device in patients with symptoms of gastroparesis and the planned proof of concept study explores whether a non-invasive hand-held device for vagal modulation can also be effective in reducing the need for traditional rescue medications for patients with unexplained nausea and vomiting.”

“We appreciate  Dr. Pasricha and his team selecting gammaCore (nVNS) for their study,” said  Eric Liebler, Senior Vice President of Neurology at electroCore, Inc. “gammaCore (nVNS) is the first non-invasive, handheld medical device proven to activate the vagus nerve by providing a patented mild electrical stimulation through the skin, and offers a potential alternative to GES that could eliminate significant risks of injury or illness associated with implantation.”

For more information, visit clinicaltrials.gov.

About electroCore, Inc.

electroCore, Inc. is a commercial stage bioelectronic medicine company dedicated to improving patient outcomes through its platform non-invasive vagus nerve stimulation therapy initially focused on the treatment of multiple conditions in neurology. The company’s current indications are for the preventative treatment of cluster headache and migraine and acute treatment of migraine and episodic cluster headache.

For more information, visit www.electrocore.com.

About gammaCoreTM

gammaCoreTM (nVNS) is the first non-invasive, hand-held medical therapy applied at the neck as an adjunctive therapy to treat migraine and cluster headache through the utilization of a mild electrical stimulation to the vagus nerve that passes through the skin. Designed as a portable, easy-to-use technology, gammaCore can be self-administered by patients, as needed, without the potential side effects associated with commonly prescribed drugs. When placed on a patient’s neck over the vagus nerve, gammaCore stimulates the nerve’s afferent fibers, which may lead to a reduction of pain in patients.

gammaCore is FDA cleared in the United States for adjunctive use for the preventive treatment of cluster headache in adult patients, the acute treatment of pain associated with episodic cluster headache in adult patients, and the acute and preventive treatment of migraine in adolescent (ages 12 and older) and adult patients. gammaCore is CE-marked in the European Union for the acute and/or prophylactic treatment of primary headache (Migraine, Cluster Headache, Trigeminal Autonomic Cephalalgias and Hemicrania Continua) and Medication Overuse Headache in adults.

  • gammaCore is contraindicated for patients with:
    • An active implantable medical device, such as a pacemaker, hearing aid implant, or any implanted electronic device
    • A metallic device, such as a stent, bone plate, or bone screw, implanted at or near the neck
    • An open wound, rash, infection, swelling, cut, sore, drug patch, or surgical scar(s) on the neck at the treatment location
  • Safety and efficacy of gammaCore have not been evaluated in the following patients:
    • Patients diagnosed with narrowing of the arteries (carotid atherosclerosis)
    • Patients who have had surgery to cut the vagus nerve in the neck (cervical vagotomy)
    • Pediatric
    • Patients (younger than 12 years)
    • Pregnant women
    • Patients with clinically significant hypertension, hypotension, bradycardia, or tachycardia

Please refer to the gammaCore Instructions for Use for all of the important warnings and precautions before using or prescribing this product.

Forward-Looking Statements

This press release and other written and oral statements made by representatives of electroCore may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements about electroCore’s business prospects and clinical and product development plans; its pipeline or potential markets for its technologies; the timing, outcome and impact of regulatory, clinical and commercial developments; the availability and impact of payer coverage, the potential of nVNS generally and gammaCore in particular to treat symptomatic exacerbation of nausea in patients with gastroparesis and related disorders and other statements that are not historical in nature, particularly those that utilize terminology such as “anticipates,” “will,” “expects,” “believes,” “intends,” other words of similar meaning, derivations of such words and the use of future dates. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the ability to raise the additional funding needed to continue to pursue electroCore’s business and product development plans, the inherent uncertainties associated with developing new products or technologies, the ability to commercialize gammaCore™, the potential impact and effects of COVID-19 on the business of electroCore, electroCore’s results of operations and financial performance, and any measures electroCore has and may take in response to COVID-19 and any expectations electroCore may have with respect thereto, competition in the industry in which electroCore operates and overall market conditions. Any forward-looking statements are made as of the date of this press release, and electroCore assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by law. Investors should consult all of the information set forth herein and should also refer to the risk factor disclosure set forth in the reports and other documents electroCore files with the 
SEC available at www.sec.gov.


1 Camilleri, M; Parkman HP; Shafi MA; Abell T; Gerson L. Clinical guideline: management of gastroparesis. 2013 Jan; 108 (1): 18-37.
2 Rey E, Choung RS, Schleck CD, Zinsmeister AR, Talley NJ, Locke GR III. Prevalence of hidden gastroparesis in the community: the gastroparesis“iceberg”. J Neurogastroenterol Motil. 2012;18:34–42.
3 Lacy BE, Crowell MD, Mathis C, Bauer D, Heinberg LJ. Gastroparesis: quality of life and health care utilization. J Clin Gastroenterol. 2018; 52: 20–24.
4 Harer, K; Pasricha PJ. Chronic Unexplained Nausea and Vomiting or Gastric Neuromuscular Dysfunction (GND) An Update on Nomenclature, Pathophysiology and Treatment and Relationship to Gastroparesis. 2016 Dec; 14 (4): 410-419.


Investors:
Rich CockrellCG Capital
404-736-3838
ecor@cg.capital

or

Media Contact:
Summer Diaz
electroCore
816-401-6333
summer.diaz@electrocore.com

DLH Holdings Corp. (DLHC) – Awarded VA-CMOP Logistics

Monday, April 26, 2021

DLH Holdings Corp. (DLHC)
Awarded VA-CMOP Logistics

DLH Holdings Corp is a provider of technology-enabled business process outsourcing and program management solutions in the United States. The company offers services to several government agencies which include the Department of veteran affairs, Department of health and human services, Department of Defense and other government agencies. It operates primarily through prime contracts and also derives its revenue from agencies of the federal government, primarily as a prime contractor but also as a subcontractor to other Federal prime contractors.

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

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

    CMOP Award. On Friday, DLH announced its had won the follow-on contract for CMOP medical logistics for the VA. This contract had originally been targeted for small businesses but the VA eventually removed all set-aside tiers and awarded the contract to incumbent DLH. This program processed over 120 million prescriptions in 2020 from seven geographical locations nationwide. We believe Friday’s announcement positions the Company to win the remaining CMOP award for pharmacy services still outstanding.

    Contract Details.  The contract includes a base period of one year, with four one year options. Total value of the contract, assuming all options are exercised is $202 million. The contract value is in-line with the previous contracts, which generated $43.7 million and $39.4 million of revenue in fiscal 2020 and fiscal 2019 for DLH …



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. 

Do Microcap Stocks Provide Better Diversification?

 


The Asset Allocation Role of Microcap Stocks

Investments in microcaps and even the smaller end of small-cap stocks have historically received less attention than mid-cap and large-cap companies. Noteworthy reasons for this include less scalability for large fund managers; also, microcaps often have less coverage on the research side. Another impactful oddity is that many worthwhile small companies lack a position in the “investment style box.”

Scalability, research and analysis, and not fitting neatly into the recognized style box all depress interest, awareness, and understanding of companies. Astute, individual investors can take advantage of the less talked about microcap sector and at the same time add diversification that could help key measures of performance.

 

Scalability

Imagine you’re an equity portfolio manager and have found the “secret sauce” to stock picking. You’ve backtested to 5 years with a $100,000 portfolio and the results have averaged 60% winners with a 42% average gain, and the losers and breakeven trades average just a 6% loss. With these results, your firm seeds an account with $10,000. and you now begin to test your methodology with live “ammo.” The methods driving your results include a mix of using trusted third-party fundamental analysis on small company stocks, then a common chart setup to find an entry point. After six months, your results aren’t quite as favorable relative to benchmarks as they had been, but still well ahead of the major market indexes.

The money management firm you work for has been reviewing your results and has now decided to create a fund around your investment style. They market the microcap fund heavily and over time, with very good performance, it attracts a few hundred million in assets.

With each large inflow to the fund, you find fewer opportunities because your original tested methods had a smaller universe, basically being nimble with large dollar amounts is more difficult. Even worse, whereas scaling into a position over the course of a few days with $2,000-$5,000 allowed decent price execution, doing the same with $75,000 – $250,000 or more tends to lift the stock price to the point where the trade may no longer be feasible if the size is available at all.

Unlike markets where having more to spend gives you price preference or negotiation power, with smaller, less liquid companies, small investors have an advantage. Your $10,000 “test” account with a 5% limit per name was able to outperform consistently. The exact same methods but with 100x the assets or more have watered down the success rate dramatically.

This is why there aren’t hundreds of funds run by large companies in this sector. The supply and demand issue would be too challenging. And since the big firms are the ones that push to get on TV to discuss their performance while they bombard you with paid ads, it is their products and stock picks that get far more coverage. This doesn’t mean there aren’t very successful small and microcap money managers, they don’t often get invited on to a major financial TV show as they aren’t big advertisers or even in need of adding hundreds of millions to any one of their portfolios.

 

 

Available Equity Research

The firms that do manage funds and portfolios that specialize in smaller companies rely on their understanding of the company fundamentals. This is another reason individuals may not be taking full advantage of smaller companies – the average investor simply doesn’t find much information written on them, and most investors aren’t capable of digging into the firm’s business model, their financials, or inviting themselves to meetings with management.

So, an asset management firm with in-house analysis can find stocks that are necessarily overlooked by large funds because of scalability, yet the stocks that represent great value can achieve outsized performance.  They are the players with “better” information and opportunity.

Fortunately for those transacting for smaller pools of money or even themselves, if they understand the value of investing in less correlated (vs. S&P 500) assets, they can now find well-presented research from veteran analysts with bulge-bracket firm pedigree. This top-tier analysis, coupled with low or no-cost brokerage trades, makes small company stocks well worth considering for a prudent portion of an overall asset mix.

 

Style Box

Since 1992 Morningstar and others that adopted the style box grid have taught investors to think of nine different categories of stock market investing. At the time Morningstar served those evaluating mutual funds, so the simplicity of boiling it down to a few columns made investor choices easy. However, the reduced complexity is oversimplified and ignores important sectors that can’t easily be scaled up into large mutual funds. There is a reason people are always encouraged to “think outside the box,” for many, it isn’t natural to look beyond what is put in front of them. If we round the style box up to a dozen options we could allow investors to visually see how they could improve diversification.

Fortunately, much of this is changing as self-directed investors become more sophisticated and begin to recognize that unless they’re allocating tens of millions of their own money, the case for microcap investments, both as a standalone asset class and for the role it can play as a less correlated allocation is compelling and worth considering as research becomes more widely available.

 

Take-Away

Individuals and small money managers aren’t being exposed to an option that may well suit them. The reasons are that media coverage is far less, the effort to uncover opportunities may be a bit higher, and they may be mentally stuck inside of a style box that was designed to serve the mutual fund industry. Resources available for people to manage their own portfolios have grown alongside technological advances.  Not all resources are of the same quality, but top-tier equity research and execution of trades now can be found without a cost to individuals.

Channelchek is a resource for exploring opportunities in the small and microcap space. With a growing list of companies covered by top-tier analysts, it is worth regular visits to the website to help find ideas to enhance and diversify your portfolio outside of the very dated box.

 

Paul Hoffman

Managing Editor, Channelchek

 

Suggested Reading:

Money Supply is Like Caffeine for Stocks

IRA Investments and Small-Small Cap Stocks



Small-Cap Names in a Big Crypto Market

Managing Investment Portfolio Risk

 

Source:

https://en.wikipedia.org/wiki/Morningstar_Style_Box

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