Michael Heim, CFA, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
We believe the market is undervaluing Hemisphere Energy’s asset base cash flow generation. We believe the stock price will move towards our price target as the company generates operating cash flow that is used to expand operations and return capital to shareholders. We view the investment as fairly low risk because it is expanding operations is an area that is well known and already providing high returns on investment.
Strong production growth. Production increased 55% in 2022 and management expects production to grow another 10-15% in 2023 in response to the addition of new wells. Unless there is a dramatic drop in oil prices, we believe the company will be able to maintain a double-digit production growth rate for the foreseeable future. Longer-term growth may be dependent upon completing a step-out acquisition to increase the company’s drilling locations.
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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.
Bassett Furniture Industries, Incorporated manufactures, markets, and retails home furnishings in the United States. The company operates in three segments: Wholesale, Retail, and Logistical Services. It is involved in the design, manufacture, sourcing, sale, and distribution of furniture products to a network of company-owned and licensee-owned Bassett Home Furnishings (BHF) retail stores, as well as independent furniture retailers; and wood and upholstery operations. As of September 16, 2017, the company operated a network of 91 company-and licensee-owned stores. It also provides shipping, delivery, and warehousing services to customers in the furniture industry. In addition, the company owns and leases retail store properties. It also distributes its products through other multi-line furniture stores, Bassett galleries or design centers, specialty stores, and mass merchants. Bassett Furniture Industries was founded in 1902 and is based in Bassett, Virginia.
Joe Gomes, Managing Director – Generalist Analyst, Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
1Q23 Results. Bassett missed on both our top and bottom line projections as the hangover from 2022 continued. The Company reported revenue of $107.7 million, short of our $111 million estimate, and down 8.6% y-o-y. Wholesale revenue declined 16%, while Retail revenue rose 1.3%. Operating income was $2.7 million, down from $6.5 million in 1Q22. Bassett reported net income of $1.4 million, or $0.16 per share, compared to net income from continuing operations of $4.3 million, or $0.44 per share, in the prior year. We had forecast EPS of $0.30.
Operating Environment. The post-COVID operating environment remains challenging. While backlog levels have returned to more normalized levels, the Company continues to work through higher cost inventory as well as a shift in consumer dollars away from furniture. Wholesale orders fell 18% y-o-y in 1Q23, while retail written orders were off 16% y-o-y.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
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.
Mark Reichman, Senior Research Analyst, Natural Resources, Noble Capital Markets, Inc.
Refer to the bottom of the report for important disclosures
Gold shined during the first quarter. During the first quarter, mining companies (as measured by the XME) appreciated 6.7% compared to a gain of 7.0% for the S&P 500 index. The VanEck Vectors Gold Miners (GDX) and Junior Gold Miners (GDXJ) ETFs were up 12.9% and 10.8%, respectively. Gold, silver, and copper futures prices gained 7.8%, 0.5%, and 7.4%, respectively, while lead and zinc declined 3.6% and 4.3%, respectively. Despite continuing rate hikes by the Federal Reserve, turmoil in the banking sector, along with the market’s speculation of its potential impact on Federal Reserve monetary policy, enhanced gold’s appeal. Weakness in base metals, with the exception of copper, may be attributed to slowing economic growth and the potential for an economic downturn. In 2022, the price of copper declined 13.2% and so it was likely due for a rebound.
Further upside to the gold price? Assuming worries about the U.S. banking system abate, we think gold could give up some of its recent gains although we remain constructive on precious metals. After peaking in early March, the yield on the 10-year treasury note and the U.S. Dollar Index reversed course with the yield on the treasury ending at 3.49% compared to 3.88% at the end of 2022 and the U.S. dollar Index down 1% during the quarter. Most of this was the result of the recent banking turmoil. While we continue to believe interest rates could peak by mid-year, the big question is how long before they begin easing rates. This will obviously depend on economic conditions, the inflation rate, and employment.
Outlook for industrial metals. While the long-term investment case for owning industrial metals mining companies remains favorable, it may be too early to offer a bullish call due to near-term concerns about economic growth in the U.S. and abroad. During the recent Prospectors & Developers Association of Canada (PDAC) convention, key themes in the keynote presentations were electrification and growing demand for critical minerals and battery metals, including cobalt, copper, lithium, magnesium, and nickel, critical to securing a decarbonized future with broad applications in electric vehicles, charging infrastructure, solar power, and wind turbines.
Conclusion. We think precious metals mining companies, notably juniors, continue to offer attractive return potential. While the near-term outlook for industrial metals could be negatively impacted by near-term macroeconomic factors, an eventual return to economic growth could result in strong prices due to potential supply and demand imbalances.
GENERAL DISCLAIMERS
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IMPORTANT DISCLOSURES
This publication is confidential for the information of the addressee only and may not be reproduced in whole or in part, copies circulated, or discussed to another party, without the written consent of Noble Capital Markets, Inc. (“Noble”). Noble seeks to update its research as appropriate, but may be unable to do so based upon various regulatory constraints. Research reports are not published at regular intervals; publication times and dates are based upon the analyst’s judgement. Noble professionals including traders, salespeople and investment bankers may provide written or oral market commentary, or discuss trading strategies to Noble clients and the Noble proprietary trading desk that reflect opinions that are contrary to the opinions expressed in this research report. The majority of companies that Noble follows are emerging growth companies. Securities in these companies involve a higher degree of risk and more volatility than the securities of more established companies. The securities discussed in Noble research reports may not be suitable for some investors and as such, investors must take extra care and make their own determination of the appropriateness of an investment based upon risk tolerance, investment objectives and financial status.
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ANALYST CREDENTIALS, PROFESSIONAL DESIGNATIONS, AND EXPERIENCE
Senior Equity Analyst focusing on Basic Materials & Mining. 20 years of experience in equity research. BA in Business Administration from Westminster College. MBA with a Finance concentration from the University of Missouri. MA in International Affairs from Washington University in St. Louis. Named WSJ ‘Best on the Street’ Analyst and Forbes/StarMine’s “Best Brokerage Analyst.” FINRA licenses 7, 24, 63, 87
WARNING
This report is intended to provide general securities advice, and does not purport to make any recommendation that any securities transaction is appropriate for any recipient particular investment objectives, financial situation or particular needs. Prior to making any investment decision, recipients should assess, or seek advice from their advisors, on whether any relevant part of this report is appropriate to their individual circumstances. If a recipient was referred to Noble Capital Markets, Inc. by an investment advisor, that advisor may receive a benefit in respect of transactions effected on the recipients behalf, details of which will be available on request in regard to a transaction that involves a personalized securities recommendation. Additional risks associated with the security mentioned in this report that might impede achievement of the target can be found in its initial report issued by Noble Capital Markets, Inc.. This report may not be reproduced, distributed or published for any purpose unless authorized by Noble Capital Markets, Inc..
RESEARCH ANALYST CERTIFICATION
Independence Of View All views expressed in this report accurately reflect my personal views about the subject securities or issuers.
Receipt of Compensation No part of my compensation was, is, or will be directly or indirectly related to any specific recommendations or views expressed in the public appearance and/or research report.
Ownership and Material Conflicts of Interest Neither I nor anybody in my household has a financial interest in the securities of the subject company or any other company mentioned in this report.
Engineers at MIT and the University of Massachusetts Medical School have designed a new type of nanoparticle that can be administered to the lungs, where it can deliver messenger RNA encoding useful proteins.
With further development, these particles could offer an inhalable treatment for cystic fibrosis and other diseases of the lung, the researchers say.
“This is the first demonstration of highly efficient delivery of RNA to the lungs in mice. We are hopeful that it can be used to treat or repair a range of genetic diseases, including cystic fibrosis,” says Daniel Anderson, a professor in MIT’s Department of Chemical Engineering and a member of MIT’s Koch Institute for Integrative Cancer Research and Institute for Medical Engineering and Science (IMES).
In a study of mice, Anderson and his colleagues used the particles to deliver mRNA encoding the machinery needed for CRISPR/Cas9 gene editing. That could open the door to designing therapeutic nanoparticles that can snip out and replace disease-causing genes.
The senior authors of the study, which appears today in Nature Biotechnology, are Anderson; Robert Langer, the David H. Koch Institute Professor at MIT; and Wen Xue, an associate professor at the UMass Medical School RNA Therapeutics Institute. Bowen Li, a former MIT postdoc who is now an assistant professor at the University of Toronto; Rajith Singh Manan, an MIT postdoc; and Shun-Qing Liang, a postdoc at UMass Medical School, are paper’s lead authors.
Targeting the Lungs
Messenger RNA holds great potential as a therapeutic for treating a variety of diseases caused by faulty genes. One obstacle to its deployment thus far has been difficulty in delivering it to the right part of the body, without off-target effects. Injected nanoparticles often accumulate in the liver, so several clinical trials evaluating potential mRNA treatments for diseases of the liver are now underway. RNA-based Covid-19 vaccines, which are injected directly into muscle tissue, have also proven effective. In many of those cases, mRNA is encapsulated in a lipid nanoparticle — a fatty sphere that protects mRNA from being broken down prematurely and helps it enter target cells.
Several years ago, Anderson’s lab set out to design particles that would be better able to transfect the epithelial cells that make up most of the lining of the lungs. In 2019, his lab created nanoparticles that could deliver mRNA encoding a bioluminescent protein to lung cells. Those particles were made from polymers instead of lipids, which made them easier to aerosolize for inhalation into the lungs. However, more work is needed on those particles to increase their potency and maximize their usefulness.
In their new study, the researchers set out to develop lipid nanoparticles that could target the lungs. The particles are made up of molecules that contain two parts: a positively charged headgroup and a long lipid tail. The positive charge of the headgroup helps the particles to interact with negatively charged mRNA, and it also help mRNA to escape from the cellular structures that engulf the particles once they enter cells.
The lipid tail structure, meanwhile, helps the particles to pass through the cell membrane. The researchers came up with 10 different chemical structures for the lipid tails, along with 72 different headgroups. By screening different combinations of these structures in mice, the researchers were able to identify those that were most likely to reach the lungs.
Efficient Delivery
In further tests in mice, the researchers showed that they could use the particles to deliver mRNA encoding CRISPR/Cas9 components designed to cut out a stop signal that was genetically encoded into the animals’ lung cells. When that stop signal is removed, a gene for a fluorescent protein turns on. Measuring this fluorescent signal allows the researchers to determine what percentage of the cells successfully expressed the mRNA.
After one dose of mRNA, about 40 percent of lung epithelial cells were transfected, the researchers found. Two doses brought the level to more than 50 percent, and three doses up to 60 percent. The most important targets for treating lung disease are two types of epithelial cells called club cells and ciliated cells, and each of these was transfected at about 15 percent.
“This means that the cells we were able to edit are really the cells of interest for lung disease,” Li says. “This lipid can enable us to deliver mRNA to the lung much more efficiently than any other delivery system that has been reported so far.”
The new particles also break down quickly, allowing them to be cleared from the lung within a few days and reducing the risk of inflammation. The particles could also be delivered multiple times to the same patient if repeat doses are needed. This gives them an advantage over another approach to delivering mRNA, which uses a modified version of harmless adenoviruses. Those viruses are very effective at delivering RNA but can’t be given repeatedly because they induce an immune response in the host.
“This achievement paves the way for promising therapeutic lung gene delivery applications for various lung diseases,” says Dan Peer, director of the Laboratory of Precision NanoMedicine at Tel Aviv University, who was not involved in the study. “This platform holds several advantages compared to conventional vaccines and therapies, including that it’s cell-free, enables rapid manufacturing, and has high versatility and a favorable safety profile.”
To deliver the particles in this study, the researchers used a method called intratracheal instillation, which is often used as a way to model delivery of medication to the lungs. They are now working on making their nanoparticles more stable, so they could be aerosolized and inhaled using a nebulizer.
The researchers also plan to test the particles to deliver mRNA that could correct the genetic mutation found in the gene that causes cystic fibrosis, in a mouse model of the disease. They also hope to develop treatments for other lung diseases, such as idiopathic pulmonary fibrosis, as well as mRNA vaccines that could be delivered directly to the lungs.
The research was funded by Translate Bio, the National Institutes of Health, the Leslie Dan Faculty of Pharmacy startup fund, a PRiME Postdoctoral Fellowship from the University of Toronto, the American Cancer Society, and the Cystic Fibrosis Foundation.
Looking Back on March Markets and Forward to the Second Quarter
Looking in the rearview mirror at March, the month distinguished itself in two ways. First, attention was drawn to the unexpected banking sector as problems with Silicon Valley Bank and Credit Suisse shook investor confidence. The fear of any additional financial sector bank problems bubbling up are at rest for now. Second, after the FOMC meeting concluded with a 25bp tightening on March 22, all major indices breathed a sigh of relief and trended upward in the final week of March. Looking forward into the month of April, the Nasdaq 100 just broke 20% above its October low. This has investors cautiously optimistic that large-cap tech has entered a new bull market, with hopes that the other indices will also continue to climb higher.
Of the 11 S&P market sectors (SPDRs), seven finished March in positive territory, energy was break-even on the month, and three sectors were negative. The best performing three were led by Technology (XLK), up 10.86%, followed by Consumer Discretionary (XLC), which increased 8.65%, and Utilities (XLU), rose 4.91% during March, reacting to lower fuel costs and lower yields.
Energy, which closed out the month essentially where it began, now indicates that April will kick-off with a strong tailwind as OPEC+ decided to cut production, driving oil futures higher.
Of the worst-performing sectors, Financials (XLF) which includes banks, was down 9.55%. Real Estate (XLRE) was lower by 1.48%, and Basic Materials (XLB), reacting to the increased threat of recession as the bank crisis unfolded, was down 1%.
All sectors began moving higher after the March 22nd interest rate decision by the Federal Reserve.
Moving past the March banking crisis, three key factors are likely to continue to be front and center in April. These are inflation and interest rates. Fuel prices, to a lesser degree, may also become impactful as rising fuel prices could serve to push headline inflation higher.
The Consumer Price Index (CPI) gained 6% year-over year in February (reported in March). The inflation gauge is still coming off a peak of 9.1% in June last year, but still well above the Federal Reserve’s 2% long-term target.
12-Month Percent Change in CPI for All Urban Consumers (CPI-U), Not Seasonally Adjusted, Feb. 2022 – Feb. 2023
Source: U.S. Bureau of Labor Statistics
At the Fed meeting, the Federal Open Markets Committee (FOMC) voted to raise interest rates by one-quarter of a percentage point. This followed a quarter-point move at the prior meeting, following more aggressive hikes going back to March 2022.
Federal Reserve Chairman Powell noted that “financial conditions seem to have tightened” since the banking crisis began. The Fed released fresh long-term economic projections at the meeting, including an outlook that foresees just one more rate hike before the FOMC is seen as pausing any moves on overnight lending rates.
The availability of jobs and very low unemployment rate in the face of massive rate hikes from March 2022-March 2023, makes this tightening cycle unique,and perhaps more difficult for the Fed to manage. That said, recession risks remain elevated as the Fed moves work through the economy over time.
Traders now forecast near a 49% chance that the Fed will raise rates by an additional quarter point at the meeting ended May 3 —and a 51% chance it could do nothing.
Recession Watch
The Fed is reaching a critical point in its battle against inflation, the next couple of months will determine whether or not it can navigate a soft landing for the U.S. economy without tipping it into a recession.
In recent months, the U.S. housing market has softened significantly, and manufacturing activity has dropped. In addition, the U.S. Treasury yield curve has been inverted since mid-2022, something that’s historically been seen as a strong recession indicator.
In fact, the New York Fed’s recession model predicts a 54.5% chance of a U.S. recession sometime in the next 12 months.
So far, the most convincing argument a soft landing may still be possible has been the resilience of the U.S. labor market. The Labor Department reported the U.S. economy added 311,000 jobs in February, widely exceeding economists’ expectations. The unemployment rate rose a bit to 3.6%, but that’s still down from 3.8% a year ago.
Take-Away
The market became fearful early in March as participants reevaluated to determine if the bank failures were isolated cases or part of a broader problem. Once confidence set back in with the feeling the problem was isolated, there were relief rallies that pushed all indices and sectors northward the last third of the month.
With the Nasdaq 100 having risen 20% from its low last October, there is an expectation that it is in a bull market and hope that it will lead the other market cap sectors to break into bull territory as well.
Welcome to a holiday-shortened trading week. Yes the U.S. stock market will be closed on Friday. In terms of economic numbers and reports it should be very quiet as we begin the second quarter of 2023. These “quiet” weeks, when the market is not sure where to focus, have proven themselves to be volatile surprises as focus is on unexpected events instead. Last week the major indices resumed its march higher. All closed in the green for the week. Market participants are looking for follow-through to confirm whether we’ve entered a new bull market.
Monday 4/03
9:45 AM ET, The final Manufacturing Purchasing Managers Index (PMI) for March is expected to come in at 49.3. This would be unchanged from the mid-month flash to indicate a slight economic contraction.
10:00 AM ET, Construction Spending is expected to have experienced a flat month for February as the forecast is expected to show unchanged following January’s 0.1% decline.
10:00 AM ET, The ISM manufacturing index has been below 50, indicating a contraction for the last four months. March’s consensus estimate is 47.5 versus February’s 47.7.
Tuesday 4/04
10:00 AM ET, Factory Orders, a leading indicator, are expected to fall 0.4 percent in February versus January’s 1.6 percent decline. Durable goods orders for February, which have already been released and are one of two major components of this report.
10:00 AM ET, JOLTS (Job Openings and Labor Turnover Survey) have been strong at 10.82 million in January. Forecasters see February openings falling to a still high 10.4 million.
10:00 AM ET, Existing Home Sales for February are expected to rise to a 4.17 million annualized rate after January’s lower-than-expected 4.0 million rate.
Wednesday 4/05
10:00 AM ET, the Institute for Supply Management (ISM) is expected to slow after a 55.1 read in February, to a still positive (above 50) 54.4 level in March.
Thursday 4/06
7:30 AM ET, The Challenger Job Cuts Report counts and categorizes announcements of corporate layoffs based on mass layoff data from state Departments of Labor. The prior reading was 77,770.
8:30 AM ET, Jobless Claims for the week ended April 1 week are expected to come in at 201,000 versus 198,000 in the prior week.
10:00 AM ET, James Bullard, the St. Louis Fed President will be making public comments.
Friday 4/07
There are many stories of a market crash on Good Friday, are they true? Learn why the stock market is closed on the Friday before traditional Easter. Here is the link for why the markets are closed.
*The bond markets and the rest of the banking system follow a different schedule and are open.
8:30 AM ET, Employment, A 240,000 rise is expected for nonfarm payroll growth in March. This compares to 311,000 in February. Average hourly earnings in March are expected to rise 0.3 percent on the month for a year-over-year rate of 4.3 percent; these would compare with 0.2 and 4.6 percent in February. March’s unemployment rate is expected to hold unchanged at 3.6 percent.
2:00 PM ET, The Securities Industry and Financial Markets Industry Association (SIFMA) is recommending an early close for those operating under their purview. The U.S. stock market is closed.
What Else
OPEC+, which comprises the Organization of the Petroleum Exporting Countries and allies led by Russia, is due to hold a virtual meeting of its ministerial monitoring panel, which includes Russia and Saudi Arabia, on Monday. OPEC+ is likely to cut oil output at a meeting scheduled for Monday. Oil has recovered to above $80 a barrel for Brent crude after falling to near $70 on March 20.
Media companies are attracting more interest. Investors in Florida this week with an interest in this sector are welcome to see if there is a seat available to them at one of three different roadshow events with Beasley Broadcast Group. Information is available at this link.
PHOENIX, March 31, 2023 (GLOBE NEWSWIRE) — QuoteMedia, Inc. (OTCQB: QMCI), a leading provider of market data and financial applications, announced financial results for the fiscal year ended December 31, 2022.
QuoteMedia provides banks, brokerage firms, private equity firms, financial planners and sophisticated investors with a more economical, higher quality alternative source of stock market data and related research information. We compete with several larger legacy organizations and a modest community of other smaller companies. QuoteMedia provides comprehensive market data services, including streaming data feeds, on-demand request-based data (XML/JSON), web content solutions (financial content for website integration) and applications such as Quotestream Professional desktop and mobile.
Highlights for fiscal 2022 include the following:
Annual revenue increased to $17,527,605 in 2022 from $15,174,372 in 2021, an increase of $2,353,233 (16%).
Net income for 2022 was $444,470 compared to $212,372 in 2021, an improvement in profitability of $232,098.
Adjusted EBITDA for 2022 was $2,727,411 compared to $1,649,679 in 2021, an improvement of $1,077,732.
“This was another very successful year for QuoteMedia,” said Robert J. Thompson, Chairman of the Board. “We continued our strong growth across virtually every success metric, including revenue growth, profitability and market share; and we expect to continue on this trajectory through the coming year.
“2022 marked the signing and launch of major multi-year agreements with two of Canada’s largest banking institutions, as well as large-scale agreements with several other multi-national financial firms. We also have many new and exciting opportunities for 2023, as we are currently in negotiations with several large firms. As a result, we expect our revenue growth in fiscal 2023 to match or exceed the annual revenue growth we achieved in 2022; and we expect to significantly improve upon our net income figure as well.
“2022 was also significant because, as a result of the efforts and investments we made to improve our infrastructure, security, and business continuity management, we achieved our SOC2 Type II certification. SOC2 accreditation provides independent assurance that Quotemedia maintains a high level of information security, data integrity and business resiliency. This certification allows QuoteMedia to make even greater gains, as SOC2 accreditation is increasingly becoming an absolute requirement for those providing services to large financial institutions, and we are already experiencing the benefits.
“Our growth in revenue and market share has been fueled by our development of exciting new data applications and products, as well as the expansion of our global market coverage, and this will definitely continue throughout 2023 and beyond. We are looking forward to continued success in the years to come.”
QuoteMedia will host a conference call Monday, April 3, 2023 at 2:00 PM Eastern Time to discuss the 2022 financial results and provide a business update.
Conference Call Details:
Date: April 3, 2023
Time: 2:00 PM Eastern
Dial-in number: 800-245-3047
Conference ID: QUOTEMEDIA
An audio rebroadcast of the call will be available later at: www.quotemedia.com
About QuoteMedia
QuoteMedia is a leading software developer and cloud-based syndicator of financial market information and streaming financial data solutions to media, corporations, online brokerages, and financial services companies. The Company licenses interactive stock research tools such as streaming real-time quotes, market research, news, charting, option chains, filings, corporate financials, insider reports, market indices, portfolio management systems, and data feeds. QuoteMedia provides industry leading market data solutions and financial services for companies such as the Nasdaq Stock Exchange, TMX Group (TSX Stock Exchange), Canadian Securities Exchange (CSE), London Stock Exchange Group, FIS, U.S. Bank, Bank of Montreal (BMO), Broadridge Financial Systems, JPMorgan Chase, Scotiabank, CI Financial, Canaccord Genuity Corp., Hilltop Securities, Avantax, Stockhouse, Zacks Investment Research, General Electric, Boeing, Bombardier, Telus International, Business Wire, PR Newswire, The Goldman Sachs Group, Regal Securities, ChoiceTrade, Cetera Financial Group, Dynamic Trend, Inc., Credential Qtrade Securities, CNW Group, iA Private Wealth, Ally Invest, Inc., Suncor, Leede Jones Gable, Firstrade Securities, Charles Schwab, First Financial, Equisolve, Stock-Trak, Mergent, Cision and others. Quotestream®, QMod™ and Quotestream Connect™ are trademarks of QuoteMedia. For more information, please visit www.quotemedia.com .
Statements about QuoteMedia’s future expectations, including future revenue, earnings, and transactions, as well as all other statements in this press release other than historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. QuoteMedia intends that such forward-looking statements be subject to the safe harbors created thereby. These statements involve risks and uncertainties that are identified from time to time in the Company’s SEC reports and filings and are subject to change at any time. QuoteMedia’s actual results and other corporate developments could differ materially from that which has been anticipated in such statements.
Below are the specific forward-looking statements included in this press release:
We also have many new and exciting opportunities for 2023, as we are currently in negotiations with several large firms. As a result, we expect our revenue growth in fiscal 2023 to match or exceed the annual revenue growth we achieved in 2022; and we expect to significantly improve upon our net income figure as well.
We believe that Adjusted EBITDA, as a non-GAAP pro forma financial measure, provides meaningful information to investors in terms of enhancing their understanding of our operating performance and results, as it allows investors to more easily compare our financial performance on a consistent basis compared to the prior year periods. This non-GAAP financial measure also corresponds with the way we expect investment analysts to evaluate and compare our results. Any non-GAAP pro forma financial measures should be considered only as supplements to, and not as substitutes for or in isolation from, or superior to, our other measures of financial information prepared in accordance with GAAP, such as net income attributable to QuoteMedia, Inc.
We define and calculate Adjusted EBITDA as net income attributable to QuoteMedia, Inc., plus: 1) depreciation and amortization, 2) stock compensation expense, 3) interest expense, 4) foreign exchange loss (or minus a foreign exchange gain), and 5) income tax expense. We disclose Adjusted EBITDA because we believe it is a useful metric by which to compare the performance of our business from period to period. We understand that measures similar to Adjusted EBITDA are broadly used by analysts, rating agencies, investors and financial institutions in assessing our performance. Accordingly, we believe that the presentation of Adjusted EBITDA provides useful information to investors. The table below provides a reconciliation of Adjusted EBITDA to net income attributable to QuoteMedia, Inc., the most directly comparable GAAP financial measure.
QuoteMedia, Inc. Adjusted EBITDA Reconciliation to Net Income
MALVERN, Pa., March 31, 2023 (GLOBE NEWSWIRE) — Ocugen, Inc. (Ocugen or the Company) (NASDAQ: OCGN), a biotechnology company focused on discovering, developing, and commercializing novel gene and cell therapies, biologics, and vaccines, today announced that the Company’s Chief Scientific Officer, Arun Upadhyay, PhD, will present at the World Vaccine Congress being held April 3 – 6 in Washington D.C.
“Current COVID-19 vaccines are limited by a lack of durability and inability to stop infection and transmission,” said Dr. Upadhyay. “Inhaled vaccines have the potential to generate rapid mucosal immunity in respiratory pathways, limiting infection and transmission. I look forward to discussing Ocugen’s inhaled vaccine technology—to address COVID-19 and flu—during the World Vaccine Congress.”
Ocugen is currently developing a novel mucosal vaccine platform that includes OCU500, a bivalent COVID-19 inhaled vaccine; OCU510, a seasonal quadrivalent flu inhaled vaccine; and OCU520, a combination quadrivalent seasonal flu and bivalent COVID-19 inhaled vaccine. The OCU500 series grants Ocugen a distinct product candidate profile status that could significantly impact major global health obstacles and maximize the Company’s opportunity to serve broader patient markets. For the 2022 to 2023 flu season, in the United States alone, more than 50% of the population above six months of age received a seasonal flu shot, representing a market size of more than 170 million doses.
Details on Dr. Upadhyay’s participation are as follows:
PresentationTitle: “A next generation inhalation-based mucosal vaccine for COVID-19 and Flu: Potential approach to reduce infection and transmission” Date: Wednesday, April 5, 2023 Time: 5:40 p.m. ET Location: Walter E. Washington Convention Center, Washington D.C. – Level 2, Room 203AB
Roundtable DiscussionTitle: “Going beyond existing limitations – Why mucosal vaccines are essential for respiratory diseases” Date: Tuesday, April 4, 2023 Time: 11:40 – 12:20 p.m. ET (rotation 1); 12:30 – 1:10 p.m. ET (rotation 2) Location: Walter E. Washington Convention Center, Washington D.C. – Room 203B
About Ocugen, Inc. Ocugen, Inc. is a biotechnology company focused on discovering, developing, and commercializing novel gene and cell therapies, biologics, and vaccines that improve health and offer hope for patients across the globe. We are making an impact on patient’s lives through courageous innovation—forging new scientific paths that harness our unique intellectual and human capital. Our breakthrough modifier gene therapy platform has the potential to treat multiple retinal diseases with a single product, and we are advancing research in infectious diseases to support public health and orthopedic diseases to address unmet medical needs. Discover more at www.ocugen.com and follow us on Twitter and LinkedIn.
Cautionary Note on Forward-Looking Statements This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995, which are subject to risks and uncertainties. We may, in some cases, use terms such as “predicts,” “believes,” “potential,” “proposed,” “continue,” “estimates,” “anticipates,” “expects,” “plans,” “intends,” “may,” “could,” “might,” “will,” “should,” or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. Such statements are subject to numerous important factors, risks, and uncertainties that may cause actual events or results to differ materially from our current expectations. These and other risks and uncertainties are more fully described in our periodic filings with the Securities and Exchange Commission (SEC), including the risk factors described in the section entitled “Risk Factors” in the quarterly and annual reports that we file with the SEC. Any forward-looking statements that we make in this press release speak only as of the date of this press release. Except as required by law, we assume no obligation to update forward-looking statements contained in this press release whether as a result of new information, future events, or otherwise, after the date of this press release.
Contact: Tiffany Hamilton Head of Communications IR@ocugen.com
Mark Reichman, Senior Research Analyst, Natural Resources, Noble Capital Markets, Inc.
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Full year financial results. Sierra reported a 2022 adjusted net loss attributable to shareholders of $23.1 million or $(0.14) per share, compared with adjusted earnings of $21.6 million or $0.13 per share in 2021. Adjusted losses per share for the fourth quarter and full year 2022 were less than our estimates of $(0.07) and $(0.17), respectively, due in part to higher fourth quarter revenue and modestly lower cost of sales. Adjusted EBITDA fell 88% to $13.0 million compared to $104.7 million in the prior year. Annual copper equivalent production fell 29% due to lower throughput and grades.
2023 Guidance. Management’s focus has been to stabilize operations following challenges experienced in 2022 and to return to higher production levels on an economically sustainable basis. Sierra forecasts 2023 copper equivalent production in the range of 74.3 million to 83.3 million pounds. As of the end of March, the Bolivar mine is operating at 3,070 tonnes per day and is expected to gradually ramp up to 5,000 tonnes per day by year end. The Yauricocha mine is expected to operate at 2,375 tonnes per day throughout 2023. Management considers the Cusi silver mine to be a non-core asset and it was excluded from guidance.
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*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.
MAIA is a targeted therapy, immuno-oncology company focused on the development and commercialization of potential first-in-class drugs with novel mechanisms of action that are intended to meaningfully improve and extend the lives of people with cancer. Our lead program is THIO, a potential first-in-class cancer telomere targeting agent in clinical development for the treatment of NSCLC patients with telomerase-positive cancer cells. For more information, please visit www.maiabiotech.com.
Robert LeBoyer, Vice President, Research Analyst, Life Sciences , Noble Capital Markets, Inc.
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Financial Results. Maia Biotechnology reported a 4Q22 loss of $5.1 million or $(0.47) per share and a FY2022 loss of $15.7 million or $(1.75) per share. The Phase 2 THIO-101 trial continues to enroll and treat patients at its clinical sites, with several clinical milestone ahead during FY2023. The company ended FY2022 with $10.9 million in cash.
THIO-101 Reached Expected Milestones During 4Q22. MAIA began patient treatment in the THIO-101 trial in NSCLC (non-small cell lung cancer) in July 2022. The first patients were treated in Australia, with European country approvals announced in December 2022. These approvals allow opening clinical sites in Hungary, Poland, and Bulgaria to support European approval. MAIA reported that two European patients have been begun treatment.
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*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.
Axcella is a clinical-stage biotechnology company pioneering a new approach to treat complex diseases using compositions of endogenous metabolic modulators (EMMs). The company’s product candidates are comprised of EMMs and derivatives that are engineered in distinct combinations and ratios to restore cellular homeostasis in multiple key biological pathways and improve cellular energetic efficiency. Axcella’s pipeline includes lead therapeutic candidates in Phase 2 development for the treatment of Long COVID and non-alcoholic steatohepatitis (NASH), and the reduction in risk of overt hepatic encephalopathy (OHE) recurrence. The company’s unique model allows for the evaluation of its EMM compositions through non-IND clinical studies or IND clinical trials. For more information, please visit www.axcellatx.com.
Robert LeBoyer, Vice President, Research Analyst, Life Sciences , Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
4Q22 Reported. Axcella Health reported a 4Q22 loss of $23.0 million or $(0.33) per share and a FY2022 loss of $81.2 million or $(1.49) per share. The 4Q loss included restructuring and impairment charges of $4.2 million. Since the restructuring, Axcella has made significant progress transforming AXA1125 from Phase 2a data into an approved IND for a Phase 2b/3 clinical trial. The company ended FY2023 with $17.1 million in cash.
Long COVID Trial Is “Phase 2b/3 Ready”. In February 2023, Axcella announced the FDA accepted its IND for a Phase 2b/3 pivotal study testing AXA1125 in Long COVID. The design of the study was based on the results of its Phase 2a placebo-controlled trial in Long COVID announced in August 2022. The Phase 2a data showed statistically significant results in mental and physical fatigue scores. Although an experimental biomarker endpoint in muscle recovery was not met, the FDA accepted the IND for a Phase 2b/3 trial.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
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.
With New Money Deposited Into Their IRA Accounts, Savers Are Faced With an Age-Old Question
With days until the IRS is expecting our tax filings, IRA season is in full swing. With this comes contributions to IRA accounts and individual investment decisions. This year economic uncertainty is a regular topic of conversation; the question has come up in both personal and professional conversations whether or not this money should be invested immediately or wait for a clearer sign of economic and market direction. I asked three financial professionals, each of whose opinion I respect. Did I get three different answers? You be the judge.
Robert R. Johnson, PhD, CFA, CAIA, is the former deputy CEO of the CFA Institute and was President of the College of Financial Services. Currently Dr. Johnson is a Professor of Finance, Heider College of Business at Creighton University. His credentials also include co-author of The Tools and Techniques of Investment Planning, Strategic Value Investing, Investment Banking for Dummies, and others. Overall, his response argues for not shying away from what traditionally has been better-performing investments over time.
He highlighted that investing for as long as possible should involve not waiting until a week before the tax date and making a maximum deposit. If your money is sitting in cash rather than invested, there is a cash performance drag as cash including money markets, more often than not, is a worse performer than equities.
The finance professor pointed out the statistical truth that holding significant amounts of cash ensures that one will suffer significant opportunity losses. Johnson says, “when it comes to building wealth, one can either sleep well or eat well.” He explains, “investing conservatively allows one to sleep well, as there isn’t much volatility. But, it doesn’t allow you to eat well in the long run because your account won’t grow much.”
He backs this up with data compiled by Ibbotson Associates data on large capitalization stocks (think S&P 500), which returned 10.1% compounded annually from 1926-2022. Johnson points out that during the same years, government bonds returned 5.2% annually and T-bills returned 3.2% annually. He explained, “to put it in perspective, $1.00 in invested in the S&P 500 at the start of 1926 would have grown to $11,307.59 (with all dividends reinvested).” He then compared, “that same dollar invested in T-bills would have grown to $21.23.”
What to invest in is certainly an important decision, Dr. Johnson explained, “The surest way to build wealth over long time horizons is to invest in a diversified portfolio of common stocks. Someone with a long time horizon should not have exposure to money market instruments, yet many investors do because they fear the volatility of the stock market.”
Dennie Ceelen, CFP has been part of the Noble Capital Markets Private Client Group in Boca Raton, FL since 2002. He provides wealth management services to NOBLE Clients. He’s also a committee member of The Society of Financial Service Professionals.
When asked if one should invest or wait, he apologetically answered, “it depends.”
Mr. Ceelen explains that when it comes to investments, one size does not fit all. A nineteen-year-old with little or no table income and only an extra $1,000 to put away may be better off investing in education or a car to get them to work. This idea of no IRA deposit at all could even be true of a couple saving to buy their first home. If putting the maximum away for retirement, 40 years away, prevents the purchase of a home in the next year or two, it may not make sense to fund an IRA at all for them this tax year.
For those that are regularly funding an IRA he said, “if your timeline is 30-years until you retire, invest immediately.” Ceelen explained, the general rule of thumb is that the markets over time will go up, the market will be higher in 30 years,” is the expectation based on past experience.
While talking about those with far less than 30-years until retirement, he pulled out a simple spreadsheet that shows that markets don’t always go up. A screenshot of this spreadsheet of major index performance from the close of business the last day of 2021 until March 29, 2023 is provided below.
After 15-months of market downturn, history suggests the losses are temporary
Dennie Ceelen used the spreadsheet to show why he said “it depends.” He said, “if you are retiring in the next two years, make the contribution, take advantage of the tax break but let it sit in cash, or take advantage of the high rates on money markets/short term CD’s.”
“There is no reason to partake in this volatile market if you are that close to retirement,” he cautioned for those close to retirement. Making decisions like this is why many hire financial professionals.
David M. Wright, CLU, ChFC, president and owner of Wright Financial Group, with offices in Ohio and Florida is a 36-year veteran in the financial services industry. He hosts a local radio show called Retirement Income Source with David Wright, and is a frequent guest on TD Ameritrade Insights. One of Mr. Wright’s focuses is on providing workable retirement solutions for those in or close to retirement. His upcoming book, Bonfire of the Sanities: Reset Your Retirement Portfolio for Today’s Financial Lunacy, will be available later this year.
“How you invest your IRA for the 2022-23 tax season has been and always will be a function of your time horizon and propensity for risk,” Wright was quick to point out.
Wright’s explanation as to whether the timing is right also included what he believes would be the more suitable investment. He offered, “for individuals who are more than 10-15 years away from needing to access their cash, choosing high quality, dividend-paying companies with good cash flow are probably the best bet right now, given the economic tightening that will certainly impact more highly leveraged companies that have to refinance their debt in the future.” He cautioned that those in the age category above, “growth stocks, in particular those that pay very small dividends will probably be the most impacted by the Federal Reserve’s mandate to fight inflation by raising rates.”
For those even closer to retirement, five to ten years, he said that a dollar-cost averaging strategy to more slowly enter the market is more prudent, “you are systematically buying into the market without worrying about the purchase price of the investment itself,” Wright said.
“For those individuals that are within five years or less of retirement, pushing the pause button and purchasing short duration treasuries probably makes the most sense right now due to the higher yields offered courtesy of the Federal Reserve – with 3 month yields 4.8% at the moment,” David Wright explained for those with less time before needing the account for living expenses.
Wright added one more note of advice for the current tax season, “with the mixed signals of financial news from bank failures to reducing inflation, it probably makes sense to be more cautious right now until the financial storms subside.”
Take Away
There are many right ways to do anything. Multiply that by the different stages of life, and then there are many more. If you are making a last-minute 2022 tax year IRA deposit, hopefully, there are words of wisdom among these three professionals that have been useful.
Overall it seems time in the market is expected to outperform time out of the market, with the caveat, over the short term, anything can happen.
CFA Exam is Evolving to Better Reflect Employee, Employer, and Candidate Needs
The CFA Institute is making the most significant changes to its program since first introduced back in 1963. All of the changes are designed to better serve employers, candidates, and charterholders. The designation is considered the gold standard in the investment profession, so modifying the program must have involved much thought and debate. Six additions will be rolled out for those beginning the journey toward a CFA this year. The end result will be expanded eligibility, hands-on learning, a more focused curriculum, additional practice available, the ability to specialize, and recognition at every passed level.
What is a Chartered Financial Analyst?
A Chartered Financial Analyst (CFA) is a professional designation awarded to financial analysts who have passed a rigorous set of exams administered by the CFA Institute. The CFA program is a globally recognized, graduate-level curriculum that covers a range of investment topics, including financial analysis, portfolio management, and ethical and professional standards.
To become a CFA charterholder, candidates must pass three levels of exams, each of which are administered once a year. In addition to passing the exams, candidates must also meet work experience or school requirements.
Eligibility
The institute is selective in who can be a candidate. In the past, those with a degree and working in the business, needed to be sponsored by two people; first, a current CFA member, and the second the prospective candidate’s supervisor. For students, the requirement was that they be in their last year of study and be sponsored by a professor in lieu of a supervisor.
The policy that had been in place is that students with just one year remaining in their studies may seek CFA candidacy. The purpose of the new policy, according to Margeret Franklin CFA, President and CEO of the CFA Institute, is to “provide students with the opportunity to Level 1 of the CFA program as a clear signal to employers that they are serious about a career in the investment industry by getting an early start in the program.” This is the first of the revisions in the program and has been in place since November 2022.
Job Ready Skills
This new feature recognizes there is a difference between textbook understanding and work. The upcoming study and test material is designed for charterholders to be able to add value much earlier to their employer by imparting practical skills. A practical skills module will be added beginning with those scheduled for the February 2024 Level 1 exam. Level II candidates taking the test in May 2024 will also be tested on this new material. Level III candidates will see this material in 2025.
The impetus for this addition, according to the CFA Institute’s website, is it, “allows us to meet the expressed needs of student candidates, providing them with the opportunity to prepare for internships and investment careers, while also addressing industry demand for well-trained, ethical professionals.”
Expanded Study Material
Candidates are told they can greatly increase their chances of success taking the exam if they correctly answer 1,000 practice question during study, and score at least 70% on a mock exam. The Institute has added as an extra (not part of the basic study package) three new elements for preparation.
To increase the percentage of successful candidates, the CFA Institute now offers a Level I Practice Pack. It includes 1,000 more practice questions and six additional mock exams to go with the study materials that is standard with registration.
The add-on also provides six additional, exam-quality mock exams. The questions are prepared by the same team that create the exams each year.
More Focused
The CFA has branded itself with the promise that 300 hours of study per level is what is needed for success. They recognize that most candidates put in much more time, and the success rate for this tough series of exams is low. The Institute has streamlined study to make more efficient its Level I material beginning with those sitting for the Level I exam in 2024.
To be more efficient, the Institute presumes Level I candidates have already mastered many introductory financial concepts as part of their university studies or career role. To avoid duplication and to streamline Level I curriculum content, they have moved some of this content. It is available separately as reference material for registered candidates.
The content that has been moved to “Pre-Read” incudes topics like the time-value of money, basic statistics, microeconomics, and introduction to company accounts.
Choose Your Specialty
Starting in 2025, candidates will be able to choose one of three specialty paths to be tested at Level III. The reason for the addition is the CFA curriculum has always prepared candidates for investment and finance buy-side roles. This choice allows the CFA credential to grow and develop to meet the needs of a broader group of individuals and employers.
The CFA traditional path has been to prepare the candidate for a portfolio management role. This traditional path is still included. The Institute is also adding concentrations in private wealth management, and private markets. There will only be one credential, the Chartered Financial Analyst, but three areas of specialty.
Recognition at Every Level
While the goal of every candidate is to earn a full-fledged CFA designation, each level is a significant achievement. Now, CFA Institute awarded digital badges will recognize success at the first two levels.
The digital badges, to be used on social media when rolled out later in 2023 will be accompanied by marketing and awareness-building with employers, to improve the visibility and value placed on progress through the CFA program. The goal is for candidates to be distinguished in the market, have one-click social sharing, with instant verification to employers and colleagues to boost credibility and solidify a candidates’ accomplishment.
Overall the change, is to signal to the market that completing Levels I and II are substantial achievements, with tangible recognition of a candidate’s commitment to the industry through their learned skills and experience, professionalism and ethical practices.
Take Away
The world investment world is changing, and the CFA Institute is responding in order to better serve those that benefit from this prestigious designation. Candidates will now have more choices, more study material available, and the ability to take credit for their rigorous studies beginning after passing Level I.
