Exiting This Small-Cap Name for a Small Profit
After falling under some pressure in the charts, it's time to exit.
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This is the same chart that I showed readers on Friday:
Readers will see that what I warned about last week has come to pass. On Friday, INFQ lost its 200-day SMA. On Monday morning, INFQ lost its 21-day EMA. For me, it's time to get out, take our tiny profit and wait down below the 50-day SMA, hopefully below the $12 level to buy these shares back.
News Monday
$10K Portfolio stocks in the news so far for on Monday morning:
Mobileye (MBLY)
On Monday morning, analyst Dan Levy of Barclays reiterated his "buy" rating on (MBLY) as well as his $14 target price. Levy is rated at three stars out of five at TipRanks. Over the past two years, his picks have had a 40% success rate producing an average return of 2.7%.
Snap (SNAP)
On Monday, Rothschild & Co Redburn analyst Joseph Baker assumed coverage of (SNAP) from James Cordwell. Baker upgraded SNAP to a "buy" rating from "neutral" and increased the firm's target price from $5.00 to $10.00. I do not have a ranking for or a history of Baker's past performance.
In ancillary news impacting all publicly traded social media platforms, over the weekend, news broke that Wab Kinew, the premier of the Canadian province of Manitoba, plans to prohibit young people from accessing social media and AI chatbots.
SoFi Technologies (SOFI)
On Monday morning, Analyst Andrew Jeffrey of William Blair reiterated his "buy" rating on (SOFI) as well as his $18 target price, which is lower than the last sale, rendering his "buy" rating meaningless.
That said, Jeffrey is rated at five stars out of five at TipRanks. Over the past two years, his picks have had a 59% success rate producing an average return of +10.1%.
Velo3D (VELO)
On Monday morning, shares of (VELO) are trading sharply lower after the firm priced a secondary equity offering of $3,571,428 shares at $14.00 a piece. The offering will close on Tuesday and should raise $50 million less fees. Investment banker Cantor Fitzgerald is running the deal book. If my math is correct, this will dilute the equity by a rough 13.6% and increase the float by 46.6%.
Friday's Intentions vs Friday's Actual Trade
Intention: Purchase 25 shares of (SIDU) at or close to the last sale of $3.38
Actual trade: Purchased 25 shares of SIDU at $3.43
Intention: Sell (write) one SNAP $6 June 19 call for about $0.55
Actual Trade: Wrote one SNAP $7 June 19 call for $0.45
Intention: Sell (write) one (OCUL) $11 June 19 call for about $0.75
Actual Trade: Wrote one OCUL $12 June 19 call for $0.65
Intention: Sell (write) one (ONDS) $14 June 19 call for about $0.70
Actual Trade: Wrote one ONDS $13 June 19 call for $0.84
Monday's Intentions
The portfolio is going to add back the portion of Sidus Space that we wish we had not sold several weeks ago now that the stock is trading back at that level ($3.37). The portfolio will also sell a few covered calls in order to raise some cash.
And it will sell 40 shares of INFQ at or close to the last sale of $12.85 to close the position. That price would net a 6% profit.
Current Positions
Long 50 shares of (EVLV) at $6.0898. Last sale: $6.60.
Long 40 shares of INFQ at $12.128. Last sale $12.85.
Long 25 shares of MBLY at $8.92. Last sale: $9.17.
Long 150 shares of OCUL at $8.305. Last sale: $9.76.
Short one OCUL $12 June 19 call at $0.65, Last sale: $0.65.
Long 125 shares of ONDS at $9.4749. Last sale: $10.41.
Short one ONDS $13 June 19 call at $0.84. Last sale: $0.80.
Long 10 shares of (PL) at $37.18. Last sale: $33.97.
Long 10 shares of (PLTR) at $141.29. Last sale: $144.02.
Long 10 shares of (RKLB) at $65.178. Last sale: $78.06.
Long 125 shares of SIDU at $2.7251. Last sale: $3.27.
Long 100 shares of SNAP at $5.9034. Last sale: $6.13.
Short one SNAP $7 June 19 call at $0.45, Last sale: $0.45.
Long 150 shares of SOFI at $15.9875. Last sale: $18.71.
Long 40 shares of VELO at $10.93. Last sale: $13.77.
Cash: $675.07.
Portfolio Value: $11,260.16, +12.6% from inception on March 24.
Related: Nikkei Sets Record as Tech, Consumer Plays Battle in Japan
At the time of publication, Guilfoyle was long EVLV, INFQ, MBLY, OCUL, ONDS, PL, PLTR, RKLB, SIDU, SNAP, SOFI and VELO.
