Out Fox The $treet

Updated - May 21, 2024 Trump Media & Technology Group actually reported a dip in revenues for Q1. In addition, the media company nearly listed more retail shareholders than revenues. Truth Social continues to have virtually no business, yet the stock only slumped to $44.  Revenues fell to $770,500 from a year-ago $1.116M, and those sales largely came from  the company's "nascent advertising initiative, which will continue to evolve as TMTG implements its vision," the company said. Successfully Debuted as Public Company, and Now Has Over 621,000 Retail Shareholders. Updated - April 8  As expected, Trump Media is slumping after an initial burst following the consummation of the SPAC merger with Digital World. DJT is already down 50% from the initial highs.  Original article published on April 2  Trump Media & Technology Group Corp. completed its SPAC deal with Digital World Acquisition Corp, but shareholders now face major risks with the stock market shift...

  Digital World Acquisition SPAC agrees to a settlement with the SEC costing a civil fine of $18 million. The deal with Trump Media and Truth Social appears close to actually closing after a painful period in purgatory. DWAC stock at an ~$3.8 billion valuation is vastly overvalued for the diminished opportunity in the social media space. While  Digital World Acquisition Corp.  ( NASDAQ: DWAC ) appears poised to settle with the SEC in a plan to allow the SPAC deal to finally close, Truth Social is still struggling to make any real business progress. The  social media platform owned by former President Donald Trump has seen a lot of its purpose as an independent platform disappear. My  investment thesis  remains ultra Bearish on the SPAC deal trading nearly 50% above the SPAC deal price after the big rally on the SEC settlement news. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more de...

Update - June 15, 2023 Joby has nearly doubled now since a strategic capital raise in early May. The stock market has become more  bullish  on former SPACs, but the capital raise helped  provide  more confidence in the  company  making it to eVTOL production. Even at $8 now, Joby is likely cheap considering the SPAC deal was completed years ago at $10.  Original article posted on May 5.  Joby Aviation completed a stock offering to raise another $180 million, with the stock trading at $4. The eVTOL manufacturer recently expanded a deal with the DoD, which includes the delivery of 2 aircraft to the U.S. Air Force in early 2024. Joby Aviation stock is cheap, trading at all-time lows, while the company remains on target for aircraft certification and production launch in the next year. This idea was discussed in more depth with members of my private investing community, Out Fox The Street.  Learn More »   As  Joby Aviation, Inc.  (...

  Update - June 12, 2023 Archer is finally in the midst of a breakout on the positive FAA news.  -The acting administrator of the Federal Aviation Administration, Billy Nolen, is in talks to join Archer Aviation (NYSE:ACHR), per a report from Reuters. -Citing sources familiar with the situation, the report indicates Nolen will depart his current position atop the FAA in the next few weeks and will then look to transition to a role at Archer (ACHR). Archer’s rival Joby Aviation (JOBY) previously appointed former FAA chief Michael Huerta to a position on its board in March. Original article posted on Jan. 19 This idea was discussed in more depth with members of my private investing community, Out Fox The Street.  Learn More »   Archer Aviation Inc. jumped to $3 on the excitement of small insider purchases. The eVTOL manufacturer recently announced several major developments towards FAA certification and production of the Midnight aircraft. Archer Aviation stock is...

This idea was discussed in more depth with members of my private investing community, Out Fox The Street.  Learn More »   Update - Jan 25 Truth Social is DOA now.  Meta Platforms ( NASDAQ: META ) is  reinstating Donald Trump's accounts  on Facebook and Instagram after two years of suspensions spurring from the U.S. Capitol attacks on Jan. 6, 2021. Digital World Acquisition Corp. ( NASDAQ: DWAC ), the blank-check company tied to  Trump's Truth Social media efforts, has  fallen 3%  postmarket. Update Dec. 16  Not a good sign to have this many executives and board members fleeing already. The stock has absolutely no reason for still trading this close to $20.  -Trump SPAC Digital World Acquisition (NASDAQ:DWAC), which is taking Trump's social media company and Truth Social app public, fell 4% after disclosing the company's chief financial officer resigned last Friday. -Luiz Philippe Braganza resigned as CFO last Friday, according to an 8-K ...

Update - Dec. 23 Rumble closed at a new low below $7. The stock has now crashed below $6.50 and looks set to make a run down to $5. Investors need to stay on the sidelines until some clarification exists on the lows.  Update - Dec. 6 Rumble fell to a low of $7.50 yesterday before the big bounce today. The stock has possibly set up a higher low, but the view remains to not chase at these valuations.  Original article was published on Nov. 20 Rumble reported a strong revenue jump in Q3'22, but the revenue base is still only $11 million. The 'neutral' video platform has impressive plans with new monetization products to reward content creators over time. The stock valuation doesn't match the current revenue base with a market cap of $3.7 billion based on the 375 million diluted shares providing limited upside to shareholders. The $5 price target remains in place as the likely path for the stock. This idea was discussed in more depth with members of my private investing com...

  SoFi is cheap with the stock trading a the de-SPAC lows. The fintech continues to make great progress towards approval on the bank charter that will save up to 200 basis points on loan costs and improve revenues. The stock is too cheap trading at ~10x original '24 adjusted EBITDA targets. Looking for more investing ideas like this one? Get them exclusively at Out Fox The Street. Learn More » Despite a very promising start,  SoFi Technologies  ( SOFI ) now trades back to where the stock traded at the time of the de-SPAC transaction last May. The fintech super app was a buy the last couple of times the stock fell below $15 and nothing has changed now.  My  investment thesis  remains Bullish on SoFi  now down at $13 following a nearly 50% dip after multiple trips above $24. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more details.  Update - Mar. 14 Cheaper by the minut...

  Velodyne Lidar reported another disaster quarter with Q3'21 revenues missing analyst targets by a wide margin. The company guided to ongoing weakness in Q4'21, but the contract pipeline continues to build. The stock only trades at ~3x conservative '23 revenue targets, but the turnaround will be volatile. This idea was discussed in more depth with members of my private investing community, Out Fox The Street.  Learn More » In just a year as a public company,  Velodyne Lidar  ( VLDR ) has gone from lidar sensor market leader to a dysfunctional company. The market opportunity remains as impressive as prior, but the company has to improve execution in the competitive market. My  investment thesis  remains Bullish on the stock due to the strong contract pipeline and reduced market cap. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more details.  Update - Jan. 11 Nice contract, but t...

  Aurora Innovation is working to close a business combination with Reinvent Technology Partners Y. The stock has an implied equity valuation of $13 billion with $11 billion assigned to the value of Aurora Innovation. The company lacks material commercial operations until 2026 limiting the likely positive view on the stock for years. Looking for more investing ideas like this one? Get them exclusively at Out Fox The Street.  Learn More » The self-driving technology sector is one of the hottest areas for investment, but the SPAC pathway to the public markets isn't rewarding shareholders in the short term. Market leader  Aurora Innovation  agreed to a  business combination  with  Reinvent Technology Partners Y  ( RTPY ) back in July and the recent price isn't suggestive of a great outcome to the de-SPAC transaction. My investment thesis is Neutral on the stock until after the deal is done, especially at this valuation. Read the full article on Seek...

  MoneyLion collapsed to $6 following the de-SPAC transaction. The digital banking platform recently hiked revenue guidance for 2023 by 24% with 84% growth rates. The stock only trades at 3x revenue estimates despite the projected fast growth and the move into crypto and BNPL. Looking for a portfolio of ideas like this one? Members of Out Fox The Street get exclusive access to our model portfolio.  Learn More » Every day an investor can find a stock crushed after completing a de-SPAC transaction. In this case,  MoneyLion  ( ML ) completely collapsed following  closing their deal  with Fusion Acquisition Corp. back on September 22. My investment thesis is very Bullish on the digital banking platform with the stock now around $7. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more details.  Update - Dec. 6, 2021 The more MoneyLion falls, the more investors will make over the lo...

  Redwire recently completed a SPAC deal and no surprisingly immediately traded below $10. The company focuses on space infrastructure and expects to hit 2021 revenue of $163 million. The stock trades at less than 2x 2022 revenue estimates making for a good starter position. Looking for more investing ideas like this one? Get them exclusively at Out Fox The Street.  Learn More » The space sector has garnered a lot of attention lately with several launches of tourist flights along with Cathie Wood's ARK Invest launching a space ETF,  ARK Space Exploration & Innovation   (BATS: ARKX ) . A lot of the stocks are richly priced, but the completion of a SPAC deal and a legacy infrastructure pure play in the sector offers a solid deal for  Redwire   (NYSE: RDW )  investors. My investment thesis is very Bullish on the ignored space tech play. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page ...

Archer Aviation is a far better deal after the valuation was cut and the stock price has fallen 50%. The company still appears on a path to releasing an eVTOL in 2024. The stock faces too much SPAC closing risk with the stock below $10 to buy here. Looking for a portfolio of ideas like this one? Members of Out Fox The Street get exclusive access to our model portfolio.  Learn More »   Only about 6 months ago,  Atlas Crest Investment Corp.  ( ACIC ) announced an exciting business development deal with  Archer Aviation . The urban air mobility space was so exciting that the SPAC soared to a high of $18.60 back in February. After the stock has been cut in half and the deal value was slashed, my  investment thesis  is far more bullish on the eVTOL stock. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more details.   Update - Sept. 30 Honda wants to enter the eVTOL market with an ...