Author: Dorian Holden

Pay close attention to Apple (AAPL) over these next few days.

We could easily see sizable momentum in the stock ahead of its October 13 iPhone 12 launch.

At the event, Apple will introduce its iPhone 12 with 5G connectivity.

“We believe iPhone 12 represents the most significant product cycle for Cook & Co. since IPhone 6 in 2014 and will be another defining chapter in the Apple growth story looking ahead despite a softer consumer spending environment,” Wedbush analyst Daniel Ives said, as quoted by CNET.  He added the launch a “once in a decade” event for Apple.

The event will be held on October 13 at 10am PT, 1pm EST.  

This only adds to the excitement of 5G technology.

To date, Analysts at Cowen & Co. already refer to it as a “coming revolution.”  

“5G will usher in this revolution and have a ‘game-changing’ impact on society. Certainly, there are already several technologies including artificial intelligence, robotics, the Internet of Things, quantum computing, etc. that have already impacted our lives a great deal. 5G will serve as the ‘glue’ for these foundational technologies to come together–and that convergence will form ‘the fourth industrial revolution,’” they said, as quoted by Barron’s.

President Trump has said he wants “5G, even 6G technology in the United States as soon as possible,” he tweeted.  “It is far more powerful, faster, and smarter than the current standard.  American companies must step up their efforts, or get left behind.”

Qualcomm has even said, “The global 5G mobile chain alone will generate up to $3.5 trillion of economic output.” 

After all, 5G will massively disrupt life and business as we know it, ushering in the Internet of Things (IoT), social gaming, virtual reality (VR), augmented reality (AR), robotics, automated vehicles, healthcare imaging and diagnostics.  

Apple’s new event will only add to the excitement. 

The post This Could be a “Once in a Decade” Event for Apple appeared first on Morningology.

It’s time to jump back into lithium, we said on Sept. 28.

All as demand begins to show signs of outweighing supply.  You see, lithium could easily run into a massive supply crunch.  All thanks to electric vehicle (EV) sales that are growing much faster than anyone expected.

For one,  “Benchmark Minerals forecasts lithium demand to reach 2.2m tonnes by 2030 but as things stand lithium supply (LCE) is only set to reach 1.67m leaving a huge structural deficit. This demand will be driven by growing EV adoption through the 2020s, with Benchmark Minerals forecasting an EV penetration rate of 4.3% in 2020 rising to 30.7% in 2030.”

Two, according to a new study from the Boston Consulting Group, by 2025, EVs could account for a third of all auto sales.  By 2030, EVs could surpass internal combustion engine vehicles with a market share of 51%.

Three, ”All the supply from the globe’s major lithium miners Albemarle Corp., Soc. Quimica y Minera de Chile SA, Tianqi Lithium Corp. and Ganfeng Lithium Co. — companies that mine mainly in Australia, Chile and China — probably won’t be enough to meet demand,” reports The Washington Post.

Four, “There’s only one thing standing between Tesla and world domination, the global supply of lithium.  And that’s good news for lithium producers,” as Barron’s just reported.

In addition, “Right now, the world mines roughly 400,000 tons of lithium a year, enough to power 2 million to 3 million electric vehicles, though only a third of that goes to EVs right now. That number will have to increase perhaps as much as tenfold to meet Musk’s goal, and that doesn’t take into account other automakers.”

The last time we spoke about lithium stocks on Sept. 28, we mentioned you should keep the following stocks on radar:

• Lithium Americas (LAC) ran from $10.11 to $15.86
• American Lithium Corp. (LIACF) ran from 73 cents to $1.16
• Albemarle Corp. (ALB) ran from $86.15 to $94.76
• Sociedad Quimica y Minera (SQM) ran from $30.72 to $35.46
• Piedmont Lithium (PLL) is the only one that fell so far, from $36.98 to $34.66

The post The Top Lithium Stocks to Buy and Hold Right Now appeared first on Morningology.

Markets are coming under pressure this morning.  

The Dow is down 403 points, as the NASDAQ sinks 261.  The S&P 500 is down nearly 54 points.  

All on news President Trump said he has tested positive for the coronavirus.  

It’s already creating more uncertainty ahead of the Nov. 3 elections. In fact, “There’s a spike higher in volatility because I think a lot of people will be saying that they could imagine how this could even increase the uncertainty about the conclusion of the election,” says Kit Juckes, global head of foreign exchange strategy at Societe Generale, as quoted by CNBC.

While most stocks are down on the news, vaccine stocks are pushing higher on the day.

Inovio Pharmaceuticals (INO) is up slightly.

While the US FDA halted its Phase 2/3 trial, it had nothing to do with the vaccine.  It had to do with the delivery system INO is using, according to reports.  In our opinion, the clinical hold could be lifted by the end of October, clearing the way for potentially explosive upside in INO.

Pfizer (PFE) and BioNTech (BNTX) are Running

Pfizer (PFE) CEO Albert Bourla just said there’s a “good chance” the company will know if its vaccine works by the end of October 2020.

The CEO told Face the Nation, “We started already manufacturing and we have already manufactured hundreds of thousands of doses, so just in case we have a good study readout, conclusive and FDA, plus the advisory committee feels comfortable that we will be ready.”

The company, along with BioNTech (BNTX) has already begun enrolling 30,000 people in its Phase 3 vaccine trial.  However, it’s now looking to expand that enrollment to 40,000, as it attempts to expand to far more vulnerable populations.

Eli Lilly (LLY) is Nearing a Potential Treatment

Eli Lilly is confident after its COVID-19 treatment reduced the hospitalization rate.  

“The U.S. drug maker said it tested three different doses of LY-CoV555 against a placebo in a trial enrolling roughly 450 patients. The middle dose of 2,800 mg met the trial’s target of significantly reducing the presence of SARS-CoV-2 after 11 days,” said CNBC.

The post Vaccine Stocks Pop on News President Trump Tests Positive for COVID-19 appeared first on Morningology.

Months into the pandemic, more companies are entering the final stages of vaccine testing.

Just over the last few days, Novavax (NVAX) said it would start its Phase 3 trial among 30,000 people in the UK.  In additional, a trial of 30,000 could begin in the U.S. if regulators are pleased with the safest of a Phase 2 trial under way at the moment, according to Barron’s.

The latest study in the UK will track whether adults receiving a two-dose vaccine see a lower rate of symptomatic COVID, as compared to those receiving the placebo.  

Other than Novavax, Johnson & Johnson has Phase 3 trials under way, too.

The company expects results of its Phase 3 trials by the close of this year, or early 2021.  If successful, it could manufacture up to a billion doses in the new year.  In addition, unlike its competition, Johnson & Johnson’s vaccine may only require one dose of the vaccine.

“The benefits of a single-shot vaccine are potentially profound in terms of mass immunization campaigns and global pandemic control,” Dr. Dan Barouch, a Harvard vaccine researcher who helped design J&J’s COVID-19 vaccine, as quoted by Reuters.

Others are Nearing a Potential Vaccine

Pfizer (PFE) CEO Albert Bourla just said there’s a “good chance” the company will know if its vaccine works by the end of October 2020.

The CEO told Face the Nation, “We started already manufacturing and we have already manufactured hundreds of thousands of doses, so just in case we have a good study readout, conclusive and FDA, plus the advisory committee feels comfortable that we will be ready.”

The company, along with BioNTech (BNTX) has already begun enrolling 30,000 people in its Phase 3 vaccine trial.  However, it’s now looking to expand that enrollment to 40,000, as it attempts to expand to far more vulnerable populations.

And Eli Lilly is confident after its COVID-19 treatment reduced the hospitalization rate.  

“The U.S. drug maker said it tested three different doses of LY-CoV555 against a placebo in a trial enrolling roughly 450 patients. The middle dose of 2,800 mg met the trial’s target of significantly reducing the presence of SARS-CoV-2 after 11 days,” said CNBC.

The post Another COVID-19 Vaccine is In the Final Stages of Testing appeared first on Morningology.

Peloton Interactive (PTON) pulled back on news of a $500 Amazon bike.

In fact, Echelon said in a press release that it built a Prime-branded bike and Amazon partnered with the startup to build Amazon’s “first-ever connected fitness product,” as noted by CNN.

However, that release has now been removed.  And Amazon has said the bike is not an Amazon product or related to Amazon prime.  “”Echelon does not have a formal partnership with Amazon. We are working with Echelon to clarify this in its communications, stop the sale of the product, and change the product branding,” an Amazon spokesperson said.

In short, someone screwed up – big.  And no one is quite sure what happened here.

This isn’t the first time PTON has come under pressure from potential competition.  

Back in August 2020, there was news Apple could be offering a virtual workout app for the iPhone, iPad, an Apple TV, as noted by Bloomberg.  It could potentially be a part of Apple’s effort to launch new subscription plans to bundle several services, including Apple News, Apple Arcade, Apple Music, etc.  However, as noted by CNBC, Cowen analysts noted, “Apple’s potential app isn’t likely to threaten Peloton’s leadership in the fitness space, ‘given its vertically integrated platform & highly passionate, growing user base across Bike, Tread, and expected additional hardware offerings.’”

Despite all of the chaos, the PTON stock continues to push higher on strength.

In its most recent earnings report, EPS came in at 27 cents, as compared to expectations for 10 cents.  Sales came in at $607.1 million, as compared to estimates for $582.5 million.  

And, according to CNBC, “Peloton said it ended the quarter with more than 1.09 million connected fitness subscribers, up 113% from a year earlier, and roughly 3.1 million members in total, including those who only pay for its digital subscription. Connected fitness subscribers are people who pay $39 per month to sync workout classes to their Peloton equipment, versus accessing the programs separately through a phone or tablet device and paying just $12.99. Its gross margins grew to 47.6%.”

The post Here’s Why Peloton Interactive (PTON) is Still a Sold Opportunity appeared first on Morningology.

Tesla’s “Battery Day” is here.

Unfortunately, the market isn’t too enthused about it – at the moment.

In fact, shares of TSLA are currently down more than 5%, or $24 a share. 

All after Elon Musk dampened the mood, as he cautioned about hurdles to mass production.  “Important note about Tesla Battery Day unveil tomorrow. This affects long-term production, especially Semi, Cybertruck & Roadster, but what we announce will not reach serious high-volume production until 2022,” he tweeted.

“We intend to increase, not reduce battery cell purchases from Panasonic, LG & CATL (possibly other partners too). However, even with our cell suppliers going at maximum speed, we still foresee significant shortages in 2022 & beyond unless we also take action ourselves.”

While that surely dampened the excitement, hopefully investors will be enthused at Tesla’s presentation later today.  The company is still expected to unveil a number of advancements in its battery technology that could give it an advantage over its competition.  

If you want to watch the Tesla livestream, you can do so at the Tesla.com site.

You can even submit questions related to battery technology right here.

According to reports, the Tesla shareholder meeting will begin at 1:30pm PT / 4:30pm ET, with the Battery Day event to follow.

The post Here’s How to Watch Tesla’s Battery Day Event appeared first on Morningology.

Chaos continues for Nikola (NKLA), as Trevor Milton steps down from his roles as executive chairman and member of the board.  

The news comes just days after Hindenburg Research attacked the company “an intricate fraud,” adding, “We have gathered extensive evidence-including recorded phone calls, text messages, private emails and behind-the-scenes photographs-detailing dozens of false statements by Nikola Founder Trevor Milton,” said the report, as quoted by MarketWatch.

The EV company accepted the resignation, saying that Stephen Girsky, former vice chairman of General Motors and a member of the NKLA board, has been appointed chairman.

In a statement, Milton said:

“Nikola is truly in my blood and always will be, and the focus should be on the Company and its world-changing mission, not me. So I made the difficult decision to approach the Board and volunteer to step aside as Executive Chairman. Founding Nikola and growing it into a company that will change transportation for the better and help protect our world’s climate has been an incredible honor.”

However, despite the chaos, General Motors has said it “will work to close” its Nikola deal.

In fact, GM said it will “work with Nikola to close the transaction we announced nearly two weeks ago to seize the growth opportunities in broader markets” with its battery electric and fuel cell technologies. GM is also helping to engineer and will build the Nikola Badger, as reported by CNBC.

In addition, analysts at JP Morgan are sticking with their overweight rating on the stock. However, they did cut their 2021 price target to $41 from $45 to “reflect the risk associated with the resignation of the Founder and Executive Chairman,” says CNBC.

At the moment, shares of NKLA are down 14%, or $4.81 to $29.38.  

The post Nikola Founder Trevor Milton Out as Chairman appeared first on Morningology.

The world is desperate for a vaccine.

At the moment, there are 29.6 million global cases, with 936,001 deaths.

In the U.S., there are 6.6 million cases. In India, it’s up to 5.02 million.  In Brazil, 4.3 million.  In Russia, 1.07 million.  In Peru, there are 738,020.  And in Colombia, 728,590.

With no vaccine to speak of, the world is still at a standstill.  

However, we may be nearing a solution in the next few months. 

Pfizer (PFE) and BioNTech (BNTX)

For one, Pfizer (PFE) CEO Albert Bourla just said there’s a “good chance” the company will know if its vaccine works by the end of October 2020.

The CEO told Face the Nation, “We started already manufacturing and we have already manufactured hundreds of thousands of doses, so just in case we have a good study readout, conclusive and FDA, plus the advisory committee feels comfortable that we will be ready.”

The company, along with BioNTech (BNTX) has already begun enrolling 30,000 people in its Phase 3 vaccine trial.  However, it’s now looking to expand that enrollment to 40,000, as it attempts to expand to far more vulnerable populations.

Eli Lilly (LLY)

Eli Lilly is higher on news it’s COVID-19 treatment reduced the hospitalization rate.  

“The U.S. drug maker said it tested three different doses of LY-CoV555 against a placebo in a trial enrolling roughly 450 patients. The middle dose of 2,800 mg met the trial’s target of significantly reducing the presence of SARS-CoV-2 after 11 days,” said CNBC.

The post The Top 3 Vaccine Stocks to Consider appeared first on Morningology.

While Nikola continues to deny wrongdoing, the short attacks continue.

Hindenburg Research went on the attack again calling Nikola’s response “a tacit admission of securities fraud,” as quoted by its site.  “We included 53 questions at the end of our report that we believe shareholders deserve answers to,” Hindenburg said. “The company promised a full point-by-point rebuttal, but then only responded to 10 of our questions.”

“Beyond common sense, the company referred to the Nikola One as “the 1,000 HP, zero-emission Nikola One semi-truck” in the description of its video. Obviously, the truck can’t have 1,000 horsepower or even 1 horsepower if it doesn’t power itself,” they added.

Making things a bit worse for Nikola, the US SEC and US DOJ are reportedly looking into the short seller claims.  

For example, The Wall Street Journal is reporting, “Specifically, federal prosecutors are probing allegations that Nikola, a maker of electric and hydrogen-powered semi-trucks that listed publicly in June, misrepresented progress it made in developing key technology core to releasing new models.”

While there’s no guarantee of a full investigation, the news was enough to send shares of NKLA lower on the day.

At the moment, according to Nikola, it has “contacted and briefed the U.S. Securities and Exchange Commission (SEC) regarding Nikola’s concerns pertaining to the Hindenburg report. Nikola intends to fully cooperate with the SEC regarding its inquiry into these matters.”

Shares of NKLA currently trade at $34.07, down from a recent high of $54.56.

The post Nikola Corp. Still Can’t Catch a Break appeared first on Morningology.