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Dow 30, S&P 500, & Nasdaq Close At/Or Near Record Highs While The Economy Cools – $ACHR $ADT $EPRX $INDP $IWC $LTRN $MODD $QS $XBI Rise!

By John F. Heerdink, Jr.
Quote of the Day: “The traveler sees what he sees, the tourist sees what he has come to see.” – Gilbert K. Chesterton




Happy Saturday!

I hope that you had a successful week.  As for me, I spent the week back in San Francisco and co-hosted a Tribe Public CEO Presentation and Q&A Webinar Event titled Exploring The Rapid Rise Of Osteoarthritis”  with James A. Helliwell, MD, Director and Chief Executive Officer of Eupraxia Pharmaceuticals (NASDAQ: EPRX, $2.81, +11.73% over the last 5-days). Did you know that Osteoarthritis (“OA”) is the leading cause of disability in older adults? The U.S. Centers for Disease Control and Prevention estimates that knee OA affects more than 30 million people in the U.S. alone.  The event video can now be viewed at the Tribe Public YouTube Channel and has been gaining traction. Learn more now!

As for the broad stock market this week, the large caps on the NASDAQ,  S&P 500 and the Dow either achieved or came near closing near record highs and the small caps and microcaps even joined in on the fun closing significantly higher and into the positive territory for the year. The positive moves were powered by investors understanding that the economy is cooling down. This understanding was further fueled by this week’s US macroeconomic schedule that offered a number of reports that seemed to confirm the possibility that an interest rate cut may be in the cards as soon as September, thus giving investors confidence that the stock market should have legs for the back half of 2024 and we saw returns spread throughout beyond the ‘Magnificent Seven’ stocks that have represented approximately 60% of the S&P 500’s returns this year. On Monday, the Consumer credit report showed a higher expected rise by $11.3B in May. On Tuesday, the NFIB Small Business Optimism Survey report came in higher at 91.5 in June. On Wednesday, the Weekly MBA Mortgage Applications Index report confirmed a.2% drop. The Wholesale inventories report also showed a .2% rise in May & the Weekly EIA Crude Oil Inventories report confirmed a 3.44M barrel draw. On Thursday, the CPI report confirmed a .1% drop M/M & rose 3% Y/Y beating expectations in plain English inflation is getting under control as consumer price increases chilled further in June. The Weekly Initial Claims report came in lower than expected at 222k, while the Weekly Continuing Claims edged down to 1.852M. On Friday, the June PPI report came in slightly higher than expected at .2% & the June Core PPI report logged in at higher as well at .4%. The Preliminary July University of Michigan Consumer Sentiment came in lower than expected at 66. 

Over the course of the week, the yield curve pulled back significantly with the 10-yr note yield closing at 4.186% down from 4.34% & the 2-yr note yield closed at 4.646% down from 4.72%.

Oil prices closed at $82.27, down -1.1% this week and is now up 14.8% YTD. The U.S. Dollar Index moved lower this week from 104.88 to 104.08.

The CBOE Volatility Index (^VIX) rose over the course of the week up .73% to close at $12.46.

At the end of the week, the Dow 30 closed at 40,000.90 (+.62%) this week and is up +6.13% YTD.  

The S&P 500 closed at 5,615.35 (+.55%) and is now up 17.73% YTD.

The Nasdaq closed at 18,398.45 (+1.09%) and is now up +22.56% YTD. The market leading and overweighted Magnificent 7 closed across the board as follows over the last 5-days: Alphabet (GOOG) closing at $186.78, -2.70%, Amazon (AMZN) closing at $194.49, -2.76%, Apple (AAPL) at $230.54, +1.86%, Meta Platforms (META) closing at $498.87, -7.60%, Microsoft (MSFT) closing at $453.55, -3%, NVIDIA (NVDA) closing at $139.24, +2.71%, & Tesla (TSLA) closing at $248.23, -1.31%. 

The small caps on the Russell 2000 closed at 2,148.27 (+1.09%) for the week & is now up 5.98% YTD, while the MicroCaps closed higher this week as the iShares Micro-Cap ETF (IWC) closed at $121.54, +8.31% over the week and is now down up 4.75% YTD.

Bank stocks on The SPDR S&P Regional Banking ETF (KRE) moved up to close at $47.94, +.65% over the last 5-days & the SPDR S&P Bank ETF (KBE) moved up over the last 5-days to close at $45.48, +.57% this week.  

Overall, The Nasdaq Biotechnology ETF (IBB) closed at $145.03, +6.48% & the SPDR S&P Biotech ETF (XBI) closed at $99.96, +7.91% over the last 5-days. The iShares U.S. Healthcare ETF (IYH) closed at $62.46, +2.76% over the last 5-days. 

Cathie Wood’s ARK Innovation ETF (ARKK) closed at $46.97, +1.83% over the last 5-days.

From the world of cryptocurrency, Bitcoin (BTC) moved much again this week from $57,922.65 to $57,808.18 over the course of the last 5-days at the time of the completion of this message.

Gold prices closed at $2,414/.oz up from $2,395/oz over the last 5-days. Silver prices closed at $30.81 down from $31.24/.oz. 

Memes stocks realized divergent paths this week as AMC Entertainment (AMC) closed at $5.26, +4.16% over the last 5-days & GameStop (GME) closed at $26.05, up 7.73% over the last 5-days.



VP Watchlist Updates

On July 2, Stellantis N.V. (NYSE: STLA $20.31, +3.85% over the last 5-days), and Archer Aviation Inc. (NYSE:ACHR, $5.05, +50.30% over the last month), a leader in electric vertical takeoff and landing (eVTOL) aircraft, announced Archer has received an additional $55 million investment from Stellantis under the companies’ strategic funding agreement following the achievement of its transition flight test milestone last month. Reportedly, this latest investment builds on Stellantis’ series of open market purchases of 8.3 million shares of Archer’s stock in March of this year that was previously announced. During 2023, Stellantis invested $110 million in Archer through a combination of open market stock purchases and investments under the companies’ strategic funding agreement.


Lantern (LTRN) closed at $4.42, +.91% over the last 5-days.  Lantern is an Artificial Intelligence (AI) firm that is transforming the cost, pace, and timeline of oncology drug discovery and development and specifically is developing targeted and transformative cancer therapies using its proprietary RADR® AI and machine learning (“ML”) platform with multiple clinical stage drug programs.

On July 10, Lantern announced a significant advancement towards the development of a diagnostic for its drug candidate LP-184. The diagnostic is currently based on qRT-PCR (quantitative real-time polymerase chain reaction) technology and is focused on quantifying the amount of PTGR1 RNA in patient tumor samples to assess the potential for sensitivity to Lantern’s drug candidate LP-184. The company plans to further develop and validate the assay for its use as a potential tool for patient selection in later stage clinical trials across a broad range of solid tumors that have shown sensitivity to LP-184. Panna Sharma, CEO of Lantern Pharma stated, “This milestone represents a significant leap forward in our precision oncology approach and in ensuring that we enrich our future LP-184 clinical trials with the patients we believe will be most likely to benefit. By working to develop a companion diagnostic for LP-184, we’re not just advancing a drug candidate; we’re paving the way for more personalized and effective cancer treatments for patients that have the highest likelihood of benefitting from the therapy. The planned use of biomarkers like PTGR1 in our clinical trials exemplifies our commitment to data-driven, patient-centric drug development.”

Panna Sharma, CEO of Lantern Pharma was interviewed recently on the ‘Today In Nashville’, a program hosted by Carole Sullivan and associated with Nashville’s WSMV 4, an NBC affiliate. Watch it here to learn more.

On June 12, Lantern announced that the Japan Patent Office (JPO) has issued a Certificate of Patent for patent application no. 2021-513267 / registration no. 7489966 directed to Lantern Pharma’s drug candidate LP-284 ((+)N-hydroxy-N-(methylacylfulvene)urea). The Certificate of Patent entitled “Illudin Analogs, Uses Thereof, and Methods for Synthesizing the Same” covers molecule LP-284, including claims covering the new molecular entity. A Certificate of Patent is issued after JPO examinations have confirmed the merits of a patent request. Lantern values the broad protection this latest patent provides. Lantern estimates that LP-284 can have the potential to improve outcomes for 40,000 to 80,000 patients with blood cancers annually, with a global annual market potential of $4 Billion USD.

  • On May 9, Lantern announced operational highlights and financial results for the first quarter 2024, ended March 31, 2024. Lantern highlighted the following progress:

    • Active clinical trials across three AI-guided drug candidates with initial data and clinical readouts for LP-184 on-track for the second half of 2024.
    • Obtained regulatory allowance to begin Phase 2 Harmonic™ clinical trial enrollment in Japan and Taiwan where approximately 30-35+% of all lung cancer cases occur in never-smokers with NSCLC; Harmonic™ continues patient enrollment in the US.
    • Phase 1 clinical trials for both synthetic lethal drug-candidates, LP-184 and LP-284, continue to advance with no dose-limiting toxicities observed in any of the patient cohorts enrolled and dosed to date.
    • The combined annual global sales market potential for LP-184 and LP-284 across multiple cancer indications is estimated to be over $12 billion USD.
    • Starlight Therapeutics, a wholly owned subsidiary of Lantern Pharma focused on CNS and brain cancers with STAR-001, advanced with the filing of a clinical trial protocol for the Phase 1B dose optimization and expansion cohort in recurrent IDH wild-type high grade gliomas.
    • Advanced AI-powered module for streamlining and guiding differentiated ADC development, which will be instrumental in the next-generation of drug candidates for Lantern Pharma and its collaborators.
    • Established an AI driven collaboration with Oregon Therapeutics where the RADR® platform will be leveraged to sharpen, expand and derisk future clinical development strategies for a novel, first-in-class inhibitor of cancer metabolism.
    • Approximately $38.4 million in cash, cash equivalents, and marketable securities as of March 31, 2024.

    On May 6, Lantern announced a strategic AI-driven collaboration with French biotechnology company, Oregon Therapeutics to optimize the development of its first-in-class protein disulfide isomerase (PDI)(1) inhibitor drug candidate XCE853 in novel and targeted cancer indications. Lantern will be leveraging its proprietary RADR® AI platform to uncover biomarkers and efficacy-associated signatures of XCE853 across solid tumors that can aid in precision development. Collaborative efforts are expected to identify biomarker signatures that can be used to stratify tumors most responsive to XCE853 and guide potential future clinical development and patient selection. Oregon Therapeutics is developing XCE853 in various cancer indications, including drug-resistant ovarian and pancreatic cancer, certain hematological cancers and several pediatric cancers including CNS cancers. Lantern highlighted the following:

    • XCE853 is Oregon Therapeutic’s first-in-class, and potentially best-in-class PDI inhibitor, exhibiting potent preclinical efficacy across multiple solid and hematological cancers, and is ready to advance to Investigational New Drug (IND)-enabling development.
    • The AI-enabled collaboration aims to refine and expand the positioning of XCE853, a novel protein disulfide isomerase (PDI) inhibitor, in new and targeted oncology indications, including for drug-resistant tumors.
    • The collaboration is leveraging RADR®’s AI-based capabilities, including 200+ machine learning (ML) algorithms and foundational models for oncology drug development to uncover biomarkers and molecular correlates of efficacy and define potential combination regimens to sharpen XCE853’s drug development strategy.
    • Lantern Pharma is receiving equal IP co-ownership and drug development rights in newly discovered biomarkers, novel indications, and use for new pharmacological strategies for XCE853.

Watch “How AI Has Lit A Revolution In Healthcare, Medicine, & Human Longevity”  on The Tribe Public Channel as Panna Sharma CEO Lantern Pharma was interviewed on Feb. 29.



Eupraxia Pharmaceuticals (EPRX, $2.81, +11.73% over the last 5-days) is a clinical-stage biotechnology company focused on the development of locally delivered, extended-release products that have the potential to address therapeutic areas with high unmet medical need. The Company strives to provide improved patient benefit and has developed technology designed to deliver targeted, long-lasting activity with fewer side effects. DiffuSphere™, a proprietary, polymer-based micro-sphere technology, is designed to facilitate targeted drug delivery, with extended duration of effect, and offers multiple, highly tuneable pharmacokinetic (PK) profiles. This investigational technology can be engineered for use with multiple active pharmaceutical ingredients and delivery methods.

Eupraxia recently announced that the Company’s Chief Operating and Scientific Officer, Dr. Amanda Malone, will be presenting at the upcoming Controlled Release Society 2024 Annual Meeting and Expo being held in Bologna, Italy from July 8-12, 2024. Presentation Details: Abstract ID:4085079, Presentation Title: EP-104, a novel microparticle formulation achieving extended-release of fluticasone propionate, Session Title: Long-Acting Drug Delivery Formulations – Session #2. The presentation is available on Eupraxia’s website at:
https://eupraxiapharma.com/our-science/clinical-trials-and-publications/default.aspx.

 

Dr. James Helliwell, CEO of Eupraxia Pharmaceuticals (NASDAQ: EPRX)

On July 9, a Tribe Public CEO Presentation and Q&A Webinar Event titled Exploring The Rapid Rise Of Osteoarthritis”  was held with James A. Helliwell, MD, Director and Chief Executive Officer of Eupraxia Pharmaceuticals (NASDAQ: EPRX).  The event video can now be viewed at the Tribe Public YouTube Channel!


Eupraxia recently completed a Phase 2b clinical trial (SPRINGBOARD) of EP-104IAR for the treatment of pain due to osteoarthritis of the knee. The trial met its primary endpoint and three of the four secondary endpoints. Eupraxia has expanded the EP-104 platform into gastrointestinal disease with the Phase 1b/2a RESOLVE trial for treating EoE. Eupraxia is also developing a pipeline of later- and earlier-stage long-acting formulations. Potential pipeline indications include candidates for other inflammatory joint indications and oncology, each designed to improve on the activity and tolerability of currently approved drugs.

On June 5, Eupraxia announced that results from its Phase 2 study of EP-104IAR for the treatment of osteoarthritis of the knee will be presented at the upcoming European Alliance of Associations for Rheumatology (“EULAR”) European Congress of Rheumatology 2024 (the “Meeting”). The EULAR Meeting is being held in Vienna, Austria from June 12-15, 2024.

On May 23, Eupraxia announced that regulators in Australia and Canada have cleared the Company’s request to expand its Phase 1b/2a RESOLVE trial, which is evaluating the safety and efficacy of EP-104GI as a treatment for eosinophilic esophagitis (“EoE”). For further details about Eupraxia, please visit the Company’s website at: www.eupraxiapharma.com.

 
 
Modular Medical, Inc. (NASDAQ: MODD, $1.59, +6.71% over the last 5-days and up +65.63% over the last year), is a development-stage medical device company that intends to launch the next generation of insulin delivery technology. Using its patented technologies, the company seeks to eliminate the tradeoff between complexity and efficacy, thereby making top quality insulin delivery both affordable and simple to learn. Their mission is to improve access to the highest standard of glycemic control for people with diabetes taking it beyond “superusers” and providing “diabetes care for the rest of us.” Modular Medical was founded by Paul DiPerna, a seasoned medical device professional and microfluidics engineer. Prior to founding Modular Medical, Mr. DiPerna was the founder (in 2005) of Tandem Diabetes and invented and designed its t:slim insulin pump. More information is available at https://modular-medical.com.

On June 3, Modular Medical announced that it was set to join the Russell Microcap Index at the conclusion of the 2024 Russell indexes annual reconstitution, effective when the U.S. market opens on July 1, 2024. Membership in the Russell Microcap Index, which remains in place for one year, means automatic inclusion in the appropriate growth and value style indexes. FTSE Russell determines membership for its Russell indexes primarily by objective, market-capitalization rankings and style attributes. Russell indexes are widely used by investment managers and institutional investors for index funds and as benchmarks for active investment strategies. Approximately $10.6 trillion in assets are benchmarked against Russell’s US indexes. Russell indexes are part of FTSE Russell, a leading global index provider.

On Feb. 21, Modular Medical announced the closing of its previously announced underwritten public offering (the “offering”) of 9,090,910 shares of its common stock, led by Manchester Explorer, L.P., which is managed by Jeb Besser, Modular Medical’s Chief Executive Officer, and Morgan Frank, a member of the Company’s board of directors, and other existing institutional investors. Each share of common stock was sold at a price to the public of $1.10 per share. The gross proceeds to Modular Medical from this offering were approximately $10 million, before deducting underwriting discounts and commissions and other offering expenses payable by the Company. The Company intends to use the net proceeds from the offering to fund operations and for working capital and general corporate purposes, including capital expenditures. In addition, Modular Medical has granted the underwriters a 30-day option to purchase up to an additional 1,321,989 shares of common stock to cover over-allotments, if any.Titan Partners Group, a division of American Capital Partners, acted as sole book-running manager for the offering.

On Jan. 24, Modular Medical announced the issuance of U.S. Patent 11,817,197 B2 for the stream-lined pairing of a pump to a mobile device. Paul DiPerna, Chairman and CTO of Modular Medical, commented, “The issuance of this patent is just another step in our mission to use technology to rethink and simplify the adoption of and ability to live with pump technology for patients and caregivers. To address cybersecurity risks and the complexity of pairing multiple devices to talk between a phone and a pump, we added Near-Field Communication (NFC), whereby, just by bringing the phone close to our pump will create a secure connection making it much easier to develop, test and maintain. This patent protects our technology addressing pairing, and, most importantly, the downloading of patient data to allow clinicians to easier upload and review the patients data. The patient’s phone is not required, and a clinician can simply tap the pump to the phone or tablet to pull the data using Bluetooth from patient pumps. In a high-volume practice, such as a busy certified pump trainer’s office, the ability to pull data from several patients quickly is critical. Our patented technology addresses the ability to do this without the tedious step of powering on and pairing with a myriad of new Bluetooth devices. It also simplifies moving the configuration to a new reusable controller, when needed, without using an intermediate device.” Jeb Besser, Modular Medical’s CEO, commented, “Our family of patents, which includes both issued patents and pending applications, around our pump is an important part of our strategic value and market positioning, and we look forward to announcing further patent issuances in the future.”
 
On Jan. 19, Modular Medical announced the premarket submission of its MODD1 next-generation insulin pump to the FDA for 510(k) clearance. “This is an exciting milestone for the Company, as we seek to change the diabetes market. Almost 30 years after the introduction of the first insulin pump, more than three quarters of those who could benefit from wearing a pump do not wear one. It is our belief that our simplified design will encourage many “almost-pumpers” to adopt technology to aid in their diabetes management, without the complexity and expense required by many of the current solutions,” said Paul DiPerna, Chairman and CTO of Modular Medical.
 
On Dec. 21, Modular Medical announced a collaboration agreement with Glooko, Inc., a global leader specializing in connected care and remote patient monitoring for diabetes. Integrating with Glooko will allow clinicians and patients to easily review insulin dosing data from the MODD1 pump, when commercially available. In addition, through Glooko’s platform, Dexcom CGMS users will be able to view their glucose levels in the same accessible format in conjunction with their pump data. Glooko’s platform has a broad installed base, which has been deployed in over 30 countries and 8,000 clinical locations. Jeb Besser, CEO of Modular Medical stated, “We are extremely pleased to add the Glooko technology platform to our diabetes care system making it even easier and more cost effective for us to provide this important capability to our clinical and patient base. Glooko’s mission to improve health outcomes of people with chronic conditions through its personalized, intelligent, connected care platform fits perfectly with our vision of providing an easy to use, affordable delivery technology to give more patients access to better care.”
 
 

Shares of Indaptus Therapeutics, Inc. (Nasdaq: INDP), a clinical stage biotechnology company dedicated to pioneering innovative cancer and viral infection treatments, closed at  $2.25, +1.81% over the last 5-days and is up 27.84% YTD. Click to watch a brief video on Indaptus Therapeutics’ Decoy20 Cancer Treatment Approach.

On June 4, Indaptus announced that it will present a poster titled, “Preliminary results of a phase 1 study of Decoy20, an intravenous, killed, multiple immune receptor agonist bacterial product in patients with advanced solid tumors,” at the American Society of Clinical Oncology annual meeting on June 1, 2024, in Chicago.

On May 22, Indaptus announced the successful advancement of its Phase 1 trial for Decoy20, an investigational novel package of broad immune agonists for cancer immunotherapy that has first-in-class potential across a diverse range of cancers including liver, pancreatic, colorectal and non-small cell lung. Following review by a Safety Review Committee (SRC) of the company’s initial clinical data, which will be presented at the annual meeting of the American Society of Clinical Oncology (ASCO), the Company has successfully dosed the first patient in the multi-dose portion of the trial with Decoy20. The primary goal of this stage of the trial is to determine the safety of Decoy20 when administered multiple times to the same patient, and to begin to examine efficacy across multiple types of cancer. Decoy20 is composed of attenuated and killed, intact, non-pathogenic Gram-negative bacteria which are designed to act as a “decoy,” tricking the body into activating a broad antitumor response from both its innate and adaptive immune systems. In preclinical studies, the treatment has been shown to activate specialized immune receptors called TLRs, that facilitate a potent defense against tumors, without inducing excessive toxicity. The product candidate is designed to induce a strong and broad pulse of immune activation, followed by rapid clearance from the body.“Current immunotherapies usually target a few immune system pathways and have low cure rates in advanced cancers. Indaptus is investigating an incredibly exciting and differentiated approach to fighting cancerous tumors that deviates from a focus on targeted therapies in the field. The advancement of this trial is a significant milestone that builds on strong evidence that Decoy20 successfully and broadly activates potent tumor-fighting cytokines and chemokines in both the innate and adaptive immune systems, and was administered systemically without intolerable adverse events,”stated Roger Waltzman, MD, Chief Medical Officer of Indaptus.

On May 8, Indaptus announced financial results for the first quarter ended March 31, 2024, and provided a corporate update. 

 

Jeffrey Meckler, CEO, Indaptus Therapuetics, Inc. (NASDAQ: INDP)

Jeffrey Meckler, Chief Executive Officer of Indaptus, commented, “We continue to make steady progress in our clinical development plans and are receiving regular validation for results reported to date, both through a presentation in April at the American Association for Cancer Research (AACR) annual meeting, and the acceptance of further data to be presented in a poster at the American Society of Clinical Oncology (ASCO) annual meeting, which is considered among the top annual oncology conferences. We are encouraged by the results we have reported, along with the early results we are seeing as we advance our trial, and believe they are indicative of the potential for Decoy20, and indeed our platform as a whole. We look forward to reporting more about our progress as it develops.”

On April 11, Indaptus announced it was proud to unveil its poster at the 2024 Annual Meeting of the American Association for Cancer Research (AACR) in San Diego on Wednesday, April 10th. The poster details mechanism of action data that demonstrates the Company’s Decoy platform successfully induces, matures or activates multiple immune cell types involved in anti-tumor responses. The latest findings significantly enhance the Company’s understanding of its “Decoy” platform technology, which uses killed, non-pathogenic bacteria engineered to activate the immune system to attack tumors. The study highlights the platform’s effectiveness in engaging key innate and adaptive immune cells, including, natural killer cells, natural killer T cells, dendritic cells, CD4+, and CD8+ T cells. In some settings, the platform also produced additive or synergistic activity in combination with IL-2, an approved cancer drug. Additionally, the data reveal that the Decoy platform may not only boost the immune system’s ability to recognize and kill tumor cells, but potentially also overcome a mechanism that suppresses the immune response. The results suggest that the Company’s Decoy bacteria can both directly and indirectly prime the immune system to more effectively fight cancer. Jeffrey Meckler, Indaptus’ Chief Executive Officer, added, “We are encouraged by the promising results observed in our preclinical studies and our ongoing Phase 1 clinical trial. The recognition and validation from prestigious organizations such as the AACR, coupled with the support and insights we are receiving from medical experts, partners and investors at the conference, inspire us to continue advancing our technology and demonstrating its significant therapeutic potential for the treatment of solid tumors.” The full poster can be accessed on the Indaptus Therapeutics website by clicking here.

Dr. Michael Newman, Indaptus’ Founder, Chief Scientific Officer, and lead author, commented, “The new data are consistent with our preclinical animal tumor model studies and provide evidence for our hypothesis that patented Decoy bacteria can activate a wide range of innate and adaptive human immune cells involved in fighting tumors. This aligns with what we’ve observed in our ongoing Phase 1 clinical trial of Decoy20 – broad immune activation, as evidenced by transiently increased levels of many key cytokines and chemokines following single dose administration. These findings bolster our confidence in Decoy20’s potential as a multifaceted immunotherapy.”


The Company recently initiated the multi-dose cohort of its Phase 1 clinical trial in solid tumors. Learn more by clicking here!


Indaptus CEO presented in an open Q&A on Tribe Public’s Webinar titled, “Fully Engaging The Human Immune System To Cure Disease” on Wednesday, March 20, 2024. You can now watch the event video at the Tribe Public YouTube Channel at this link


Learn more about Indaptus Therapeutics (NASDAQ: INDP) at the VP Watchlist page by clicking here.


 

Shares of ADT Inc. (ADT), the most trusted brand in smart home and small business security, closed at $7.39, +.41% over the last 5-days and +8.36% YTD.

On April 25, ADT report their Q1 earnings results highlighting the following:  

  • Total revenue of $1.2 billion with end-of-period recurring monthly revenue (RMR) up 3% to $353 million ($4.2 billion on an annualized basis)
  • Consumer and Small Business (CSB) revenue of $1.2 billion, up 5% and segment Adjusted EBITDA of $638 million, up 8%
  • Strong customer retention with gross revenue attrition of 13.1%
  • GAAP income from continuing operations of $92 million, or $0.10 per diluted share, up $218 millionAdjusted income from continuing operations of $151 million, or $0.16 per diluted share, up $56 million

On March 6, ADT announced the pricing of a secondary public offering of 65,000,000 shares of the Company’s common stock held by certain entities managed by affiliates of Apollo Global Management, Inc. (the “Selling Stockholders”) at a price to the public of $6.50 per share. The offering is expected to close on March 11, 2024, subject to satisfaction of customary conditions.The underwriters will have a 30-day option to purchase up to an additional 9,750,000 shares of common stock from the Selling Stockholders. The Company is not selling any shares and will not receive any proceeds from the offering. In addition, ADT has authorized the concurrent purchase from the underwriters of 15,000,000 shares of common stock as part of the secondary public offering (the “Share Repurchase”) subject to the completion of the offering. The Share Repurchase is part of the Company’s existing $350 million share repurchase program. The underwriters will not receive any underwriting fees for the shares being repurchased by the Company. Morgan Stanley, Barclays, Apollo Global Securities and RBC Capital Markets are acting as book-running managers for the offering. BNP PARIBAS, Deutsche Bank Securities, Mizuho, Goldman Sachs & Co. LLC, MUFG, BMO Capital Markets, BTIG and Raymond James are acting as joint book-runners for the offering. Berenberg, Fifth Third Securities, Academy Securities, Bancroft Capital and Siebert Williams Shank are acting as co-managers for the offering.

 

Volkswagen Group’s battery company PowerCo and QuantumScape (NYSE: QS, $8.25, +83.37% over the last 5-days) announced (July 11) that they have entered into a groundbreaking agreement to industrialize QuantumScape’s next-generation solid-state lithium-metal battery technology. Upon satisfactory technical progress and certain royalty payments, QuantumScape will grant PowerCo the license to mass produce battery cells based on QuantumScape’s technology platform.

Under the non-exclusive license, PowerCo can manufacture up to 40 gigawatt-hours (GWh) per year using QuantumScape’s technology with the option to expand up to 80 GWh annually, enough to outfit approximately one million vehicles per year. The companies believe this high-touch engagement represents the fastest way to achieve gigawatt-hour-scale production of solid-state technology to meet the growing global demand for better electric vehicle batteries. The agreement supersedes an earlier joint venture between the Volkswagen Group and QuantumScape to co-manufacture batteries.

The agreement creates a highly collaborative partnership that amplifies the companies’ core competencies – QuantumScape’s cutting-edge technology and PowerCo’s global capabilities in industrialization and manufacturing facilities. It will feature a combined workforce initiative to accelerate the industrialization of QuantumScape’s technology. A large, dedicated scale-up team, composed of experts from both companies, will execute on the industrialization activities.

Thanks again for your attention this week. Please continue to share your thoughts, questions, & ideas as we move forward. 

In the meantime, please enjoy the balance of the weekly newsletter’s videos, quotes, updates and let’s find ways to crush it again as we move forward!

Investing & Inspiration

  1. “The traveler sees what he sees, the tourist sees what he has come to see.” – Gilbert K. Chesterton
  2. “The only true wisdom is in knowing you know nothing.” – Socrates
  3. “Courage is knowing what not to fear.”– Plato
  4. “The home is the chief school of human virtues.” – William Ellery Channing
  5. “Be brave. Take risks. Nothing can substitute experience.” – Paulo Coelho
  6. “There are no shortcuts in evolution.” – Louis D. Brandeis
  7. “A friend may well be reckoned the masterpiece of nature.” –  Ralph Waldo Emerson
  8. “Nature uses as little as possible of anything.” – Johannes Kepler
  9. “Every new beginning comes from some other beginning’s end.” – Seneca
  10. “Nothing ever becomes real till it is experienced.” – John Keats
  11. “Nobody who ever gave his best regretted it.” – George Halas
  12. “Honest disagreement is often a good sign of progress.” – Mahatma Gandhi
  13. “A leader is one who knows the way, goes the way, and shows the way.” – John C. Maxwell
  14. “They always say time changes things, but you actually have to change them yourself.” – Andy Warhol
  15. “The secret of happiness is something to do.” – John Burroughs
  16. “The world of reality has its limits; the world of imagination is boundless.”
  17. “You begin with the possibilities of the material.” – Robert Rauschenberg
  18. “The only Zen you can find on the tops of mountains is the Zen you bring up there.” – Robert M. Pirsig
  19. “Leadership is the capacity to translate vision into reality.” – Warren Bennis
  20. “A man should always consider how much he has more than he wants.” – Joseph Addison
  21. “Happiness is good health and a bad memory.” –  Ingrid Bergman
  22. “We pass through this world but once.” – Stephen Jay Gould
  23. “Christmas waves a magic wand over this world, and behold, everything is softer and more beautiful.” – Norman Vincent Peale
  24. “Nothing can have value without being an object of utility.” – Karl Marx
  25. “Always turn a negative situation into a positive situation.” – Michael Jordan
  26. “Courage is found in unlikely places.” – J. R. R. Tolkien
  27. “One that would have the fruit must climb the tree.” – Thomas Fuller
  28. “Someone is sitting in the shade today because someone planted a tree a long time ago.” – Warren Buffett
  29. “We relish news of our heroes, forgetting that we are extraordinary to somebody too.” – Helen Hayes
  30. “A life spent making mistakes is not only more honorable, but more useful than a life spent doing nothing.” – George Bernard Shaw
  31. “Everything in the world may be endured except continual prosperity.”  – Johann Wolfgang von Goethe
  32. “Nine-tenths of wisdom is being wise in time.” – Theodore Roosevelt
  33. “Time is money.” – Benjamin Franklin
  34. “Change before you have to.” – Jack Welch
  35. “Our deeds determine us, as much as we determine our deeds.” – George Eliot
  36. “The Universe is under no obligation to make sense to you.” – Neil deGrasse Tyson
  37. “Care and diligence bring luck.” – Thomas Fuller
  38. “Nobody made a greater mistake than he who did nothing because he could do only a little.” – Edmund Burke
  39. “A man who is a master of patience is master of everything else.” – George Savile
  40. “Once you replace negative thoughts with positive ones, you’ll start having positive results.” – Willie Nelson
  41. “Endurance is nobler than strength, and patience than beauty.” – John Ruskin
  42. “Act as if what you do makes a difference. It does.” – William James
  43. “Let us be grateful to people who make us happy, they are the charming gardeners who make our souls blossom.” –  Marcel Proust
  44. “Strength and growth come only through continuous effort and struggle.” – Napoleon Hill
  45. “Science may never come up with a better office communication system than the coffee break.” – Earl Wilson
  46. “If everyone is moving forward together, then success takes care of itself.” – Henry Ford
  47. “Hope is like the sun, which, as we journey toward it, casts the shadow of our burden behind us.”– Samuel Smiles
  48. “Patriotism is supporting your country all the time, and your government when it deserves it.” – Mark Twain
  49. “What would life be if we had no courage to attempt anything?” – Vincent Van Gogh
  50. “The biggest risk is not taking any risk… In a world that is changing really quickly, the only strategy that is guaranteed to fail is not taking risks.” – Mark Zuckerberg
  51. “Our lives improve only when we take chances – and the first and most difficult risk we can take is to be honest with ourselves.” – Walter Anderson
  52. “Action is the foundational key to all success.” – Pablo Picasso
  53. “Success is never final, failure is never fatal. It’s courage that counts.” – John Wooden
  54. “Innovation distinguishes between a leader and a follower.” – Steve Jobs
  55. “All the art of living lies in a fine mingling of letting go and holding on.” – Havelock Ellis
  56. “The size of your success is measured by the strength of your desire; the size of your dream; and how you handle disappointment along the way.” – Robert Kiyosaki
  57. “O, wind, if winter comes, can spring be far behind?” – Percy Bysshe Shelley
  58. “Patience is a virtue, and I’m learning patience. It’s a tough lesson.” – Elon Musk
  59. “Be true to your work, your word, and your friend.” – John Boyle O’Reilly
  60. “Believe in yourself! Have faith in your abilities! Without a humble but reasonable confidence in your own powers you cannot be successful or happy.” – Norman Vincent Peale
  61. “Surprise is the greatest gift which life can grant us.” – Boris Pasternak
  62. “Logic will get you from A to B. Imagination will take you everywhere.” – Albert Einstein
  63. “It is the fight alone that pleases us, not the victory.” – Blaise Pascal
  64. “Do exactly what you would do if you felt most secure.” – Meister Eckhart
  65. “Life lived for tomorrow will always be just a day away from being realized.” – Leo Buscaglia
  66. “Wisdom is oftentimes nearer when we stoop than when we soar.” – Wordsworth
  67. “Take chances, make mistakes. That’s how you grow. Pain nourishes your courage. You have to fail in order to practice being brave.” – Mary Tyler Moore
  68. “A single twig breaks, but the bundle of twigs is strong.” – Tecumseh
  69. “If one does not know to which port one is sailing, no wind is favorable.” – Lucius Annaeus Seneca
  70. “There is little that can withstand a man who can conquer himself.” – Louis XIV
  71. “The limits of the possible can only be defined by going beyond them into the impossible.” – Arthur C. Clarke
  72. “Be faithful in small things because it is in them that your strength lies.” – Mother Teresa
  73. “The future rewards those who press on. I don’t have time to feel sorry for myself. I don’t have time to complain. I’m going to press on.” – Barack Obama
  74. “By three methods we may learn wisdom: First, by reflection, which is noblest; Second, by imitation, which is easiest; and third by experience, which is the bitterest.” – Confucius
  75. “No man was ever wise by chance.” – Lucius Annaeus Seneca
  76. “Progress is man’s ability to complicate simplicity.” – Thor Heyerdahl
  77. “It is not in the stars to hold our destiny but in ourselves.” – William Shakespeare
  78. “It does not matter how slowly you go as long as you do not stop.” – Confucius

  79. “I want to put a ding in the universe.” – Steve Jobs

  80. “Research is creating new knowledge.” – Neil Armstrong

  81. “The reward for work well done is the opportunity to do more.” – Jonas Salk
  82. “Man is a creative retrospection of nature upon itself.” – Karl Wilhelm Friedrich Schlegel
  83. “There’s something about taking a plow and breaking new ground. It gives you energy.” – Ken Kesey
  84. “Success seems to be largely a matter of hanging on after others have let go.” – William Feather

  85. “The essential conditions of everything you do must be choice, love, passion.” – Nadia Boulanger
  86. “More business is lost every year through neglect than through any other cause.” – Rose Kennedy

  87. “Give me a lever long enough and a fulcrum on which to place it, and I shall move the world.” – Archimedes

  88. “A person who won’t read has no advantage over one who can’t read.” – Mark Twain
  89. “The best way out is always through.” – Robert Frost

  90. “Start by doing what’s necessary; then do what’s possible; and suddenly you are doing the impossible.” – Francis of Assisi
  91. “Without labor nothing prospers.” – Sophocles

  92. “Intellectuals solve problems, geniuses prevent them.” – Albert Einstein
  93. “This is the precept by which I have lived: Prepare for the worst; expect the best; and take what comes.” – Hannah Arendt

  94. “The best and most beautiful things in the world cannot be seen or even touched – they must be felt with the heart.” – Helen Keller

  95. “He who is brave is free.” – Lucius Annaeus Seneca
  96. “When something is important enough, you do it even if the odds are not in your favor.” – Elon Musk

  97. “I choose a block of marble and chop off whatever I don’t need.” – Auguste Rodin

  98. “Hope is the only bee that makes honey without flowers.” – Robert Green Ingersoll

  99. “He who knows that enough is enough will always have enough.” – Lao Tzu

  100. “Plans to protect air and water, wilderness and wildlife are in fact plans to protect man.” – Stewart Udall
  101. “In order to carry a positive action we must develop here a positive vision.” – Dalai Lama

  102. “A hero is someone who understands the responsibility that comes with his freedom.” – Bob Dylan
  103. “Inflation destroys savings, impedes planning, and discourages investment. That means less productivity and a lower standard of living.” – Kevin Brady
  104. “If we give something positive to others, it will return to us. If we give negative, that negativity will be returned.” – Allu Arjun
  105. “A good plan violently executed now is better than a perfect plan executed next week.” ~ George S. Patton
  106. “You must do the things you think you cannot do.”- Eleanor Roosevelt
  107. “Success is dependent on effort.” – Sophocles
  108. “Nobody who ever gave his best regretted it.” – George Halas
  109. “Lots of people want to ride with you in the limo, but what you want is someone who will take the bus with you when the limo breaks down.” ~ Oprah Winfrey
  110. “And when I breathed, my breath was lightning.” – Black Elk
  111. “Moderation is the silken string running through the pearl chain of all virtues.” – Joseph Hall
  112. “You are the sum total of everything you’ve ever seen, heard, eaten, smelled, been told, forgot – it’s all there. Everything influences each of us, and because of that I try to make sure that my experiences are positive.” – Maya Angelou
  113. “If you want a guarantee, buy a toaster.” – Clint Eastwood
  114. “We are an impossibility in an impossible universe.” – Ray Bradbury
  115. “If you think in terms of a year, plant a seed; if in terms of ten years, plant trees; if in terms of 100 years, teach the people.” – Confucius
  116. “I’d rather attempt to do something great and fail than to attempt to do nothing and succeed.” – Robert H. Schuller
  117. Do your little bit of good where you are; it’s those little bits of good put together that overwhelm the world.” Desmond Tutu
  118. “It takes considerable knowledge just to realize the extent of your own ignorance.” – Thomas Sowell
  119. “Do not dwell in the past, do not dream of the future, concentrate the mind on the present moment.” – Buddha”
  120. Surprise is the greatest gift which life can grant us.” –  Boris Pasternak
  121. “Trust in dreams, for in them is hidden the gate to eternity.” – Khalil Gibran 
  122. “Always be yourself, express yourself, have faith in yourself, do not go out and look for a successful personality and duplicate it.” – Bruce Lee
  123. “All life is an experiment. The more experiments you make the better.” – Ralph Waldo Emerson
  124. “There are no secrets to success. It is the result of preparation, hard work, and learning from failure.” –  Colin Powell
  125. “There is more to life than increasing its speed.” – Mahatma Gandhi
  126. “Your attitude is like a box of crayons that color your world. Constantly color your picture gray, and your picture will always be bleak. Try adding some bright colors to the picture by including humor, and your picture begins to lighten up.” – Allen Klein
  127. “Definiteness of purpose is the starting point of all achievement.” – W. Clement Stone
  128. “Success usually comes to those who are too busy to be looking for it.” – Henry David Thoreau
  129. “In matters of truth and justice, there is no difference between large and small problems, for issues concerning the treatment of people are all the same.” – Albert Einstein
  130. “Life is too short for long-term grudges.” – Elon Musk
  131. There cannot be a crisis next week. My schedule is already full.” – Henry Kissinger
  132. “Success consists of getting up just one more time than you fall.” – Oliver Goldsmith
  133. “The Earth is the cradle of humanity, but mankind cannot stay in the cradle forever.” – Konstantin Tsiolkovsky
  134. “Ours is a world of nuclear giants and ethical infants. We know more about war that we know about peace, more about killing that we know about living.” – Omar N. Bradley
  135. “Beauty surrounds us, but usually we need to be walking in a garden to know it.” – Rumi
  136. “But man is not made for defeat. A man can be destroyed but not defeated.” – Ernest Hemingway
  137. “Don’t watch the clock; do what it does. Keep going.” – Sam Levenson
  138. “Let there be work, bread, water and salt for all.” – Nelson Mandela
  139. “The social object of skilled investment should be to defeat the dark forces of time and ignorance which envelope our future.” – John Maynard Keynes
  140. “A successful society is characterized by a rising living standard for its population, increasing investment in factories and basic infrastructure, and the generation of additional surplus, which is invested in generating new discoveries in science and technology.” – Robert Trout
  141. “I know not with what weapons World War III will be fought, but World War IV will be fought with sticks and stones.” – Albert Einstein
  142. “It is the fight alone that pleases us, not the victory.” – Blaise Pascal
  143. “If you can’t describe what you are doing as a process, you don’t know what you’re doing.” – W. Edwards Deming
  144. “Never interrupt your enemy when he is making a mistake.” – Napoleon Bonaparte
  145. “Be sure you put your feet in the right place, then stand firm.” – Abraham Lincoln
  146. “Without investment there will not be growth, and without growth there will not be employment.” – Muhtar Kent
  147. “You have to do your own growing no matter how tall your grandfather was.” – Abraham Lincoln
  148. “Victory has a thousand fathers, but defeat is an orphan.” – John F. Kennedy
  149. “Delete the negative; accentuate the positive!” – Donna Karan
  150. “It’s crazy how fast time flies and how things progress.” – Nathan Chen
  151. “The world is a dangerous place to live; not because of the people who are evil, but because of the people who don’t do anything about it.” – Albert Einstein
  152. “Life isn’t about finding yourself. Life is about creating yourself.” – George Bernard Shaw
  153. “Everything has beauty, but not everyone sees it.” – Confucius
  154. A man must be big enough to admit his mistakes, smart enough to profit from them, and strong enough to correct them.” – John C. Maxwell
  155. “Walking with a friend in the dark is better than walking alone in the light.” – Helen Keller
  156. “A man who dares to waste one hour of time has not discovered the value of life.” – Charles Darwin
  157. “The greater danger for most of us lies not in setting our aim too high and falling short; but in setting our aim too low, and achieving our mark.” – Michelangelo
  158. “Progress is man’s ability to complicate simplicity.” – Thor Heyerdahl
  159. “I like to encourage people to realize that any action is a good action if it’s proactive and there is positive intent behind it.” – Michael J. Fox
  160. “Nothing is impossible, the word itself says ‘I’m possible’!” – Audrey Hepburn
  161. “But investment in space stimulates society, it stimulates it economically, it stimulates it intellectually, and it gives us all passion.” – Bill Nye
  162. “Bitcoin, in the short or even long term, may turn out be a good investment in the same way that anything that is rare can be considered valuable. Like baseball cards. Or a Picasso.” – Andrew Ross Sorkin
  163. “Life is a tragedy when seen in close-up, but a comedy in long-shot.” – Charlie Chaplin
  164. “No matter what you’re going through, there’s a light at the end of the tunnel and it may seem hard to get to it but you can do it and just keep working towards it and you’ll find the positive side of things.” – Demi Lovato
  165. “Infrastructure investment in science is an investment in jobs, in health, in economic growth and environmental solutions.” – Oren Etzioni
  166. “Educating our children and giving them the skills they need to compete in a global economy is a smart investment in our country’s future.” – Sheldon Whitehouse
  167. “Know thy self, know thy enemy. A thousand battles, a thousand victories.” – Sun Tzu
  168. “If one does not know to which port one is sailing, no wind is favorable.” – Lucius Annaeus Seneca
  169. “Beware of missing chances; otherwise it may be altogether too late some day.” – Franz Liszt
  170. “The sofa is a really important investment for anybody, and I don’t mean financially. You need to find a really great sofa that can transition with you, and you can build from there.” – Jeremiah Brent
  171. “There is no investment you can make which will pay you so well as the effort to scatter sunshine and good cheer through your establishment.” – Orison Swett Marden
  172. “Nothing in life is to be feared, it is only to be understood. Now is the time to understand more, so that we may fear less.” – Marie Curie
  173. “There is little that can withstand a man who can conquer himself.” – Louis XIV
  174. “In tennis, you strike a ball just after the rebound for the fastest return. It’s the same with investment.” – Masayoshi Son
  175. “A camel makes an elephant feel like a jet plane.” – Jackie Kennedy
  176. “The advance of technology is based on making it fit in so that you don’t really even notice it, so it’s part of everyday life.” – Bill Gates
  177. “Success depends upon previous preparation, and without such preparation there is sure to be failure.” – Confucius, Chinese 
  178. “Coming together is a beginning; keeping together is progress; working together is success.” – Edward Everett Hale
  179. “Never do anything against conscience even if the state demands it.”– Albert Einstein
  180. “Education is not only a ladder of opportunity, but it is also an investment in our future.” – Ed Markey
  181. “The true measure of a man is how he treats someone who can do him absolutely no good.” – Samuel Johnson
  182. “In my view, the biggest investment risk is not the volatility of prices, but whether you will suffer a permanent loss of capital. Not only is the mere drop in stock prices not risk, but it is an opportunity. Where else do you look for cheap stocks?” – Li Lu
  183. “A successful society is characterized by a rising living standard for its population, increasing investment in factories and basic infrastructure, and the generation of additional surplus, which is invested in generating new discoveries in science and technology.” – Robert Trout
  184. “The best preparation for tomorrow is doing your best today.” – H. Jackson Brown, Jr.
  185. “Friendship marks a life even more deeply than love. Love risks degenerating into obsession, friendship is never anything but sharing.” – Elie Wiesel
  186. “Investing in women’s lives is an investment in sustainable development, in human rights, in future generations – and consequently in our own long-term national interests.” – Liya Kebede
  187. “Success isn’t measured by money or power or social rank. Success is measured by your discipline and inner peace.” – Mike Ditka
  188. “No matter how many goals you have achieved, you must set your sights on a higher one.” – Jessica Savitch 
  189. “Start where you are. Use what you have. Do what you can.”– Arthur Ashe
  190. “The secret of getting ahead is getting started.” – Mark Twain
  191. “The amount of work and the amount of both physical and emotional investment it takes to get to the top.” – Drew Bledsoe


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