Retail Investors Rolling In As Small Caps Lead Weekly Stock Market Gains – $ARKK $ATOS $DKNG $GME $INVO $TSLA $XBI Rise!

By John F. Heerdink, Jr.

Quote of the Day: “Do exactly what you would do if you felt most secure.” – Meister Eckhart

Happy Saturday!

I hope that a had great week and are currently out enjoying a relaxing 3-day President’s Day holiday weekend.

As for the broad markets this week, investors, in general, were treated with a bit of a mixed affair with the small cap issuers outperforming the large caps overall, while VandaTrack published data confirming that retail investors have pushed approx. $1.51B on average daily into U.S. stocks during the most recent month. The week investors digested a number of macroeconomic, corporate earnings, & hawkish reports from a few Fed Presidents that were once again chirping prior to their March meeting that we are pointed towards another 50bps interest rate raise.

Specifically, the macroeconomic schedule offered a number of reports, led by the CPI & retail sales data that left investors with the understanding that the Fed will be raising interest rates in March as inflation is still not believed to be under control even though there are signs that the Fed’s work is doing its damage. Tuesday’s offering included the Total CPI that clocked in .5% higher M/M, the core-CPI, sans food & energy, moved up .4% M/M & on a Y/Y the total CPI rose 6.4% & core-CPI is 5.6%, both the smallest rises since Q4 2021. On Wednesday, the Weekly MBA Mortgage Applications Index report came in at -7.7%. The January Retail Sales report clocked in at 3%. The February Empire State Manufacturing report came in at -5.8. The January Industrial Production report came at .0% , while the January Capacity Utilization was at 78.3%. The December Business Inventories report came in at .3%. The February NAHB Housing Market Index report also came in at 42. On Thursday, the January Housing Starts report came in at 1.309M, while the January Building Permits were at 1.339M, confirming a slowing from busters and buyers. The January PPI clocked in at .7%, while the January Core PPI was at .5% giving the understating that inflation is still at hand. The Weekly Initial Claims report casein lower than expected at 194K, while the Weekly Continuing Claims report came in slightly higher at 1.696M. Finally, the February Philadelphia Fed Index report was at -24.3. On Friday, the January Import prices report came in at -.2%, while the January Export Prices repot came in at .8% & the January Leading Indicators report came in at -.3%.

As a result, the yield curve jumped higher again this week, which generally stifles growth, puts pressure earnings and expendable income, and adds downward pressure on the stock market. At the close of Friday, the 2-yr note yield had moved up 10 basis points to close at 4.61% & the 10-yr note yield closed up 18 basis points at 3.92%. The U.S. Dollar Index also moved up again this week from last Friday’s close of 103.58 to 103.88.

At the end of the week, the S&P 500 closed at 4,079.09 (-.3%) for the week and is now up 6.2% YTD. 6 of the 11 sectors closed in the green as the consumer discretionary sector led the pack moving up .6% while the energy sector fell a sold 6.9% as oil prices retreated 3.9% to close at $76.60/bbl and is down 4.6% YTD. The 6.82% weighting of the shares of Apple (AAPL) provided strength this week as it closed at $152.55, +1.02% over the last 5-days, as did, the shares of EV giant Tesla (TSLA) that closed at $208.31, +3.64% over the last 5-days and is up 69.11% YTD. This week, Tesla stated that it is committed to open up 7.5k of Tesla’s charging stations to non-Tesla vehicle owners by the end of 2024, which came after the Feb. 15 Biden Administration announcement of its latest set of actions aimed at creating a convenient, reliable and Made-in-America electric vehicle (EV) charging network so that the great American road trip can be electrified. President Biden’s Bipartisan Infrastructure Law invests $7.5 billion in EV charging, $10 billion in clean transportation, and over $7 billion in EV battery components, critical minerals, and materials. Elon Musk will also share his ‘Master Plan part 3’ at the upcoming March 1 Investor Day that will be held at his Gigafactory in Texas.

The Dow 30 slipped to close at 33,826.60 (-.1%) and is now up +2% YTD. The Walt Disney Company (DIS) closed at $105.22, down 2.63% over the last 5-day. Disney recently confirmed that it plans to cut 7k jobs & eliminate $5.5B costs overall. Nike (NKE) closed at $124.84, up 2.14% over the last 5-days.

The Nasdaq began to rise again this week after last week’s hiatus and closed the week at 11,787.20 (+.6%) for the week and is up 12.6% YTD. Shares of DraftKings Inc. (DKNG) rose +28.46% over the last 5-days a move that coincided with their announcement its fourth quarter and fiscal year 2022 financial results. For the three months ended December 31, 2022, DraftKings reported revenue of $855 million, an increase of 81% compared to $473 million during the same period in 2021 driven primarily by continued customer retention and monetization in existing states, the successful launches of its Sportsbook and iGaming products in additional jurisdictions, and structural sportsbook hold improvement. Revenue and Adjusted EBITDA for the three months ended December 31, 2022 both outperformed the commentary previously provided by DraftKings on November 4, 2022.

The small caps on the Russell 2000 that took a solid 3.4% hit last week closed at 19,46.36 (+1.4%) for the week & is now up +10.5 YTD. The MicroCaps also rose widely this week as the iShares Micro-Cap ETF (IWC) closed at $118.50 rebounding 1.03% this week & is now up 9.90% YTD.

Biotech stocks also enjoyed a positive turn this week. On the larger side of things, the Nasdaq Biotechnology ETF (IBB) moved up and closed at $133.36, +.76% and is up 1.58% YTD, the NYSE ARCA Biotech Index (^BTK) closed at 5,526.35, +1.33% over the last 5-days and is now up 4.64% YTD, & the SPDR S&P Biotech ETF (XBI) closed at $86.80, up 1.38% over the last 5-days & is now up 4.58% YTD. The 52-week range is is now $61.78-$97.19. The iShares U.S. Healthcare ETF (IYH) closed at $277.22,-.13% over the last 5-days and is now down 2.29% YTD.

The CBOE Volatility Index (^VIX) closed at $20.02, down 2.48% over the last 5-days after last week’s 12% positive swing and is now down 7.61% YTD.

FURTHER AFIELD

Shares of JPMorgan (JPM) closed at $142.24, +.85% over the last 5-days. On Feb. 15, JPM declared dividends on the Firm’s Series X & II preferred stock. Information can be found on the Firm’s Investor Relations website at https://www.jpmorganchase.com/ir/news.

Shares of Amazon.com, Inc. (AMZN) closed $97.20, -.42% over the last 5-days. This week, Amazon called back its employees back to their offices 3-days of the week.

On Feb. 2, Amazon.com, Inc. announced financial results for its fourth quarter ended December 31, 2022. Net sales increased 9% to $149.2 billion in the fourth quarter, compared with $137.4 billion in fourth quarter 2021. Excluding the $5.0 billion unfavorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales increased 12% compared with fourth quarter 2021. North America segment sales increased 13% year-over-year to $93.4 billion, or increased 14% excluding changes in foreign exchange rates. International segment sales decreased 8% year-over-year to $34.5 billion, or increased 5% excluding changes in foreign exchange rates. AWS segment sales increased 20% year-over-year to $21.4 billion.Operating income decreased to $2.7 billion in the fourth quarter, compared with $3.5 billion in fourth quarter 2021.

Shares of Microsoft Corp. (MSFT) closed at $263.10, +1.84% over the last 5-days. On Feb. 16, Microsoft announced that five years ago that they launched the TechSpark program with a goal to accelerate economic growth in six communities across the United States and Mexico. TechSpark works with local community organizations to develop digital skills, support nonprofits and create jobs. Microsoft is now expanding this program to all 50 states via a new TechSpark Fellows model. The expansion beyond eight existing locations to communities across the United States means Microsoft will supply a grant to support a TechSpark fellow, along with hands-on mentorship and training.

On Feb. 8, Adobe (Nasdaq:ADBE) and Microsoft announced that they have taken the next step in their commitment to transform the future of digital work and life by bringing Adobe Acrobat’s PDF capabilities to more than 1.4 billion Microsoft Windows users in Microsoft Edge.

Shares of Salesforce, Inc. (CRM) closed at $165.17, -1.11% over the last five days. Salesforce will release its fourth quarter and full fiscal year 2023 results on Wednesday, Mar. 1, 2023, after the close of the market.

Shares of Intel (INTC) fell .68% to close at $27.31 over the last 5-days. On Feb 8, Intel issued “Intel Editorial: Unlocking the Potential of Generative AI” by Ilke Demir of Intel Corporation. It begins as follows: “Generative artificial intelligence (AI) describes the algorithms used to create new data that can resemble human-generated content, including audio, code, images, text, simulations and videos. This technology is trained with existing content and data, creating the potential for applications like natural language processing, computer vision, metaverse and speech synthesis. Generative AI is not new. It’s the tech that created voice assistants, infinitely evolving games, and chatbots…READ The balance of the piece it here.

Shares of NVIDIA (NVDA), a pioneer in accelerated computing, closed at $213.88, +.58% over the last 5-days. NVIDIA will host a conference call on Wednesday, February 22, at 2 p.m. PT (5 p.m. ET) to discuss its financial results for the fourth quarter and fiscal year 2023, which ended January 29, 2023. The call will be webcast live (in listen-only mode) on investor.nvidia.com.

Cathie Wood’s ARK Innovation ETF (ARKK) closed at $41.86, +6.92% over the last 5-days.

The Technology Select Sector SPDR Fund (XLK) closed at $139.82, -.40% over the last 5-days.

Shares of McDonald’s (MCD) closed at $269.99, +2.88% over the last 5-days. On Feb, 2, McDonald’s Board of Directors declared a quarterly cash dividend of $1.52 per share of common stock payable on March 15, 2023 to shareholders of record at the close of business on March 1, 2023.

On Jan. 31, McDonald’s Corporation announced results for the fourth quarter and year ended December 31, 2022. Global comparable sales increased over 12% for the quarter, with double-digit growth across all segments. Digital Systemwide sales* in their top six markets were over $7 billion for the quarter, representing more than 35% of their Systemwide sales. Full year comparable sales grew over 10%, and comparable guest counts grew 5%.

GOLD & SILVER

Gold prices closed at $1869/oz., -$23/oz. & silver prices closed at $21.75/oz., -$.28/oz. for the week.

Hecla Mining (HL) closed at $5.17, -9.17% over the last 5-days after reporting its fourth quarter and full-year 2022 operations and financial results before market open on Wednesday, February 15, 2023. They highlighted 10% silver production growth in 2022, that they expect 18% growth in 2023 and 35% by 2025 & that silver cost guidance achieved with 2023 set at similar levels.

First Majestic (AG) closed at $7.16, -2.05% over the last 5-days.

MEMES CENTRAL

AMC Entertainment (AMC) closed at $5.24, +6.94% & (APE) closed at $2.40, +4.35% over the last 5-days. AMC will report its results for the fourth quarter and year ended December 31, 2022, after the market closes on Tuesday, February 28, 2023. Investors and interested parties should go to the website (https://investor.amctheatres.com/corporate-overview/) at least 15 minutes before the earnings webcast to register, and/or download and install any necessary audio software one Tuesday, February 28, 2023 at 4:00 p.m. CST / 5:00 p.m. EST.

GameStop (GME) closed at $21.99,+14.12% over the last 5-days as the shorts lost overall this week.

Seanergy Maritime Holdings Corp. (SHIP) closed at $5.27, -12.17% over the last 5-days. On Feb. 15, Seanergy announced that its Board of Directors has determined to effect a 1-for-10 reverse stock split of the Company’s issued and outstanding shares of common stock, effective at the opening of trading on February 16, 2023. At the special meeting of the shareholders of the Company held on February 7, 2023, Seanergy’s shareholders approved a reverse stock split by a ratio of not less than 1-for-8 and not more than 1-for-12 and granted the Board the authority to determine to effect the reverse stock split and the exact split ratio within this range. The Board approved the reverse stock split on February 9, 2023. n addition, the Company announced today that its Chairman and Chief Executive Officer, Mr. Stamatis Tsantanis, intends to purchase an aggregate of up to $1,000,000 in the Company’s common shares in the open market, following the effective date of the reverse stock split. This follows the previously announced open market purchases of 300,000 common shares concluded by Mr. Tsantanis in the past six months.

CRYPTO & BITCOIN

Bitcoin (BTC) closed at $24,645.95, +10.91% over the last 5-days at the time this report was prepared.

ENERGY

The Energy Select Sector SPDR Fund or ETF (XLE) closed at $84.49, -6.34% over the last 5-days.

Chevron (CVX) closed at $162.85, -5.30% over the last 5-days. On Feb. 16, Chevron and the Fab Foundation announced the first recipients of an all-new fellowship program that supports STEM educators across the world. The Chevron Fab STEM Fellowship was awarded to Nathan Pritchett of Tulsa, Oklahoma and to Pieter Verduijn of Calabas, Aruba. The Chevron Fab STEM Fellowship is a one-year discovery program for outstanding educators to learn about, create and promote innovative and inclusive programs that teach STEM using digital fabrication and engage new and underrepresented student populations in STEM education and careers.

Warren Buffet’s pick in the sector, Occidental Petroleum (OXY) closed at $60.73, -7.47% over the last 5-days. On Jan. 20, Occidental (NYSE:OXY) announced that Claire O’Neill, former Member of Parliament and Minister for Energy and Clean Growth in the UK Government, and a former Managing Director, Climate and Energy of the World Business Council for Sustainable Development (WBCSD), has been elected to its Board of Directors, effective as of January 17, 2023. Occidental will announce its fourth quarter 2022 financial results after close of market on Monday, February 27, 2023, and will hold a conference call to discuss results on Tuesday, February 28, 2023, at 1 p.m. Eastern/12 p.m. Central. The conference call may be accessed by calling 1-866-871-6512 (international callers dial 1-412-317-5417) or via webcast at oxy.com/investors. Participants may pre-register for the conference call at https://dpregister.com/sreg/10173524/f531c7c588.

Oil prices closed down 3.9% at $76.60/bbl and is down 4.6% YTD.

NEXT WEEK

The markets will be closed on Monday, President’s Day and the will have 4 full trading sessions in the stock market thereafter.

VP WATCHLIST UPDATES

Please review a select group of emerging names below and their updates below:

Shares of ADT Inc. (ADT), the most trusted brand in smart home and small business security, closed at $8.37, +.72% over the last 5-days. ADT will release its fourth quarter and full year 2022 financial results before the market opens on Tuesday, Feb. 28, 2023. Following the release, management will host a conference call at 10:00 a.m. ET to discuss the financial results and lead a question-and-answer session. Participants may listen to a live webcast through the investor relations website at investor.adt.com.

Shares of Atossa Therapeutics, Inc. (Nasdaq: ATOS), a clinical-stage biopharmaceutical company seeking to discover and develop innovative medicines in areas of significant unmet medical need in oncology, with a current focus on breast cancer and radiation-induced lung injury, closed at $.8023, up +9.90% over the last 5-days and is up 51.38% YTD.

- On Feb. 13, Atossa Therapeutics, Inc. (Nasdaq: ATOS), a clinical stage biopharmaceutical company developing innovative proprietary medicines to address significant unmet need in cancer, announced that the United States Patent and Trademark Office (USPTO) has granted a new patent (No. 11,572,334) directed to (Z)-endoxifen encapsulated in an enteric capsule. Enteric capsules have an acid resistant coating to prevent them from dissolving when they pass through the stomach. Enteric capsules are dissolved when they pass through an alkaline environment, which is usually when they reach the small intestine. Delivering oral (Z)-endoxifen via an enteric capsule prevents breakdown of the endoxifen in the stomach. This patent further reinforces Atossa’s broad Intellectual Property portfolio related to (Z)-endoxifen. A short ‘explainer’ video about the new patent can be found here: https://youtu.be/MrcEYp4Pptc. Dr. Steven Quay, Atossa’s President and Chief Executive Officer stated, “We are very pleased with the scope and breadth of this new key patent. It ensures that in the U.S., Atossa will have the only (Z)-endoxifen treatment delivered orally with an enteric capsule, which we believe is the optimal way to deliver the drug. This new patent, further strengthens our intellectual property estate and should create long-term stockholder value. There are a number of research-level medical applications of endoxifen outside of breast cancer, including in bipolar disorder disease in adults and in modulating genetically modified, cell-based therapies for cancer and immune diseases, that may require access to our endoxifen patents and technologies. Atossa will monitor these activities carefully as they approach commercialization, with an eye to establishing appropriate licensing arrangements for the benefit of Atossa shareholders.”

- On Wednesday Jan. 25, Atossa Therapeutics announced the issuance of the following Letter to Shareholders from Steven C. Quay, M.D., Ph.D., the Company’s CEO and Chairman:
  TO OUR VALUED STOCKHOLDERS:
  
  2022 was a year of significant progress for Atossa. We focused our development efforts on advancing our breast cancer program with our patented (Z)-endoxifen, the highest potency Selective Estrogen Receptor Modifier (SERM). We currently have Phase 2 studies ongoing in the prevention and treatment settings, both focused on areas of unmet medical need. Our goal is to both help reduce the incidence of breast cancer and change the treatment paradigm for patients who are not benefiting from currently approved drugs.
  
  In October 2022, the U.S. Food and Drug Administration (FDA) authorized the initiation of our EVANGELINE study, a Phase 2 trial of (Z)-endoxifen and Exemestane + Goserelin as neoadjuvant treatment in premenopausal women with ER+/HER2- breast cancer. While there are several FDA-approved neoadjuvant therapies for ER- breast cancers, few exist for the ER+ patients, which account for approximately 78% of breast cancers. We expect to enroll approximately 175 patients at up to 25 sites across the United States. READ THE BALANCE OF THE PROGRESS REPORT BY CLICKING HERE.

The multi-billion-dollar global fertility market is predicted to reach approximately US$47.9 billion by 2030, yet remains severely underserved with many patients (upwards of 90% by many estimates) unable to access affordable treatment. INVO Bioscience, Inc. (NASDAQ: INVO) offers the INVOcell solution which provides an advanced, effective and affordable infertility treatment to help increase access to care. INVO is commercially advancing INVOcell through the opening of INVO Centers, opportunistically now pursuing acquisitions of established fertility (IVF) clinics in the U.S., and continuing to offer the technology to existing fertility practices. Shares INVO closed at $.645 and is up +17.74% over the last 5-days and is up 79.10% YTD. The 52-wk range is $.3290 – $3.179.

On Jan. 16, BioSpectrum published an article titled “INVO Bioscience introduces next-gen technologies to fertility market in Taiwan.”

On Jan. 5, INVO Bioscience announced it has entered an exclusive distribution agreement with Ming Mei Technology Co. Ltd (“Ming Mei”) for Taiwan. The agreement will have an initial 1-year term with renewals. Ming Mei is a leading distributor of fertility-based devices and components in Taiwan helping to bring the latest and most advanced medical equipment into the region. Ming Mei estimates it has approximately 90% coverage of reagents and consumables in the reproductive medicine market in Taiwan. With strong customer relationships in the region, and their familiarity with the field of reproductive medicine, Ming Mei is ideally suited to expand distribution of INVOcell in Taiwan. Taiwan is a destination for assisted reproductive technology (ART) throughout Asia and also has the lowest birthrate in the world. Taiwan’s birth rate has dropped as a result of similar trends elsewhere in Asia, such as later marriage and increasing cost of living. Further, the average age of patients requiring therapy is rising. Fortunately, according to the statistics published by “ICMART”, the overall implantation rate of therapy in Taiwan ranked second worldwide, almost equal to the level in the U.S., and a leading country in Asia. The stable high success rate derives from updated medical research and enriched clinical experience from the physicians, advanced laboratory facilities and technology as well as patient-centered customized treatment plans (depending on their age, ovarian functions and causes of infertility, etc.). Prior to the pandemic, in 2019 there were approximately 55,000 ART cases in Taiwan, an increase of approximately 55% compared to 2016. In July 2021, the government in Taiwan implemented a subsidy plan for ART with the goal of encouraging more local married couples to undergo ART treatments. The subsidies are also available to transnational couples in which one spouse holds a Taiwanese ID card.

On Jan. 3, INVO announced it has signed an agreement with Shelly W. Holmström, M.D. FACOG, to serve as the physician operator for the Company’s soon to be opened Tampa, Florida INVO Center.

READ our recently published story that is gaining traction titled “INVO Bioscience (NASDAQ: $INVO), A Company Seeking To Address A Massively Underserved Fertility Market.”

- On Nov. 30, INVO announced the birth of the first baby in Malaysia utilizing the INVOcell solution. The healthy baby boy weighed 3.53 kg and was born on November 11, 2022 at Tuanku Mizan Military Hospital in Kuala Lumpur. Physicians at Advanced Reproductive Centre (ARC), at Hospital Canselor Tuanku Muhriz (HCTM), at the National University of Malaysia conducted the IVC procedure. The patient was part of a prospective peer reviewed study of INVOcell compared to conventional IVF (“cIVF”) that took place at ARC at HCTM. The study, titled “Comparison of Treatment Outcomes among Sibling Oocytes Using Different Culture Systems—Conventional IVF versus INVOcell Device—And Evaluation of INVOcell User Satisfaction: The INVOcIVF Study,” was published in the International Journal of Environmental Research and Public Health. “We couldn’t be more pleased to have been a part of this family’s journey towards parenthood,” commented Steve Shum, CEO of INVO Bioscience. “The INVOcell solution is playing a key role in providing families across the world an alternative method to parenthood by leveraging its innovative medical device to allow fertilization and early embryo development to take place in vivo within the woman’s body; an approach that provides for affordable, high-quality, patient-centered fertility care.” Key findings of the study included:
  - The fertilization rate and good embryo quality were comparable (not significantly different) between INVOcell and cIVF.
  - Although both methods produce similar fertilization rates and good-quality embryos, the blastulation rates were better in the INVOcell group.
  - INVOcell can be used as an alternative method for reproductive treatment in carefully selected patients without jeopardizing outcomes.
  - cIVF is costly and not applicable in most rural and district areas, therefore, the INVOcell can be utilized as a cost-effective alternative to cIVF without sacrificing comfort and outcomes.

Shares of Chinook Therapeutics, Inc. (KDNY), a biopharmaceutical company focused on the discovery, development and commercialization of precision medicines for kidney diseases, closed at $23.21, -3.81% over the last 5-days after recently establishing a new 52-wk high of $27.44 recently.

- On Nov. 10, Chinook provided a business update and reported financial results for the quarter and nine months ended September 30, 2022. “During the third quarter of 2022, we continued advancing our pipeline of clinical and preclinical programs for rare, severe chronic kidney diseases. We are pleased with the strong data presented at ASN Kidney Weekend 2022 from both our lead programs, atrasentan and BION-1301, in IgA nephropathy (IgAN), as well as from CHK-336 and our preclinical research approach,” said Eric Dobmeier, president and chief executive officer of Chinook Therapeutics. “We look forward to 2023, when we plan to initiate a phase 3 study of BION-1301 in patients with IgAN, present data from the ongoing phase 1 clinical trial of CHK-336 in healthy volunteers in the first half and report topline proteinuria data from the ongoing phase 3 ALIGN study of atrasentan in the third quarter.”

Borqs Technologies, Inc. (Nasdaq: BRQS, $.2743 up a cool 31.87% YTD), a global provider of 5G wireless solutions, Internet of Things (IoT) solutions, and innovative clean energy, recently provided the following updates on the Company.

On Dec. 19, Borqs announced the Company has received a letter dated December 13, 2022 (the “Letter”) from the Department of the Treasury on behalf of the Committee on Foreign Investment in the United States (“CFIUS”) stating that the Company is required to negotiate with CFIUS to fully divest its ownership interests and rights in Holu Hou Energy LLC (“HHE”) due to HHE solar energy storage system and EnergyShare technology for Multi-Dwelling Residential Units (“MDU’s”) being deemed a critical technology and therefore a potential national security risk. As stated in the Letter, HHE is considered a top ten solar energy storage supplier in Hawaii, has only been increasing its dominant market share, expects to grow at an exponential rate, and focuses on multi-family dwelling units which are common in military housing. Due to Borqs’ IoT software development and hardware sourcing capabilities in China, CFIUS is concerned that through Borqs, the PRC could gain significant visibility and exert influence over HHE’s business operations and get access to HHE critical technology. CFIUS is requiring the Company to design a plan to mitigate all identified national security risks to the satisfaction of CFIUS. Borqs intends to comply to the requirements from CFIUS and enter into a National Security Agreement with various departments of the U.S. Government with a plan that is effective, monitorable and verifiable to voluntarily divest Borqs’ investment interests and rights in HHE (the “Plan”). HHE’s commercialization of its solar energy storage system and novel EnergyShare technology for MDU’s has enabled the company to open up a new market segment for renewable energy in the USA – likely worth several billions of dollars. In the last year the Company’s MDU development pipeline has reached thousands of individual units in Hawaii alone, with California MDU potential being at least one to two orders of magnitude higher in the coming years. One segment of this new market is for communities of military and other government personnel. The overall MDU opportunity is significant for the company and significant for the USA. Since Borqs’ financial support in HHE starting from October 2021, HHE has signed approximately $50 million in contracts and has a growing pipeline approaching half a billion dollars. They believe this voluntary mitigation will enable the tremendous inherent value of HHE to be realized and that the divestment can be a profitable transaction for Borqs’ shareholders. The Plan to mitigate will include engaging a nationally recognized investment bank with experience in administering competitive sales and auction processes, assigning and hiring of security and monitoring personnel to directly communicate with CFIUS, immediate and complete removal of all Borqs administrative and technical influence over HHE, immediate voluntary reduction of Borqs ownership of HHE from a majority to a minority position and with the target of divesting all. The Company believes such points will enable the Company to accomplish the divestment in an orderly manner.
On Dec.8, Borqs announced its subsidiary, Holu Hou Energy (HHE), has received multiple purchase orders for its HoluPower xP solar energy storage systems for installation at homeowner locations in the Greater San Diego area in California. These orders represent the first for the Company in California. Whereas in Hawaii HHE works to develop and construct Single-Family Residential projects as an “end to end” provider, the Company will target the California homeowner market through already existing channel partners that will sell and construct the projects. For Multi-Dwelling Unit (MDU) Residential properties in the State, the Company will initially target apartment owners, REITs and other MDU stakeholders directly, then partner with existing licensed contractors for system construction. HHE has been focused on the Hawaii market since it began commercial shipments in 2020, in order to become successfully established in the largest market in the United States based upon solar installation penetration. Now it is turning to California, the largest market in terms of size of available opportunity. HHE recently completed the testing and documentation required for the HoluPower xP to be listed as an approved product by the California Energy Commission. The Company expects to be listed by early January 2023, after which permitting and installations can commence. In Hawaii, Holu Hou Energy has quickly become a leader for solar energy storage systems in the Single-Family Residential market, and has essentially created the previously untapped Multi-Dwelling Unit (“MDU”) Residential market for renewable energy by virtue of its “EnergyShare” technology. The same leading product attributes will benefit MDU property owners and homeowners in California. The potential available MDU market in California is believed to be in the billions of dollars. EnergyShare enables networked systems to share excess generation behind their respective utility meters, a game-changer for improving the project economics for the MDU market, including for low-income housing, rental property units and Home Owners Association managed condominiums and town homes. EnergyShare enables more energy to be delivered to load, and fewer batteries to be installed than the standard approach of a unit-by-unit installation.

On Dec. 8, Borqs announced its subsidiary, Holu Hou Energy (HHE), has received multiple purchase orders for its HoluPower xP solar energy storage systems for installation at homeowner locations in the Greater San Diego area in California. These orders represent the first for the Company in California. Whereas in Hawaii HHE works to develop and construct Single-Family Residential projects as an “end to end” provider, the Company will target the California homeowner market through already existing channel partners that will sell and construct the projects. For Multi-Dwelling Unit (MDU) Residential properties in the State, the Company will initially target apartment owners, REITs and other MDU stakeholders directly, then partner with existing licensed contractors for system construction. HHE has been focused on the Hawaii market since it began commercial shipments in 2020, in order to become successfully established in the largest market in the United States based upon solar installation penetration. Now it is turning to California, the largest market in terms of size of available opportunity. HHE recently completed the testing and documentation required for the HoluPower xP to be listed as an approved product by the California Energy Commission. The Company expects to be listed by early January 2023, after which permitting and installations can commence. In Hawaii, Holu Hou Energy has quickly become a leader for solar energy storage systems in the Single-Family Residential market, and has essentially created the previously untapped Multi-Dwelling Unit (“MDU”) Residential market for renewable energy by virtue of its “EnergyShare” technology. The same leading product attributes will benefit MDU property owners and homeowners in California. The potential available MDU market in California is believed to be in the billions of dollars. EnergyShare enables networked systems to share excess generation behind their respective utility meters, a game-changer for improving the project economics for the MDU market, including for low-income housing, rental property units and Home Owners Association managed condominiums and town homes. EnergyShare enables more energy to be delivered to load, and fewer batteries to be installed than the standard approach of a unit-by-unit installation.

- To view a video clip of a recently completed HHE Multi-Unit Residential project go to: https://www.youtube.com/watch?v=kakbynGM-fQ

Shares of InMed Pharmaceuticals Inc. (INM), a leader in the research, development and manufacturing of rare cannabinoids, closed at $1.60.

On Feb. 17, InMed announced financial results for the second quarter of fiscal year 2023 which ended December 31, 2022 and highlighted that they closed calendar year 2022 with strong cash position of $11.5 million, that they are approaching completion of enrollment for Ph 2 clinical trial in EB, & that they are adavincing research using rare cannabinoids in treating glaucoma and neurodegenerative diseases such as Alzheimer’s, Huntington’s and Parkinson’s.
On Jan. 10. InMed issued a press release that outlined their key accomplishments from 2022 and provided business update and catalysts for 2023 including the following interesting milestones for 2023: Complete Phase 2 clinical trial enrollment in Epidermolysis Bullosa in 1Q 2023, Progress preclinical research in glaucoma in preparation for human trials, & Advance research using rare cannabinoids in treating neurodegenerative diseases such as Alzheimer’s, Huntington’s and Parkinson’s. Please read our latest PROGRESS REPORT by clicking here.

On Nov. 17, Tribe Public’s Webinar Presentation and Q&A Event was co-hosted by Eric A. Adams, CEO & Eric C. Hsu, PhD, Senior Vice President, Pre-Clinical Research & Development of InMed Pharmaceuticals (NASDAQ: INM. They delivered a presentation titled “Exploring The Neuroprotective Qualities of Rare Cannabinoids”& addressed a Q&A session at the end of the presentation. You may now watch the event video art the Tribe Public YouTube Channel at this link.

Cytovia Therapeutics aims to accelerate patient access to transformational cell therapies and immunotherapies, addressing several of the most challenging unmet medical needs in cancer. Cytovia focuses on harnessing the innate immune system by developing complementary and disruptive iPSC-derived Natural Killer (iNK) cell and Flex-NK™ bispecific antibody platforms. The company is developing three types of iNK cells: unedited iNK cells, TALEN® gene-edited iNK cells with improved function and persistence, and TALEN® gene-edited iNK cells with chimeric antigen receptors (CAR-iNKs) to improve tumor-specific targeting. The second complementary cornerstone technology is a quadrivalent multifunctional antibody platform designed to engage natural killer cells by targeting NKp46 using Cytovia’s proprietary Flex-NK™ technology. These two technology platforms are being used to develop treatment for patients with solid tumors such as HCC and glioblastoma as well as hematological malignancies such as refractory multiple myeloma. Headquartered in Aventura, FL., Cytovia has research and development laboratories in Natick, MA. The company’s own R&D work is augmented through scientific partnerships with Cellectis, CytoImmune, the Hebrew University of Jerusalem, INSERM, the New York Stem Cell Foundation, the National Cancer Institute, and the University of California San Francisco (UCSF). Cytovia has a partnership with CytoLynx Therapeutics focused on research and development, manufacturing, and commercialization activities in Greater China.

On Dec. 9, 2022, Cytovia announced new preclinical data for its CD38-targeted Flex-NK™ bispecific antibody at the American Society of Hematology’s 64th Annual Meeting (ASH 2022) taking place in New Orleans, LA, and virtually December 10-13th, 2022. “We’re delighted to see further progress on our CD38-targeted Flex-NK™ bispecific antibody program, with a pre-clinical package that supports clinical evaluation in 2023,” commented Cytovia CEO Dr. Daniel Teper. “The data presented at ASH suggests that CYT-338, our CD38-targeted Flex-NK™ Bispecific Antibody, has a differentiated profile compared to daratumumab, the leading CD38-targeted monoclonal antibody and that CYT-338 may have the ability to overcome NK cell exhaustion and dysfunction.” Cytovia believes that by redirecting and activating NK cells to kill myeloma cells, bispecific antibodies have the potential to offer new options for patients not responding to first lines of treatment.”

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 this year!

Investing & Inspiration

“Do exactly what you would do if you felt most secure.” – Meister Eckhart
“Life lived for tomorrow will always be just a day away from being realized.” – Leo Buscaglia
“Wisdom is oftentimes nearer when we stoop than when we soar.” – Wordsworth
“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
“A single twig breaks, but the bundle of twigs is strong.” – Tecumseh
“If one does not know to which port one is sailing, no wind is favorable.” – Lucius Annaeus Seneca
“There is little that can withstand a man who can conquer himself.” – Louis XIV
“The limits of the possible can only be defined by going beyond them into the impossible.” – Arthur C. Clarke
“Be faithful in small things because it is in them that your strength lies.” – Mother Teresa
“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
“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
“No man was ever wise by chance.” – Lucius Annaeus Seneca
“Progress is man’s ability to complicate simplicity.” – Thor Heyerdahl
“It is not in the stars to hold our destiny but in ourselves.” – William Shakespeare
“It does not matter how slowly you go as long as you do not stop.” – Confucius
“I want to put a ding in the universe.” – Steve Jobs
“Research is creating new knowledge.” – Neil Armstrong
“The reward for work well done is the opportunity to do more.” – Jonas Salk
“Man is a creative retrospection of nature upon itself.” – Karl Wilhelm Friedrich Schlegel
“There’s something about taking a plow and breaking new ground. It gives you energy.” – Ken Kesey
“Success seems to be largely a matter of hanging on after others have let go.” – William Feather
“The essential conditions of everything you do must be choice, love, passion.” – Nadia Boulanger
“More business is lost every year through neglect than through any other cause.” – Rose Kennedy
“Give me a lever long enough and a fulcrum on which to place it, and I shall move the world.” – Archimedes
“A person who won’t read has no advantage over one who can’t read.” – Mark Twain
“The best way out is always through.” – Robert Frost
“Start by doing what’s necessary; then do what’s possible; and suddenly you are doing the impossible.” – Francis of Assisi
“Without labor nothing prospers.” – Sophocles
“Intellectuals solve problems, geniuses prevent them.” – Albert Einstein
“This is the precept by which I have lived: Prepare for the worst; expect the best; and take what comes.” – Hannah Arendt
“The best and most beautiful things in the world cannot be seen or even touched – they must be felt with the heart.” – Helen Keller
“He who is brave is free.” – Lucius Annaeus Seneca
“When something is important enough, you do it even if the odds are not in your favor.” – Elon Musk
“I choose a block of marble and chop off whatever I don’t need.” – Auguste Rodin
“Hope is the only bee that makes honey without flowers.” – Robert Green Ingersoll
“He who knows that enough is enough will always have enough.” – Lao Tzu
“Plans to protect air and water, wilderness and wildlife are in fact plans to protect man.” – Stewart Udall
“In order to carry a positive action we must develop here a positive vision.” – Dalai Lama
“A hero is someone who understands the responsibility that comes with his freedom.” – Bob Dylan
“Inflation destroys savings, impedes planning, and discourages investment. That means less productivity and a lower standard of living.” – Kevin Brady
“If we give something positive to others, it will return to us. If we give negative, that negativity will be returned.” – Allu Arjun
“A good plan violently executed now is better than a perfect plan executed next week.” ~ George S. Patton
“You must do the things you think you cannot do.”- Eleanor Roosevelt
“Success is dependent on effort.” – Sophocles
“Nobody who ever gave his best regretted it.” – George Halas
“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
“And when I breathed, my breath was lightning.” – Black Elk
“Moderation is the silken string running through the pearl chain of all virtues.” – Joseph Hall
“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
“If you want a guarantee, buy a toaster.” – Clint Eastwood
“We are an impossibility in an impossible universe.” – Ray Bradbury
“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
“I’d rather attempt to do something great and fail than to attempt to do nothing and succeed.” – Robert H. Schuller
“Do your little bit of good where you are; it’s those little bits of good put together that overwhelm the world.” Desmond Tutu
“It takes considerable knowledge just to realize the extent of your own ignorance.” – Thomas Sowell
“Do not dwell in the past, do not dream of the future, concentrate the mind on the present moment.” – Buddha”
Surprise is the greatest gift which life can grant us.” – Boris Pasternak
“Trust in dreams, for in them is hidden the gate to eternity.” – Khalil Gibran
“Always be yourself, express yourself, have faith in yourself, do not go out and look for a successful personality and duplicate it.” – Bruce Lee
“All life is an experiment. The more experiments you make the better.” – Ralph Waldo Emerson
“There are no secrets to success. It is the result of preparation, hard work, and learning from failure.” – Colin Powell
“There is more to life than increasing its speed.” – Mahatma Gandhi
“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
“Definiteness of purpose is the starting point of all achievement.” – W. Clement Stone
“Success usually comes to those who are too busy to be looking for it.” – Henry David Thoreau
“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
“Life is too short for long-term grudges.” – Elon Musk
“There cannot be a crisis next week. My schedule is already full.” – Henry Kissinger
“Success consists of getting up just one more time than you fall.” – Oliver Goldsmith
“The Earth is the cradle of humanity, but mankind cannot stay in the cradle forever.” – Konstantin Tsiolkovsky
“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
“Beauty surrounds us, but usually we need to be walking in a garden to know it.” – Rumi
“But man is not made for defeat. A man can be destroyed but not defeated.” – Ernest Hemingway
“Don’t watch the clock; do what it does. Keep going.” – Sam Levenson
“Let there be work, bread, water and salt for all.” – Nelson Mandela
“The social object of skilled investment should be to defeat the dark forces of time and ignorance which envelope our future.” – John Maynard Keynes
“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
“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
“It is the fight alone that pleases us, not the victory.” – Blaise Pascal
“If you can’t describe what you are doing as a process, you don’t know what you’re doing.” – W. Edwards Deming
“Never interrupt your enemy when he is making a mistake.” – Napoleon Bonaparte
“Be sure you put your feet in the right place, then stand firm.” – Abraham Lincoln
“Without investment there will not be growth, and without growth there will not be employment.” – Muhtar Kent
“You have to do your own growing no matter how tall your grandfather was.” – Abraham Lincoln
“Victory has a thousand fathers, but defeat is an orphan.” – John F. Kennedy
“Delete the negative; accentuate the positive!” – Donna Karan
“It’s crazy how fast time flies and how things progress.” – Nathan Chen
“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
“Life isn’t about finding yourself. Life is about creating yourself.” – George Bernard Shaw
“Everything has beauty, but not everyone sees it.” – Confucius
“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
“Walking with a friend in the dark is better than walking alone in the light.” – Helen Keller
“A man who dares to waste one hour of time has not discovered the value of life.” – Charles Darwin
“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
“Progress is man’s ability to complicate simplicity.” – Thor Heyerdahl
“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
“Nothing is impossible, the word itself says ‘I’m possible’!” – Audrey Hepburn
“But investment in space stimulates society, it stimulates it economically, it stimulates it intellectually, and it gives us all passion.” – Bill Nye
“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
“Life is a tragedy when seen in close-up, but a comedy in long-shot.” – Charlie Chaplin
“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
“Infrastructure investment in science is an investment in jobs, in health, in economic growth and environmental solutions.” – Oren Etzioni
“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
“Know thy self, know thy enemy. A thousand battles, a thousand victories.” – Sun Tzu
“If one does not know to which port one is sailing, no wind is favorable.” – Lucius Annaeus Seneca
“Beware of missing chances; otherwise it may be altogether too late some day.” – Franz Liszt
“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
“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
“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
“There is little that can withstand a man who can conquer himself.” – Louis XIV
“In tennis, you strike a ball just after the rebound for the fastest return. It’s the same with investment.” – Masayoshi Son
“A camel makes an elephant feel like a jet plane.” – Jackie Kennedy
“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
“Success depends upon previous preparation, and without such preparation there is sure to be failure.” – Confucius, Chinese
“Coming together is a beginning; keeping together is progress; working together is success.” – Edward Everett Hale
“Never do anything against conscience even if the state demands it.”– Albert Einstein
“Education is not only a ladder of opportunity, but it is also an investment in our future.” – Ed Markey
“The true measure of a man is how he treats someone who can do him absolutely no good.” – Samuel Johnson
“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
“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
“The best preparation for tomorrow is doing your best today.” – H. Jackson Brown, Jr.
“Friendship marks a life even more deeply than love. Love risks degenerating into obsession, friendship is never anything but sharing.” – Elie Wiesel
“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
“Success isn’t measured by money or power or social rank. Success is measured by your discipline and inner peace.” – Mike Ditka
“No matter how many goals you have achieved, you must set your sights on a higher one.” – Jessica Savitch
“Start where you are. Use what you have. Do what you can.”– Arthur Ashe
“The secret of getting ahead is getting started.” – Mark Twain
“The amount of work and the amount of both physical and emotional investment it takes to get to the top.” – Drew Bledsoe