Linkfire started to move this week. Yesterday it closed up 35.14%. The second best performing stock in Sweden. I think this should continue before next week catalyst.
Pareto should publish their initiation research on Linkfire in the next few days. The black out period (during which IPO syndicate brokers can not publish a research) ends on 28 July. This will be the first major catalyst. The publication of research by Pareto next week should introduce the investment story to investors and provide a guidance on valuation.
Other strong catalysts are due in August – see the below article for catalyst details:
I am long and very bullish Linkfire. I believe the stock should reach 20 SEK by the end of August and possibly more, if the acquisition of the second largest company in the area is announced.
- Linkfire has a potential to be ten times higher over the next 3-5 years as they extend their product offering to other areas. Not many companies can achieve that.
- There are many music streaming companies, but only one company services all majors. Linkfire has 70% market share in the novel product.
- Linkfire has been growing revenues 50-70% CAGR. The growth is accelerating with penetration into new segments. Gross margin is stable at 76%.
- Linkfire is negotiating on purchasing the second largest company to strengthen its position.
I posted on Tusday a short video introducing Linkfire, it is worth the 90 seconds of your life. Recommended.
OTHER IDEAS THAT I AM FOCUSED ON NOW
I am very bullish Biovica. They have a novel breast cancer test and they are awaiting FDA approval this quarter. They have 30 studies from the most reputable US and European hospitals (Jo Hopkins, Cleveland clinics…) that the test works. It saves lives and money. The strength of the studies minimizes the risk. The company has build relationship with the hospitals, labs and opinion leaders, so they will start selling the test right after the approval – everything is ready for commercialization. As we will get closer to the end of the Q3, the share price performance should accelerate. It did for Xbrane and it does for many other pharma companies in similar situation. I am long Biovica. Full investment thesis is below:
I am very bullish Quantafuel. I wrote several times here about the company. They have the partners, the vision and the first mover advantage to become a global leader in plastic recycling. Based on my talks with the management I believe they will announce the proof of concept with one or two months. I believe this should be a major catalyst for the stock. I also understand that after reaching the milestone they should apply for the main listing in Norway, which would significantly increase their investor universe. Once they do proof of concept there should be a string of material catalysts. I believe it is a good candidate for doubling this quarter after they reach the proof of concept. I think the major share price growth will happen in Q4 once they start operating the plant in full. Investment thesis below:
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