Bought $45C June 18 as lottery tickets a few days ago. Up 130% and I think there’s still a second leg here. Here’s why -
Company IPO’d at $28 in April. Nobody cared. Then Q1 dropped - Revenue beat by 9%. But that’s not the interesting part.
Net income went from NEGATIVE $4.3M to POSITIVE $53M in one year. 38.2% EBITDA margins on a defense manufacturer. Those are software numbers.
Morgan Stanley raised PT to $50 today. Goldman sitting at $53. Zero sell ratings.
RH isn’t showing an EPS number yet because it’s their first ever public earnings report. No prior history to compare. Most retail platforms haven’t caught up. The profitability story hasn’t fully landed yet.
Stock is at $45.84. Morgan Stanley thinks it’s worth $50. Goldman thinks $53. First profitable quarter ever. Guidance raised above consensus.
I’m holding my calls into next week hopefully to zero.
Do your own DD. Not financial advice. Position up top 🫡