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Keep an Eye Out for These US-Listed Beaten-Down Stocks - HIMS, LYLT, KNDI

Feb 02, 2022 | Team Kalkine
Keep an Eye Out for These US-Listed Beaten-Down Stocks - HIMS, LYLT, KNDI

Hims & Hers Health, Inc.

Hims & Hers Health, Inc. (NYSE: HIMS) is a multi-specialty telehealth platform that connects customers to licensed healthcare providers, allowing them to get quality medical care for various mental health, sexual health, dermatological, and primary care concerns.

Key Highlights:

  • The company reported a 79.49% increase in revenues to USD 74.17 million in Q3FY21 (ended September 30, 2021) compared to USD 41.32 million in Q3FY20.
  • HIMS reported an increase in net losses to USD 15.94 million in Q3FY21 from USD 5.87 million in Q3FY20.
  • The company's gross margins declined to 74.0% in Q3FY21 from 77.9% in Q2FY21.
  • On January 20, 2022, HIMS announced the availability of its high-quality hair care solutions at select Walmart retail locations around the country and on walmart.com.
  • The stock is currently trading below its key short-term (50-day) and long-term (200-day) DMA support levels, indicating a bearish trend.
  • It is leaning towards the lower band of the 52-week range of USD 4.07 to USD 25.40.
  • Its stock price has declined 41.25% and 58.08% in the past six and nine months, respectively.

Three-Year Technical Price Chart (as of February 01, 2022; at 2:25 PM ET). Analysis by Kalkine Group

Conclusion: Considering the company's growth in topline, margins pressure, bottom line stress, and other technical indicators, we recommend a "Watch" rating on the stock at the current price of USD 4.80, down 1.54% as of February 01, 2022, at 2:25 PM ET.

*The reference data in this report has been partly sourced from REFINITIV.

 

Loyalty Ventures Inc.

Loyalty Ventures Inc. (NASDAQ: LYLT) is a tech-enabled, data-driven consumer loyalty solutions supplier. It owns and operates the AIR MILES Reward Program, as well as BrandLoyalty, a Netherlands-based provider of purpose-driven, campaign-based loyalty solutions for grocers and other high-frequency businesses.

Key Highlights:

  • The company reported an 8.39% decline in total revenues to USD 169.26 million in Q3FY21 (ended September 30, 2021) compared to USD 184.76 million in Q3FY20.
  • LYLT reported an increase in net income to USD 23.96 million in Q3FY21 vs. USD 10.98 million in Q3FY20.
  • The company's EBITDA and net margins improved to 26.8% and 11.7% in Q3FY21 from 19.8% and 8.6% in Q2FY21, respectively.
  • It operates at a cash conversion cycle of 230 days in Q3FY21, which is much longer than the industry norm of 15 days.
  • The stock is currently trading below its critical short-term (50-day) DMA support level, indicating a bearish trend.
  • It is leaning towards the lower band of the 52-week range of USD 26.92 to USD 98.95.
  • LYLT stock price has declined 8.77% and 18.29% in the past one week and three months, respectively.

One-Year Technical Price Chart (as of February 01, 2022; at 2:30 PM ET). Analysis by Kalkine Group

Conclusion: Considering the recent pressure in the topline, long cash converting cycle, macro headwinds, and other technical indicators, we recommend a "Watch" rating on the stock at the current price of USD 28.60, down 2.42% as of February 01, 2022, at 2:30 PM ET.

*The reference data in this report has been partly sourced from REFINITIV.

 

Kandi Technologies Group, Inc.

Kandi Technologies Group, Inc. (NASDAQ: KNDI) principally develops, manufactures, and distributes electric vehicle (EV) products, EV parts, and off-road vehicle products in the Chinese market. All-terrain vehicles, go-karts, utility vehicles, battery packs, motor vehicles, controllers, and air conditioning systems are among the other products sold by the company.

Key Highlights:

  • The company recorded net revenues of USD 16.8 million, a 10.3% reduction from the Q3FY20. The revenue decline was primarily due to fewer EV part sales.
  • The company reported a rise in net losses to USD 7.9 million in Q3FY21 compared to USD 1.5 million in Q3FY20, owing to increased R&D spending and lower revenue produced by specific EV parts.
  • The company's gross margins declined to 16.4% in Q3FY21 from 20.4% in Q2FY21.
  • It operates at a cash conversion cycle of 427 days in Q3FY21, which is much longer than the industry norm of 52 days.
  • The stock is currently trading below its key short-term (50-day) and long-term (200-day) DMA support levels, indicating a bearish trend.
  • It is leaning towards the lower band of the 52-week range of USD 2.71 to USD 9.86.
  • Its stock price has fallen 40.45% and 43.11% in the past six and nine months, respectively.

Three-Year Technical Price Chart (as of February 01, 2022; at 2:29 PM ET). Analysis by Kalkine Group

Conclusion: Considering the macroeconomic conditions, margins pressure, long cash conversion cycle, and other technical indicators, we recommend a "Watch" rating on the stock at the current price of USD 3.055, up 1.83% as of February 01, 2022, at 2:29 PM ET.

*The reference data in this report has been partly sourced from REFINITIV.


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Past performance is not a reliable indicator of future performance.