Naked Brand Group Limited

Naked Brand Group Limited (NASDAQ: NAKD) is a global e-commerce company dealing in intimate clothing and swimwear. It has exclusive rights to sell and market the renowned intimate apparel brand Fredericks of Hollywood via www.fredericks.com. Other NAKD authorized and owned brands include Pleasure State, Davenport, Lovable, Fayreform, Naked, VaVoom, Evollove, and Hickory.

Key Highlights

• NAKD reported an 11.13% decline in revenue to NZD 80.04 million in FY21 (ended January 31, 2021) from USD 90.07 million in FY20 due to temporary store closures and supply chain disruptions.
• Its FY21 net loss was NZD 68.35 million, higher than NZD 54.31 million reported in FY20.
• On October 27, 2021, the company received a 180-day extension (or until April 25, 2022) to re-comply with NASDAQ's USD 1.00 minimum bid price requirement as per the Listing Rule 5550(a)(2). Post the initial notification on April 26, 2021, the original compliance period expired on October 26, 2021.
• On November 09, 2021, NAKD signed an agreement to acquire a 100% stake in Cenntro Automotive Group, Inc., a commercial-stage EV technology company, in exchange for providing Cenntro shareholders with a 70% stake in the combined company.
• Upon completion of the transaction mentioned above (expected in 2021 end), NAKD will change its name to Cenntro Automotive Group (CAG) and retain its NASDAQ listing and ticker (NAKD).
• The stock is currently trading close to its crucial short-term (50-day) and long-term (200-day) SMA support levels, and its RSI Index is at 50.90.
• It is trading close to the lower end of its 52-week range of USD 0.14 to USD 3.40.
• NAKD's stock price fell 44.79% in the past nine months.

Technical Price Chart (as of November 19, 2021). Analysis by Kalkine

Conclusion: Considering the uncertain outlook, failure to comply with listing rules, and other technical indicators, we recommend an "Avoid" rating on the stock at the current price of USD 0.68, up 2.04%, as of November 19, 2021, at 11:14 AM ET.

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

Bit Brother Limited

Bit Brother Limited (NASDAQ: BTB) retails and distributes specialty tea products in China. It recently commenced blockchain technology and cryptocurrency mining operations, conducted through Hunan BTB, a VIE controlled via VIE agreements.

Key Highlights

• In FY21 (ended June 30, 2021), the company generated USD 5.71 million in revenue, 5.60x more than USD 0.87 million in FY20, due to an increase in sales of dark tea products to both online and offline clients.
• The net loss for the period increased to USD 8.04 million from USD 2.12 million reported in FY20.
• On November 16, 2021, the company closed a private placement of ~27.74 million units (each unit comprising one ordinary share and three share purchase warrants) at USD 0.875 per unit, for total gross proceeds of USD 24.27 million. The units were sold to certain non-US Persons as defined in Regulation S of the Securities Act of 1933.
• On November 03, 2021, the NASDAQ Stock Market Listing Qualifications Staff notified BTB of its successful compliance with the minimum bid price requirement under the NASDAQ Listing Rule 5550(a)(2).
• Stock is currently trading between its crucial short-term (50-day) and long-term (200-day) SMA support levels, and its RSI Index is at 45.26.
• It is leaning towards the lower end of its 52-week range of USD 0.74 to USD 6.69.
• BTB's stock price corrected 56.25% in the past week and 80.84% in nine months.

Technical Price Chart (as of November 19, 2021). Analysis by Kalkine

Conclusion: Considering the increase in net losses, low-profit margins, and other technical indicators, we recommend an "Avoid" rating on the stock at the current price of USD 1.16, up 1.69%, as of November 19, 2021, at 11:15 AM ET.

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