Meme stocks remain a controversial topic in the stock market because they generate momentum based primarily on retail investors’ interest due to the buzz around them on various social media platforms. While the massive…
GameStop Corporation (GME) short squeeze earlier this year caused a stir in the market, the hype surrounding some famous names has begun to fade. However, some new names have been added to the meme stock frenzy and are causing buzz on the subreddit WallStreetBets.
Despite criticisms about explosive price gains being delivered absent commensurate fundamental strength, increasing retail trading based solely on social-media hype is far from over. Indeed, investors are actively looking for new short-squeeze candidates.
Alibaba Group Holding Limited (BABA – Get Rating), Tilray, Inc. (TLRY – Get Rating), and ContextLogic Inc. (WISH – Get Rating) are currently among the most-mentioned names on WallStreetBets. Consequently, Wall Street analysts expect these stocks to rally by 40% or more in price in the near term.
Alibaba Group Holding Limited (BABA – Get Rating)
Based in Hangzhou, China, BABA is a technology infrastructure and marketing company that helps merchants, brands, retailers, and other businesses leverage new technology and operate more efficiently. The company operates through four segments: Core Commerce; Cloud Computing; Digital Media and Entertainment; Innovation Initiatives, and Others.
Last month, BABA launched Alibaba.com Dropshipping Solutions and granted $500,000 to support existing e-commerce businesses and the rise of “New Digital Entrepreneurs” to reshape their future.
BABA’s revenue for the quarter ended June 30, 2021, increased 33.8% year-over-year to RMB205.74 billion ($32 billion). The company’s income from operations came in at RMB30.85 billion ($4.79 billion), and its net income amounted to RMB42.84 billion ($6.66 billion) during this period. Also, the company’s EPS grew 12.4% from the year-ago value to RMB2.08 ($0.32).
Analysts expect BABA’s revenue for its fiscal year 2022 to be $141.1 billion, representing 27.4% year-over-year growth. The company has an impressive earnings surprise history; it beat the consensus EPS estimates in three of the trailing four quarters. Its EPS is expected to increase 16.1% next year.
The average analyst price target represents a 52.4% potential gain.
Tilray, Inc. (TLRY – Get Rating)
TLRY is a cannabis supplier company that produces and markets medicinal cannabis products to the pharmaceutical sector. The Nanaimo, Canada, company operates through five segments: Cannabis Business; Distribution Business; Beverage Alcohol Business; Wellness Business; and Business Under Development. Also, its subsidiary, FHF Holdings Ltd (Manitoba Harvest), manufactures, markets, and distributes hemp-based consumer products.
Last month, TLRY’s Canadian subsidiary partnered with a local Quebec cannabis player, ROSE LifeScience Inc. (ROSE). ROSE should represent the full TLRY portfolio through this newly expanded partnership and should enable…
Continue reading at STOCKNEWS.com