Agrify was a recent IPO on 1/28/2021 offered at $13.50/share, it shot up to $21.43 on 2/08/2021 at the height of the tech hype when the Nasdaq was at its record of 14,000 points.
Fundamentals: have improved since 2019, revenue is up about 190%. Gross profit was $570,000 for year ended 12/31/2020 vs net loss of ($245,000) for year ending 12/31/2019. Their R&D expenses have increased substantially, almost 30 times since 2019. Their sales and marketing expenses are also up, and Debt has increased based on the amount of interest expense in 2020. These factors indicate Agrify is attempting to expand rapidly.
Next, Agrify has a relatively low share volume of roughly 20 million shares outstanding, rendering the stock susceptible to higher volatility.
Revenue for 2020 were above analysts expectations.
Market Trend: Growing market, cannabis is becoming widely legalized throughout the United States thus expanding the demand for agricultural tools, software, and hardware. The human population is expanding and with it, the demand for food and efficient industrial agricultural practices.
Technicals: lower Resistance at $11.60/ share, 52W low of $10.49, 52 week High of $21.43/ share. Upper resistance at IPO price ($13.50/ share).
Insider Buying based on recently filed SEC Form 4s. Bearish trend that began February 12th, 2021 is beginning to break. Once the $13.50 resistance breaks, expect share prices to reach their next level of resistance at $21.00/ share.
Investor Sentiment for the tech sector: Bearish
Opinion: Based on the aforementioned fundamental and technical analysis, I project that the share prices for Agrify will climb to at least the $20 range by the end of April, should the Nasdaq continue to climb.
I am going long on this stock and have a target price of $63.00/ share.
Fundamentals: have improved since 2019, revenue is up about 190%. Gross profit was $570,000 for year ended 12/31/2020 vs net loss of ($245,000) for year ending 12/31/2019. Their R&D expenses have increased substantially, almost 30 times since 2019. Their sales and marketing expenses are also up, and Debt has increased based on the amount of interest expense in 2020. These factors indicate Agrify is attempting to expand rapidly.
Next, Agrify has a relatively low share volume of roughly 20 million shares outstanding, rendering the stock susceptible to higher volatility.
Revenue for 2020 were above analysts expectations.
Market Trend: Growing market, cannabis is becoming widely legalized throughout the United States thus expanding the demand for agricultural tools, software, and hardware. The human population is expanding and with it, the demand for food and efficient industrial agricultural practices.
Technicals: lower Resistance at $11.60/ share, 52W low of $10.49, 52 week High of $21.43/ share. Upper resistance at IPO price ($13.50/ share).
Insider Buying based on recently filed SEC Form 4s. Bearish trend that began February 12th, 2021 is beginning to break. Once the $13.50 resistance breaks, expect share prices to reach their next level of resistance at $21.00/ share.
Investor Sentiment for the tech sector: Bearish
Opinion: Based on the aforementioned fundamental and technical analysis, I project that the share prices for Agrify will climb to at least the $20 range by the end of April, should the Nasdaq continue to climb.
I am going long on this stock and have a target price of $63.00/ share.