Monday Market Open

Dear Reader,

Welcome to another week and another month. I hope you were able to accomplish a lot this past month and I wish you good vibes for April. 🤙 

As I think back to the things that I am most proud of, I realize that they were often right after doing some uncomfortable.

A new job, sending that email, moving to a new city, walking over to him/her, whatever it is, the moments we are often most proud of are right behind the uncomfortable events.

There are risks in doing these things^, but there are also risks in doing nothing.

So, have a good week and push your comfort level.

Enjoy the Alpha,

Market Indices & Commodities

(As of Sunday Eve)

What happened?
The Recap of the Week

• Sam Bankman-Fried sentenced to 25 years 📰

• Biden Restarts Nuclear power plant in Michigan 💡

• Trump Media stock has a strong week 📈

• Home Depot acquires SRS for $18 billion🎯

Graph of the Day
Sports Betting Market

News
What on the Horizon?

• Monday - Sigma Lithium and Tonix Pharmaceuticals corporate earnings.

• Tuesday - Paychex, Neurogene, Ocugen Inc, and Electra Battery Materials corporate earnings.

• Wednesday - Levi Strauss, BlackBerry, Acuity Brands, Dragonfly Energy, and Quantum Computing Inc. corporate earnings.

• Thursday - Lamb Weston, ConAgra Brands, RPM International, and Radius Recycling corporate earnings.

• Friday - Byrna Technologies and U.S. Employment report for March.

⭐Food companies are hot this week. Friday will be a good indication of how many jobs are being added to the U.S. economy. All earnings are according to Nasdaq.

The Secret Sauce
What’s happening with $LICY?

What has Li-Cycle ($LICY) been up to?

Well, the stock is up +186% this month.

What caused this you may ask? Reddit bros? Pelosi strikes again? Good guesses, but lets get to the meat and taters.

If you have invested in Li-Cycle in the past year, you are more than likely frustrated.

⭐Li-Cycle is a battery recycling company. Put simply, they take old batteries and remove the precious metals (Lithium, Cobalt, Nickel, etc.) for resale.

The company has been and still is, in “growth mode” throwing cash at new buildings, processing plants, hiring people, you get it.

Li-Cycle stock was hovering around $4 in early 2023 until the company started to acknowledge their sticky financial position and the stock started to slide. Then, like Ray Lewis out of the backfield they released a statement indicating a pause in the construction of one of their staple processing plants.

That hurt.

The stock hit a salute and dove off a cliff down to $0.40 cents and has been there since recently.

So why are they “back up” to over a buck?

The answer is Glencore. The commodity giant has worked with Li-Cycle before, and has come to the rescue this time investing $75 million which will allow Li-Cycle to improve their liquidity and financial position.

This investment (a convertible-note to a $0.53 cent share price) will ideally act like a bridge for Li-Cycle until they can improve their finances.

Li-Cycle has recently trimmed their team (around 60 people) and the CFO is stepping down, with Craig Cunningham, a VP from Kinross Gold (NYSE: KGC) assuming the CFO role. The company received a “conditional commitment” for a loan from the U.S. Department of Energy for $375 million early last year, but is still waiting for approval. This would be a huge help for their liquidity.

Li-Cycle’s trading volume has significantly increased and is currently watch listed on my phone.

Can they survive the financial pickle they find themselves in and ride to be one of the biggest battery-recycling companies in North America?

Let’s watch…

🧐☝️If you are interested in further exploring what is going in behind the scenes at Li-Cycle let me know in the poll at the bottom. I may explore their processing plants, the impact of commodity prices, their European expansion plans, management changes, contracts with battery companies, and more.

Thank you  
That’s all Folks

Hey, thank you for checking out Monday Market Open. Push your comfort zone this week and remember there are risks in doing nothing.

Cheers,