Transcription
Will WGRX squeeze all the way upwards of the $2 to $3 levels, or is this a ticker whose glory days are behind it? You should be locking your profits and walking away from it.
What's up, TH friends? Today, we're explaining WGRX under three different lenses: the why, the what, and the where. The why: we're going to be doing a chart breakdown. The what: we're going to do stock analysis. The where: I'm going to be telling you guys where to get in and where to get out. So, without further ado, if this is the type of content you guys like, hit that thumbs up button, and now let's get to work.
So, when it comes to WGRX, guys, this is a ticker which is up approximately 200% at the time of recording this video. So, the first thing which we want to analyze is going to be the why. Why do we talk about the why first? We talk about the why because in order to predict the future, we first need to understand the past. And we need to analyze whether or not this is a ticker which is running based off of any actual, you know, fundamental news that is going to be able to actually help the stock hold these gains and build upon them, or is this a ticker which is going, which is just going to be here today, gone tomorrow?
In the case of WGRX, it actually did have some solid news a couple days ago. So, let's go and let's head to the news and let's see what's happened. So, it says, "Logistics and Devault team up to transform prescription tracking." It says that Devault, DVLT, and Logistics are collaborating to bring blockchain technology to the US prescription drug market through a non-binding letter of intent. The companies plan to integrate Devault's blockchain platform with Logistics' digital and physical infrastructure to streamline drug tracking, improve transparency, and enhance patient safety. The initiative, called Pharmacy Chain, will utilize blockchain-enabled smart contracts to automate prescription tracking and minimize errors, with a planned revenue-sharing model derived from pharmacy usage fees.
So, pretty cool stuff. I mean, pretty, pretty interesting stuff. Now, I'm going to be honest with you guys. For me, this isn't going to be a, you know, it's a lot of speculation going on here, right? Like, we don't really know what the success rate of this is. Do we know that it has a lot of potential? Yes, we know that it has a lot of potential. But at the end of the day, is it one of those news that actually goes ahead and directly affects the topline revenue of the company? Is it a new contract? Is it a new customer? Is it a new client? No, it's really not. Okay. Is it innovative? Yeah, absolutely. So, we're going to put it as good. We're not going to put it as amazing. And I'm going to be honest with you guys, I'm being kind saying good, okay? Because it's really okay.
Now, the next thing we want to do is going to be doing the what analysis. Now, when you're doing the what analysis, okay, it's very important. When you're doing the what analysis, a lot of people start doing company analysis instead of stock analysis, right? And they start looking at the company and they start looking at the company and going, "Oh, well, you know, the pharmaceutical space is this big." And if the company can even get a portion of this, what's going to happen is that the stock's going to go up even crazier because even if the industry is a $10 billion industry and if WGRX can actually get 5% of this $10 billion industry, then their market cap should be $100 million. And if it's $100 million, then that should be five times what the stock is trading. No, no, no. No, no, no, no, no, no, no. The stock market is supply and demand. Supply and demand. That's all it is. The company's on the stock, and the stock is on the company. You are in the stock trading space. Now, if you're an investor, okay, click away. But this is top trader talk, not top investor talk. Top trader talk. So, if you're a trader, bear with me, okay? Supply and demand. Let's figure out how much supply this company first has.
So, the company has a free float. Let's go to, uh, what's going on here. Logistics. There we go. There we go. There we go. So, right now, the company has about a float of outstanding float. There we go. 47 million shares. Okay, 47 million shares. So, 47 million shares, right? That puts its float market cap, if my thing stops glitching, that puts its float market cap at $37 million. So, it is a very volatile ticker. It's a very volatile ticker. Very, very volatile. Okay, so that's pretty good. So, we're going to go over here and put its volatility as amazing. Saw 50 mil. Amazing volatility.
Now, when it comes to looking at the company's numbers, okay, the company right now, the numbers I'm about to show you are based off of their most recent SEC filings. Okay, so let's get into it. So, the company right now has about $2.9 million in the bank, cash and cash equivalents, and their operating expenses every quarter sitting at $1.71 million, leaving them with less than two quarters of cash. So, they don't have that much money to operate. Now, why does this matter how much cash the company has? We care how much cash the company has because if the company is running low on cash, what's going to happen is that they're going to go ahead and they're going to add to this supply in order to raise funds in order to fund their operations, day-to-day operations. The company right now only has 5.1 months of cash left on hand. They got 5 months of bills covered. They need money. The stock right now is up 200%. What are you going to do? Probably dilute. Probably dilute. Okay.
So, for me, reality is that let's see historically, right? Let's take a look. So, historically, the company's had medium dilution, and right now their oversupply is low, which is pretty good. You know what? So, we're going to put the odds of dilution honestly at okay, is what we're going to do. We're going to put the odds of dilution at okay. All right? Meaning that it's hard to really say whether they're going to do so or not, but they are financially motivated to do so. So, if they do so, you can't say, "Oh, I didn't see it coming." So, for me, I would use less size on this ticker and I would only trade it within regular market hours. So, my stop loss can work because your stop loss doesn't work in pre-market or after hours. So, I only want to be holding this ticker during regular market hours. So, if it ends up coming out with an offering and it starts halting down, my stop loss hits and I'm saved. Okay, very good.
Now, let's talk about short interest. So, we go over here, WGRX, see what the shorts have been up to. So, the short interest is up 9% the past trading day. The past seven days, 4% down. It's relatively flat. 3.79% short interest. It's really not much, even though I would say you got to multiply this by like three. It's closer to 10% because this doesn't account for naked shorts, synthetic shares, dark volume, all that. So, we're going to go over here, put short interest at, uh, short interest at okay. All right? Again, you also don't want a stock with a high short interest because what happens there? That means that there's a lot of, you know, institutions betting against it. Then it's, it's not good. It's just not good. Okay. Contrary to popular belief that people are like, "Oh, short is good." Short, short is not, is actually not that good. Okay. It's a double-edged sword. Again, just like volatility, right? Because volatility is a double-edged sword in a sense where just as fast as things can go up, just as fast they can come down. So, we also need to be aware of what we think of volatility.
Now, next, we want to look at is going to be institutional ownership. So, he has 0.7%. That sucks. Okay, that freaking sucks. Let's go over here. This is terrible.
Now, let's talk about the charts. So, chart-wise, it's doing pretty good. Okay, it's doing pretty good. It's done a great job holding this, uh, the VWAP at $1.20-ish. So, that's been good. Now, heading into the close, I do want to see it hold that. Continue holding that. But, unfortunately, guys, when we go over here, we see that it does have a top at this, you know, I don't, I don't, I honestly, guys, I don't see this ticker getting above two bucks. I don't see it getting above $2. And at these levels right now, I think that the risk is a little bit too high for me. Okay, this $1.80 level, I don't see it getting above $1.75-ish. I don't see it getting above $1.75. I really, $1.75 to $2 is the top for me. I don't see it getting above those levels. Now, I could be wrong. I've been wrong before. But for me, at these levels, at, you know, $1.20-ish, I'm not a fan. The level that I would be a buyer if it gets down there with no dilution would be a buck. I'll play it at a buck for a dollar to $1.12. That's what I would do. I'll play it for a dollar to maybe not even a dollar 12. We would still say $1.70. 7% gains, give or take.
Now, you may look at me and go, "7% gains? This guy's an idiot." 7% gains is nothing. No, 7% is not nothing. And I've been like a broken record about this, and I'm going to say it again, but the number one epiphany that I had, I've been trading for eight years. Only the last 5 years I've been profitable. The first three years, all I did was lose money. The number one epiphany that I had, which was a life-changer for me, was understanding that it's a lot easier to get 10 different stocks to give me 10% each than one stock to double and give me 100%. It's a lot easier to get 10 stocks to give me 7% each than one stock to go up 70%. Why play the hard game when you could play the slow and easy game to win? I don't understand. You know what it is? It's a lack of patience. It's wanting instant gratification. And if you want instant gratification, you're going to lose, just like in anything in life. Okay? So, for me, it's a no-go at these levels. Doesn't mean you can't go up, but for me, it's a no-go. And remember, I am a very conservative trader.
So, listen, speaking of trading, if you guys want to trade alongside us every single day, myself and a bunch of other mentors who have been trading longer than I've been alive, okay? They're literally better than me, okay? They're my own mentors. If you guys want to trade alongside us, check out the community. The community right now is on a 50% sale, okay? And a 50% sale for the next 10 members that join. Why? Because we want to promote action-taking. Okay, we don't want to, we want to promote, we want to reward the action-takers, not the procrastinators. Okay. And this is what it looks like. We give you access to day trade alerts, swing alerts, option alerts, lessons, one-on-one access, everything like that. So, our alerts look like this. We give it a ticker. We give it an entry. We give it an exit. We give it a stop-loss. We tell you how many shares to buy in a $10K account. So, we actually tell you how many shares to buy in your portfolio. So, how do we tell you in your portfolio? Because we use a $10K account as a benchmark. So, let's say you have a $50K account, you multiply the number of shares by five. Let's say you have a $100K account, you multiply by 10. Very simple and easy. We give you everything. A lot of these other communities, they tell you buy and they say buy. That's not how we operate. We tell you everything. Okay. This one was obviously a very good trade. Now, did I, I pussied out and I said close one-third at 6.8, and then the rest, obviously, we closed at, uh, we closed at 7.6. Maybe pause it and read this. This was a really good kind of learning lesson for the community to learn as well. But, um, we've been crushing it, man. We've been crushing it. We have day alerts, swing alerts, option alerts, lessons, one-on-one access. Hold on a second. Let me go over here and, uh, let me say that he is live right now. One of our mentors also does a lot of Q&A, and everyone is live. There we go. Okay. So, we have mentor Q&A. You name it, we got it. Okay. And, you know, previously, we used to offer a 7-day free trial. This is what it looks like. Okay. So, we give you the ticker. We give you, you know, the, this is what it looks like, right? Wilson says, "Hi Sam, thank you for all the work on our community. My 7-day trial finished. It was great. I think you can for the membership this week. He brought in $7K in 7 days." Now, we no longer do a 7-day free trial. You know what we do now? I would do a two-week free trial and a 30-day money-back guarantee. AG Racing, another mentor in our community. He's been trading for freaking 30-plus years. Thank you, Bullpick. Bullpick, another professional with us, uh, for full-time day trader for helping me recover from my position. Big loss, and slowly I'm getting back. I'm getting back, and thank you so much for being so patient with us all the time. $66,000. Bang. Uh, started with $4K this month. Uh, $300 plus $300 for the day, and just getting so that Sam and his team is making me money. Literally today, Friday, as you guys can see, we've been crushing it. Not bad for the day. Uh, Joel Neil says, "Started a small channel to test out some day dash alerts, and I'm grateful to Sam, Capital Gains, and Bullpick for the recent wins." Thank you so much. So, this is, this is actually a smart individual. So, he first wanted to test out our alerts. So, he opened like a small account to test out to see how well we do. And then he's probably going to put in later money, more money. Uh, great signal. Soux SCNX yesterday. We made a killing on it. Thanks, ProJS. Bang. We've been crushing it, man. I mean, you know, you guys can pause it and read this. Hey, folks. Second trade with the team. $1300 in less than an hour. This was our beyond trade. $46,000 over here for Annie. Granny Sales says, "A couple years ago, I was down in the trenches, absolutely beyond. Made every single mistake you could name and wouldn't learn from it. Lost way more than I could afford and was so close to giving up. Decided to give it one last chance and find mentors. Now I'm back, uh, now I'm almost back to the green with the help of Sam and everyone else. Words can't describe it, but Sam, you helped me more ways than you can know. Thank you so much for with all the shot callers." The Robin account is my own doing. Really don't know what the I was doing. The Mumu account I started when I joined the starter. Truly a lifesaver. So, this is himself, and then this is him trading with us. Amazing, man. Amazing. I mean, we've been, we've been crushing it. Thanks to Sam and everyone else in the community. I reached my first weekly milestone and more to come. $1,000 past week. Wonderful, man. Wonderful. Thank you for the best Discord in the world and this crazy Bianca. Anyways, I appreciate you guys. I look forward to meeting us in Topure Academy once again. Two weeks free trial. 30 days money-back guarantee. Next 10 members, 50% discount. Doesn't get any better than this. Thanks for watching.