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11.08.2022

Perspective Peers of Ethereum: Avalanche

Avalanche is ranked by Coinmarketcap at the 12^th position by market cap with $7.8 billion, which is 4% less than Ethereum’s market cap. AVAX prices dropped by 82% of its peak values, allowing investors to buy it at early 2021 prices. Avalanche’s infrastructure consists of three logically isolated networks, each of these with their own processing, validators, and own set of rules.

This platform is often compared to the existing internet web infrastructure with core connection protocols like HTTP, surrounded by a huge number of networks to their apps. Avalanche allow for the creation of public and private systems as a blockchain or DAG (Directed Acyclic Graph) and for the use of different virtual machines for apps, including EVM engine (Ethereum Virtual Machine) that allows Enthereum network programs to be developed.

Avalanche includes C-chain to create smart contracts that are processed on an advanced EVM engine, P-Chain that coordinates validators that process transactions and also allows for the creation and management of new subnetworks, and X-Chain which is a directed acyclic graph regulating issuance and trade of cryptoassets. DAG systems record new transactions on top of the old ones, allowing for processing speed to be increased and for capacity substantially. It is quite different to other blockchains, where transactions are compiled in blocks in order to be processed.

The advantage of Avalanche is that it provides anyone with the opportunity to create his or her own isolated blockchain with its own set of parameters, including access to apps and the programming language with which it will work. Every subnetwork can process around 4,500 transactions per second compared to 14 processed by the Ethereum network.

04.08.2022

Ethereum’s Most Important Update

ETH is a native token for the Ethereum blockchain and is one of the two most reliable digital assets in the market along with Bitcoin. Ethereum is the first platform that became a hub for thousands of blockchain apps and other digital solutions. The recovery of ETH prices to November 2021 peaks at $4,900 would bring investors 190% profit.

Second layer solutions (Layer2) were introduced to improve stability and effectiveness of the Ethereum blockchain. These are blockchain network add-ons that are added on top of the primary blockchain. The most popular add-ons are Arbitrum, Loopring, Immutable X, and Polygon that have recently partnered with Meta (Facebook owner). In other words, the Ethereum blockchain network has a much broader use than the native blockchain itself.

Ethereum developers promise to release a new Proof-of-Stake (PoS) consensus protocol in late 2022. This protocol will allow miners to stake tokens to a special deposit to mine blocks. Some networks within the Ethereum blockchain have moved to PoS protocol this summer, while others are expected to move to this protocol in the middle of September. This move will allow for the increase of processing capacity of the network to almost 100,000 transactions a second from the existing 30 transactions and lower commissions. This would also allow for ETH to switch to the deflation model when coins are algorithmically burned, while some coins would be removed from circulation as they would be blocked by staking - more than 13 million ETH or 10% of overall coins in circulation are blocked by staking. The problem is that coins are blocked for a long period of time and cannot be sold or exchanged for fiat currency.

06.10.2022

Top 3 Financial Stocks: CME Group

CME Group is the largest market place for derivatives. CME stocks dropped by 25% from the beginning of 2022. The only reason for such a decline is the overall market correction and not any business issues. High volatility is a benefit for the company as it offers the most important derivatives to mitigate financial risks. Among those are the most popular S&P 500 index futures and other indexes linked to derivatives, agricultural products, gold, silver, and crude derivatives. So, the company continues to receive decent profit that allows for the payment of high dividends to its investors.

Free Cash Flow (FCF) of the company in 2022 is expected to hit $2.8 billion. CME is improving its efficiency as every Dollar received in 2021 was converted into $0.48 of FCF, while this year this figure is expected to rise to $0.55, and in 2023 to $0.57. Regular annual dividends is at $4 or 2.3% of share value. CME is also paying interim dividends. By doing so, it paid $3.6 regular dividend and $3.25 interim dividends in 2021, or $6.85 per share, slightly above FCF per share at $6.77.

CME has a solid business model and sound financials without substantial debt. These facts allow the management to take more care of the company’s shareholders. The current overall downside configuration offers great opportunities for investors to add CME stocks to their long-term investment portfolios.

15.12.2022

Three Undervalued Value Stocks: Costco

Costco Wholesale Corporation has presented quite disappointing earnings report for the Fiscal Q1 2023. Revenues were reported up 8.1% year-on-year to $54.44 billion missing expectations of $54.65 billion. This is obviously not the reason for long-term investors to remove COST stocks from their portfolios as the company is set to maintain strong financial discipline and cost structure, not to stimulate high growth in the short term at any cost.

The operational margin in financial Q1 2022 was at 3.4%, and in Q1 2023 it was 3.2%. Costco is aiming to provide the most reasonable prices on their products to keep their clients loyal. That is why the operational margin is suffering. Meanwhile, EPS was up by 4.4% to $3.1, and membership fees rose by 6% year-on-year. So, the strategy seems to be buying itself.

Inflation in the United States is expected to return under control over the next year. So, there will be no need to deliver various marketing activities like coupon sales and others while loyal clients will be grateful for the support during the period of uncertainty. Costco is planning to open 24 new stores in 2023, increasing its potential to generate revenues.

11.01.2023

Advanced Crypto Assets: dYdX

DYDX tokens suffered a lot during the ongoing market correction and lost over 95% off their peak prices. dYdX is an advanced decentralised exchange, where clients can exchange cryptocurrencies and derivatives with marginal collateral. There are no KYC procedures to be followed within the exchange, as well as no need to disclose your personal data.

dYdX is runs on the Ethereum blockchain, known for its expensive transaction fees. However, StarkWare solution allows for lower fees as only commissions for trading are charged. The platform now runs on Layer 2 protocol which is incorporated into Ethereum’s main network. This solution allows for transactions to be conducted instantly, while traders do not have to pay miners for validating transactions.

Market players are closely monitoring the dYdX V4 vehicle, which is a standalone Cosmos blockchain, featuring a fully decentralised, off-chain, orderbook and matching engine. In other words, developers are going to create the entire trading infrastructure to scale up processes without involving any third-party applications. The service cancelled two stimulus programs in order to lessen the effects of inflation within the dYdX platform and to support token prices.

Rafael Quintana Martinez

Money Manager de alto rendimiento, con una sólida formación académica, profesional y de campo. Más de 9 años de experiencia especializada en el comercio de mercados financieros internacionales. La devoción, la fiabilidad, la responsabilidad y la ética impulsan mi vida. Actualmente me desempeño como Analista Senior para Metadoro. https://metadoro.com/es https://mx.investing.com/members/contributors/235587671/ https://es.tradingview.com/chart/EURUSD/rE9gVips/

14.07.2023

Let’s Go for a Short Ride with the EURUSD

This week was very enchanting for the EURUSD that surged by almost 2.5%in such a short period. The pair need more than 4 weeks to ride this much, and is now seen rolling back exhausted. It may continue to go up at some point, but now it is likely to deteriorate towards 1.10700-1.11000. I will certainly use this opportunity to go short on the EURUSD at 1.12300-1.12500 with the target at 1.10900. I have put the stop-loss at 1.13100 making the profit/loss ratio at two to one.

EURUSD

603

MetadoroIn-house analytics

12.07.2023

3 Stocks To Rise This Summer: Salesforce

This customer relations management (CRM) service company announced a plan of increasing its prices from August. As a result, its shares soared by more than 6.5% during the first two days of the week. Salesforce is going to increase list prices by 9% across Sales Cloud, Service Cloud and Marketing Cloud segments of the business. The last similar price increase action was held as early as seven years ago. Since that time, the company has delivered "22 new releases, thousands of new features — including recent generative AI innovations — and invested more than $20 billion in research and development,” the company said in an announcement to discuss the changes. For example, the cost of professional edition will increase by $5 to $80, enterprise edition will increase by $15 to $165, and unlimited version of edition will now cost $330, up $30. Price changes are probably a sign of growing demand, first of all, which could provide a tailwind for earnings. Again, the company already said several months ago that its operational margin may rise by 25% in the next couple of years to increase its sales numbers by 17% to $31 billion. Updates in the nearest months may be better, for obvious reasons. CRM stock is still trading at nearly 28% discount compared to its peaking price of November 2021, which may be an attractive buying chance for the mid-term as well.

CRM

1048

MetadoroIn-house analytics

12.07.2023

3 Stocks To Rise This Summer: Boeing

Boeing delivered 60 passenger jets in June 2023. This means, demand and production continue to rebound. The total number for the first half of the year reached 266 planes, which is already 23% higher than in the same period of 2022.

Production issues and regulation troubles were dogging the famous aircraft producer for a long time, but now it is seemingly on track to meet higher annual targets like delivery planning for at least 400 narrowbody 737 planes and 70 widebody 787 Dreamliners in 2023. It delivered 48 of its bestselling 737 MAXs in June, compared to 35 MAXs in May, four of 767s - including the first KC-46 military tanker that had to be reworked due to some fuel tank problem, six 787 Dreamliners, one 777 freighter and one 737 that will be turned into a P-8 Poseidon maritime surveillance aircraft for South Korea. Boeing's performance in June is the best since March, when the company supplied 64 jets to customers before revealing a 737 bracket installation error in April. To compare Airbus delivered 316 aircraft over the first six months of 2023, including 72 jets only in June. Airbus said it was also planning to supply 720 planes in 2023 altogether. Both plane makers look quite attractive even at the current level, yet Boeing has much more space upside even to its price highs of March 2021 at $278.5, and its peaking price of 2019 above $445, before first troubles came out. Boeing Commercial Airplanes CEO Stan Deal said he expects to increase MAX production from its current rate of 31 jets per month to 38 "very soon". Boeing also won net orders for 288 planes, including a very big order from Air India for 190 MAXs, 20 Dreamliners and 10 mini-jumbo 777X jets and another order for 39 Dreamliners from new Saudi Arabian airline Riyadh Air. This may help effectively eliminate a significant part of the backlog, given that the stock price has so far risen from $213.30 to a $220 area only in the first two days after the news.

1097

MetadoroIn-house analytics

12.07.2023

3 Stocks To Rise This Summer: AirBnb

A well-known global marketplace for stays and experiences connecting hosts and their supposed guests online is building up its muscles. Its share price is mushrooming as it added more than 25% since the beginning of June, thanks to Airbnb's rising margins amid the core travel season. The stock is clearly accelerating its uptrend.

Airbnb market caps initially added nearly 50% in 2021, but rolled back. Later on, it came back again to the starting point, and were further sold off in 2022, like many other internet-related stocks. However, it was mostly the domino effect from the falling Wall Street indexes, not connected too much with the company's fundamentals. As soon as general fears of recession stopped to dominate in investors’ minds, inadequately oversold stocks, including Airbnb, began to climb in January and February 2023.

The company itself supported hopes of the investing crowd with even better than expected Q4 2022 profit and sales numbers. The first quarter of 2023 is not in line with the elevated consensus estimates, yet there are many signs that the earnings report on August 10 would be more favourable. Consensus estimates are now at nearly 80 cents of equity per share on revenue of $2.4 billion, compared to $0.48 and $0.18 cents on revenue of $1.8-1.9 billion in the previous two quarters. If those forecasts would become a reality, then the possible target price for Airbnb may approach $200 per share, compared to nearly $140 in midsummer.

The prices of air carriers' stocks are looking optimistic, so that the travelling activity starts to benefit from the post-pandemic recovery at last. This may be an indirect indication for the renting industry as well, and a relatively weaker U.S. Dollar is also supporting foreign vacationers all over the world. Home-sharing businesses are even benefiting from higher interest rates as they used to earn their own difference on money they hold between bookings and stays. Local property managers and traditional hotel booking processes in the U.S. are reportedly subdued by online marketplaces, some analysts including Needham & Company noted. Steve Milo, founder and CEO of VTrips, a company operating more than seven thousand properties in the U.S., is also cited.

ABNB

911

220

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11.08.2022

Perspective Peers of Ethereum: Avalanche

AVAUSD

2263

11.01.2023

Advanced Crypto Assets: dYdX