VTIQ--We Found a Bottom UNDER our $22 Buy Under
Dear Subscriber,
This is a follow-up to our Alert out last Wednesday.
In that update, we included the technical support levels and said:
We will raise the Buy under to VTIQ $22 VTIQU $28 ahead of the early June merger.
We said:
IF VTIQ sells off down to under $22 or hits 20-day moving average at $18 or VTIQU to under $25--those are TABLE POUNDING entry points for news subscribers! "
Well, this morning we got those table-pounding entry points for about 30 minutes--I hope many of our new subscribers were up and trading VTIQ or VTIQU and had Buy stop orders in at $22 or better.
Note: We run managed accounts on many trading platforms. We use Interactive.com, TD Ameritrade and Schwab and all have simple "BUY Stop orders" systems. I set "Buy Stop Market Order" under $22 yesterday. I don't use Buy Stop LIMIT orders in such a volatile stock because a $22 or lower market order is fine.
Here is the VTIQ chart from May 15.
Here is the chart today. I put red lines underneath the Bollinger Bands to show where the oversold points are.
BTW: Bollinger Band® are a technical analysis tool defined by a set of trendlines plotted two standard deviations (positively and negatively) away from a simple moving average (SMA) of a security's price, but which can be adjusted to user preferences...I use the 20-day MVA. BBs are expressly designed to discover opportunities that give investors a higher probability of properly identifying when an asset is oversold or overbought.
When you combine Bollinger with the Slo Stochastics...which also indicates where the balance of selling and buying pressures is...we get the classic "bottom is in/oversold" technicals.
The last time the VTIQ was oversold was May 6th--and we know what happened next.
Now we have the very same formation. I'd like to see the Slo Stochastic black line rise above the red line to confirm.
SO--We will UP the VTIQ Buy Under to $27 and VTIQU to $35
BTW..here is the Draft Kings move after their reverse merger deal closed.
VTIQ Options.
My options trading guru (and long time friend) Kevin "Malibu" Blaine is on the VTIQ train as well.
PS--if you are a day trading options trader, I just did my P&L for the trades we have done with Kevin.
$125,000 in trades since Jan 2 and $148,000 in profits including 4X on Chipotle closed out yesterday with some monster wins like Twilio, Workday, Chipotle, NFLX, BYND, ZM etc.
Here is his website https://www.malibuinvestprivate.com/ NOTE: This options swing trading is pretty much full time job. When I go on vacation or am racing to finish a book, Kevin ALWAYS has his big 5X-10X winners!
WE are putting out an All-Access option trade out tomorrow. IF you are an option junkie, All-Access is for you.
And if you plan on owning Nikola Motors for the next 5 years or longer like me, why not lock in 5 years of Transformity Research now (the 5-year All-Access offer goes away on VTIQ IPO day, OK?)
Click here to take advantage of 50% OFF savings)
Toby
PS--My hunch is the true believers in Nikola Motors are going to add or start positions--for the very long term.
VTIQ has become a "Millennial Monster" stock like TSLA BYND Tilray etc. It has moved to #10 owned stock on the Millennial stock buying service Robinhood--stocks you buy on an app on your phone.
PPS: IF you are starting a new position--the VTIQW warrants are still mispriced (the $11.50 strike prices to convert to one VTIQ/NKLA share is lower than that the VTIQ price minus $11.50) and the best deal right now! When VTIQ converts to NKLA ticker first week of June (after the June 3 BOD vote), history says that price misallocation will get cured.
THIS IS THE NEXT $100 BILLION American COMPANY And You GOTTA GET IN NOW BEFORE THE IPO MERGER in Late (now early) JUNE
We have a VERY special new transformational growth company to add to our growth stock list that I have labeled "The New Tesla" before it's IPO that we will buy today under $15!.
The tease is this: Knowing what you know today about the future and fortunes being made from electronic transportation technology, if you could go back in time to June 10, 2010, and buy the Tesla IPO at $18, would you?
OF course, you would...so then let me ask you this: Knowing what you know today about the future and fortunes being made from electronic transportation technology, would you buy the NEXT Tesla before it's IPO under $18 today if you could? For under $15?
Yea I thought so--you would be an idiot not to right?
But what if...what if you could buy one share of the Next Tesla for under $18 today and get a warrant to buy another share for just $11.50 or a total basis of $15?
The company I am referring to is Nikola Corporation in Phoenix, AZ.
They will be Nasdaq listed under NKLA ticker symbol by end of June in a merger IPO (now first or second week). I have spent a lot of quality time investigating this company (I was tipped off by an NKLA engineer who is part of our TR Experts Alliance this year).
I am here to tell you all the future valuation models we have made say this $3 billion IPO company is on a very strong pathway to becoming a $100 billion market cap company.
Yes--a 30X bagger from here as the world comes out of a deep recession (disclosure: AFTER this email and a large newsletter subscription campaign, my family office and managed accounts own LOT of this combined stock + $11.50 Warrant unit under the ticker VTIQU)
Why? Because the short answer is they are the fast track to becoming the crown jewel of $600B annual long and short-haul industrial transportation industry or better said what Tesla is to the electric consumer vehicle industry, Nikola Motors is in the sole pole position to become the game-over dominator in Fuel Cell Electric Vehicles (FCEVs) and trucking and trucks in particular.
They also will be the MUST OWN stock for the $30 trillion ESG pension investment world (more on that in a moment).
YOU get a shot to buy the shares pre-IPO because Nikola is merging with a $200 million in cash Special Purpose Acquisition Company Vector Capital VTIQ in late June (run by the ex-Vice Chairman of GM BTW). When they merge, the raise $500 million with a pre-funded private investment in public equity deal run by Fidelity and Morgan Stanley (aka a PIPE).
A special purpose acquisition company (SPAC) is a type of investment fund that allows public stock market investors to invest in private equity-type transactions or in this case a pre-package IPO.
There are multiple highly compelling reasons to grab as much of their <$15 pre-IPO stock VTIQ as you can afford NOW before the late June official merger and even more reason to grab their stock+$11.50 warrant unit VTIQU.
The Top 10 Reasons Why Nikola is the Next $100 billion Tesla (And Why You Would be a Knucklehead TO NOT to Buy Shares BEFORE the IPO in late June)
1) BECAUSE as of today, Nikola has literally sold out their ENTIRE production for the next 24 months! That is right--Nikola has in cash deposits and contracts for over $10 billion/2 years of production ALREADY booked with deposits from EVERY large transportation company in the world.
Who has pre-ordered Nikola Self-Charging Long haul e-truck and short-haul E-Truck? Anheuser Busch, ABInBev, Pepsi, Wal-Mart, Amazon, Fed-X, Ryder and many more.
Why the massive 2 years sold-out demand?
1) Because a the Nikola self-charging electric long haul/short-haul commercial truck has a combined value-proposition that diesel trucks could NEVER EVER match
A. Because every major company that uses long haul transport knows that diesel fuel is getting outlawed or highly restricted emissions in many key regions (already in Europe, China, and Southeast Asia) all over the world.
B. For consumer brands, using Nikol's fuel-cell charged zero-carbon emission electric truck positions their company as a leading GREEN and global warming killer, not a global warming villain (ask a Millenial how they feel about global warming and climate change, OK. If you are a consumer brand, it's vital to show you are not only AGAINST global warming and killing the earth to its tipping point at 2050--that you are doing something BIG to fight back ).
C. Because the total cost of buying and operating the Nikola vehicle is a fixed cost per mile lease for 7 YEARS--and while that cost is comparable to diesel trucks for now
D. Nikola trucks are 100% ready for autonomous/driverless long haul operation which gives Nikola rigs a 15% LOWER per mile cost of operation than loud, slow, polluting diesel rigs (and a proven and simple solution to America's shortage of 100,000 truck drivers)
2) Amazing Exponential Growth! Nikola's Incredible growth from zero to $10 billion in contracted sales. Look--Tesla was founded on July 1, 2003. In comparison, it took Tesla 14 YEARS to get to $10 Billion in sales.
In comparison, Nikola gets to $10 billion in sales in less than 5 years. And 100% of those sales are pre-sold TODAY. To Wall Street secular growth investors, they have never ever SEEN sold-out growth like that from an IPO.
3) Because unlike a normal truck sales transaction where the dealer is paid for the truck and then sells service and parts to the truck owner, Nikola gets paid roughly one dollar for every mile their truck in driven (via an all-inclusive 7 year lease)
4) $30 TRILLION in ESG Capital is Drolling For Nikola Corp. Stock. Nikola is an absolute MUST OWN stock for the now $30 TRILLION in capital dedicated to ESG investing. ESG investing — or strategies that take a company's environmental, social and governance factors into consideration — grew to more than $30 trillion in 2018, according to Global Sustainable Investment Alliance, and that number is set to keep rising as consumer tastes shift and investors demand more transparency (read "Millenials and Public Endowments and Pensions).
FACT: My investment management firm Tranformity Family Office is in the process of setting up an ESG growth 2050 fund for other Family Offices. I can tell you--by going public early and 100% pledged to follow ALL the ESG sustainable/social and fully transparent governance standards which you have to follow to be an ESG worthy investment, NIKOLA is literally the MOST ESG WORTHY publically trade stock in the world.
Think of the FORCED buying demand as Nikola becomes a member of EVERY ESG index fund. Literally every ESG fund that invests in U.S. companies will HAVE TO OWN THIS STOCK or turn in their ESG certification. Nikola will be literally the FIRST ESG stock we buy with my fund--and Nikola will be the toast of the ESG world in Davos in January trust me.
5) The best news? The post-money valuation is just $3 billion (now $4.5 billion). I am not exaggerating that as this rolls out, it will be another 30x-40x winner with just $40,000 in stock now becoming our next "Meltdown Millionaire" investment.
I have spent time some incredible time with our insider (they are in Phoenix; I am in Scottsdale).In fact, in my 20 years of editing investment newsletters, almost every 30-40X winner we have ever recommended (APPL/Monster Beverage/ ANSS/WFR/CREE/XM Radio/AMD/Nvidia) came from one of our investment research syndicate.
Yes in this case like many of our 20X bagger stocks, I first learned about Nikola late last year from one of our TR Experts Alliance members who is a fuel cell engineer and works for the company.
The REALLY BIG IDEA: Carbon Free Commerical Transportation-as-a-Service at 50% LOWER Total Cost
The Nikola transformative vision is NOT to build electric trucks. Yes, they are building very amazing long haul e-trucks. But those trucks batteries are charged by an onboard fuel cell by 2021. The Nikola truck goes 1800 miles before it gets a refill of...hydrogen! In 20 minutes or less, they are ready to roll another 1800 miles without a fill-up.
But what Nikola is really selling is an unbeatable value proposition: By the time autonomous long haul truck driving is legal, they will cut the cost of owning, servicing and fueling a long haul (or short-haul) truck by over 15% vs. owning, servicing, repairing and diesel truck. The driver cost is the same no matter the truck (but the Nikola is 100% set up with autonomous driving technology when autonomous truck transport is legal).
Nikola is also building a national network of hydrogen fuel-based electric battery charging stations on EVERY major regional and long haul transportation corridor for ANY Electric Truck. They can charge an electric battery truck or a Nikola Fuel Cell that charges the battery on the Nikola truck.
Final Point: When up and running, the NIKOLA ZERO carbon footprint is so transformative I wanted you to see this amazing opportunity for yourself before we put this out in a newsletter promotion we are starting next week to 250,000 plus investment newsletter subscribers, OK?
I Am POUNDING the Table Buy for VTIQ shares Under $18-20. We are lights out crazy about this company. I am pounding the table for you to buy the VTIQU today <$18 which has one share of stock and a warrant to buy another share at $11.25--and put it away and not look at it for 24 months.
NOTE: I fully expect NKLA to double or triple in price the first day it is available for public trading like Tesla did and rings the NASDAQ buzzer and spends the next 48 hours on a mammoth media tour.
To be there for the open, you have to be in BEFORE the reverse merger transaction close in late May/ mid-June. Because NKLA are in their quiet period until the merger closes, VTIQU will be under investor radar except for our thousands of new subscribers who will be getting our special report on Nikola starting next week as part of their new TR PRO subscription.
PS: My investor group plans on owning and controlling a significant number of shares AFTER our newsletter promotion cycle is over--early bird gets the worm!
For you engineering types, here is ALL the background data and facts behind this once-in-a-lifetime pre-IPO opportunity.
PS: Here is my link to the NKLA business merger deck--You MUST read this amazing deck which is no longer available to the public (but I got one anyway--thanks to our insider).
Here is the NKLA video Analyst Day introduction
Here is the first announcement on CNBC of the merger
Here is the Fox Business interview on the merger (you gotta let the ad run)
Here is the press release on the merger and company.
Here are just a few of the 413 Articles on Nikola.
Final Piece of Advice: BUY the VTIQW and some VTIQ common tomorrow and put them away for the next 36 months--do NOT think of selling them on the first or second day IPO melt-up I expect. $3 billion market cap to $100 billion market cap is a 33X winner--$40,000 becomes $1.2 million and a legendary investment score with ZERO revenue risk for the next 24 months, OK?
NKLA Merger Transaction Details
NKLA Q&A
VectoIQ currently has three types of securities outstanding. Common shares trade under VTIQ. Warrants trade under VTIQW. Units (each consisting of one common share and one warrant) trade under VTIQU. Both the warrants and common shares will remain outstanding following completion of the transaction. The ticker of the common shares will change to NKLA, and the ticker of the warrants will change to NKLAW. At the closing, each unit will automatically separate into its components (one share of common stock and one warrant).
What percentage ownership in Nikola will the SPAC shares in VectoIQ receive?
Assuming no redemptions, public VectoIQ shareholders will own approximately 6%, and VectoIQ sponsor shareholders will own approximately 2% of Nikola.
If I have 1,000 VectoIQ warrants, will I have the right to buy 1,000 shares of NKLA stock at $11.50?
Yes. The warrants that trade under the ticker VTIQW will remain outstanding following the transaction and trade under a new ticker, NKLAW. Each warrant has a 5 year exercise period from the closing date of the transaction and is exercisable into one share at an $11.50 exercise price.
If I own 1,000 VTIQU units, how many shares of NKLA, after the closing, do I have a right to buy?
Each unit consists of one share of common stock and one warrant. After the closing of the business combination, you would own 1,000 shares of NKLA common stock and 1,000 NKLAW warrants. These warrants would have the same terms as described in the question above.
What was the implied enterprise value of Nikola when it announced the business combination with VectoIQ?
$3.3 billion valuation or 1X 2022 presold truck revenues.
What is the sales multiple valuation of TSLA today?
Tesla TSLA on April 22, 2020, has a market cap of $120 billion on $24.5 billion of 2019 sales or 5X sales multiple. in 2020 TSLA has had up to an 8X 2019 sales multiple.