Swing Trade Idea – March 24, 2022
Today’s 5 Stock Ideas:
- Nikola (NKLA) – Shares were up 20% Thursday morning following news of a quicker timeline for commercial production of its trucks. During an Analyst Day meeting on Wednesday, the company said commercial production began this week; Nikola management had previously expected commercial production to begin by the end of Q2 2022.
- Medallion Financial (MFIN) – The stock was up 10% on light pre-market volume following news Uber (UBER) reached a deal with New York City to list all taxis on its app. Medallion is a lender; however, traders consider this stock to be a play on taxis in NYC as it provides lending for taxi cab medallions, effectively a New York City cab drivers permit to operate their taxi.
- Peloton Interactive (PTON) – The company will host a virtual community event on Friday of this week. The event will run from 12 p.m. EDT to around 3 p.m. EDT and will feature Pelton class instructors Camila Ramón and Charlotte Weidenbach.
- Terran Orbital (LLAP) – An upcoming special purpose acquisition corporation (SPAC) play. Two recently-completed SPACs on Wednesday saw heavily-increased attention, volume and volatility: Allego (ALLG) and Alpha Tau Medical (DRTS). Allego shares closed Wednesday’s session up 114%; Alpha Tau shares closed up 14%. While the Benzinga newsdesk team couldn’t find specific news to justify the sharp moves higher, the connection traders were making between Allego and Alpha Tau seemed to be specific to the fact that each issue was a recently-completed SPAC. The SPAC deal for Terran Orbital, a vertically-integrated satellite solutions company, is expected to close on Mar. 25, 2022, meaning Terran Orbital is expected to begin trade under ticker “LLAP” early next week. Terran Orbital currently trades under Tailwind Two Acquisition Corp. (TWNT).
- Cepton (CPTN) – A play on pre-market momentum in Fast Radius (FSRD). Cepton and Fast Radius were clumped into a trader group back in mid February. While the two companies don’t have commonality in operations, traders bid up both stocks sharply on their low-float status. Fast Radius shares were up about 18% in pre-market action Thursday.