What a day, folks. Market cooled off a bit before closing out a record month and in terms of our briefing plays, the Devil's Lettuce was certainly a leader. Sndl got a 30 run after breaching, which is something Acb up 20 at highs today. Pretty solid and we had some decent cooling off in many different sectors, especially Ev with tickers like Neo, Xpev and Sbe cooling off in not so insignificant of a way.

but overall in terms of the entire market, pretty much a meh day. Quick update on Jumia Jumia Not so pretty. Today Friday we talked about how Jumia was going to need to raise capital soon, and today they actually announced offering in order for them to raise capital. Now, I was hoping this would come later and in the form of a partnership or a buyout, but they decided to do an offering.

and the reality is, Jumia needs capital wherever they can get it. From last night, I hammered the point that we need to get a good deal on this. So this is one of the reasons because when something's trading so high, well, these sorts of things are almost inevitable, especially with really high capital intensive markets, though once the effect of this blows over and maybe we get a little bit more correcting, well that would give us a great entry Once this finds a bottom, my price target on Jumi is a little bit more bullish because now they actually have the capital to make things happen, but the time scale has moved up a bit now that there's well dilution. But anyways, in this video I want to give you a price update on three very important stocks because of the sell-off today.

This is more important than ever. We'll be talking about Neo, what is happening with their delivery numbers, how the Chinese delisting vote is going to impact them this week, and what the price prediction is for them. We'll be talking about Sbe, which is reverse merging with Chargepoint mid-december and we're going to be giving my price prediction on that. and then we'll be talking about Pltr, which is something that's been requested by a lot of you and all that I ask in return is that you hit that ravishing like button.

Also, make sure to subscribe if you want to keep up to date with us. We are getting very close to that holy 300 000 number. If we get there soon, I might finally smile. Do not hold your breath though! Also, yes, we do still have our Black Friday sale on Zip Trader U.

When you type in coupon code black Friday 100, you will get 100 off. And this is of course for lifetime access to our step-by-step program, our private chat, and of course our lovely morning briefings. I'll go ahead and put the link in the description below. Okay, first Neo.

So Neo cooled off today and I see widespread hysteria every time. Neo is down just a little bit. Last month, when Neo had a measly one percent down day, I saw some person post this is the end of Neo. Look folks, Neo is up one thousand plus percent year over year.

Give it some room to breathe. I remember watching Usain Bolt about a couple years ago who was like the greatest sprinter of all time. Imagine if every time he rested between sprints, his fans would be like, oh no, he's never gonna run again. Oh no.

And then when he does eventually get back on the track, everyone's like, oh my god, what he's running again. Kind of a bad analogy because now he's retired. But the point here is that Neo is a runner. Pure and simple.

Neo is resting. Neo needs to breathe. Give Neo a chance to get some water, give it a chance to take an ice bath, and give it some time off. Neo is a runner and it will again run.

Neo can literally afford to drop 20 and only be back to early November. Something that runs up so fast is going to have pushbacks, not freak out about sell-offs. If you're trading Neo, you do not hold through sell-off so this shouldn't be a problem. And if you're investing in Neo, you don't even care about cell loss because you're in it for the long term and about situations if you're not in the position yet.

Well, a sell-off is good because that gets you a better entry point. You guys feel the urge to push these stocks so much it's like it needs to happen. now. it needs to go up now.

But wait, calm down, let it cool off. If there's price strength, fantastic, we can play that. If not, let's wait. There's many, many opportunities.

But anyways, Neo's deliveries were imminent. Last quarter. They delivered 5055 vehicles, which represented over 100 percent year-over-year growth. The issue now is that if Neo reports lower than expected deliveries at a time where Neo stock price is getting weaker, well, then Neo's gonna be more susceptible to selling off, especially since the overall Ev sector is selling off so far this week.

But on the flip side, if deliveries are great, this gives Neo another opportunity to step out ahead. as a leader in the Ev market. Tesla tends to do this when you see the entire Ev market selling off. A lot of times.

Tesla will rally ahead with Neo if you get great deliveries during a period where everything else is selling off massively well, that's a big deal. That is what makes something a leader. But in terms of valuation, I said in my last Neo video that Neo is composed of three things: Ev sector hype, Neo sector hype, and then its intrinsic value. So far, the cooling off is mostly in this category.

If we could see this category push up with good delivery numbers that could help soften the blow of Ev's cooling off. and in terms of where this is going, I have to remind you that analysts at Bu they are projecting Neo to capture 90 of the market share of the premium, high-end Ev market in China, They're right. Neo will be capturing one of the most lucrative electric vehicle markets, and the big focus right now is starting to shift over to Neo Day. On Neo Day in January 2021, Neo's first sedan will be announced, as well as more details about its autonomous driving features called the Np2.

But if you look at the best-selling cars in China, top five are either sedans or really small cars, the most popular one being the model three, then number six is Neo. But this is an Suv. Top five are not Suvs. The top five are small cars or sedan.

So Neo introducing a sedan is going to be a big deal because it means that it can compete more apples to apples with this part of the market. With these players, I really think the market that is looking for an electric car like this is not going to be looking for an electric car like this. So with Neo introducing a sedan, that's going to be a big deal. And if Neo can keep hitting these goalposts and we see good deliveries tomorrow, I'm going to keep my six month price target at 110.

Okay, now for the bad news. There's a Chinese regulatory vote this week. Basically, Chinese companies are required to submit to audits in the Us. Just like all other companies that are trading here are.

But China hasn't followed that policy for decades, so if this new bill is passed, it will de-list Chinese companies, effectively enforcing regular audits. But even if this passes, they still have over a year to get in compliance. Now, my take is that if this is passed and China allows the auditing, I think that's actually great for Chinese companies. A lot of people hold back from investing in Chinese stocks because they're sketchy.

There's transparency concerns, sort of that aura of darkness. But if this passes and allows the Us to publicly audit these companies, well, that means more transparency and means more confidence for them and more investors going to invest in them. But obviously we're talking about China, and if they don't comply, these companies, including Neo, will get de-listed But here's the thing. I think that if this does pass, we're likely going to see China negotiate a much watered-down version of this.

and at the end of the day, nothing big will get delisted, especially companies that have nothing to do with the Chinese military or aren't owned largely by the Chinese government. I just I don't see I don't see companies like Neo or Xpev getting de-listed and Chinese financial authorities have already expressed optimism that they can work something out with the next administration and honestly thinking critically here if the United States decided to be very, very aggressive and they listed all of these Chinese companies, what do you think is going to happen in retaliation? Going to push harder on a lot of our U.s companies that are based in China that are open to Chinese investment? Obviously, it's going to be tit for cats. That's why we don't crank down that much on China in the first place because it hurts us domestically. So something to think about.

Okay next, Sbe switch back energy. So refresh for Sbe is in a reverse merger with Chargepoint. Which basically means that the current entity Sbe will become Charge Point on December 15th and Chargepoint is the largest electric vehicle network operating in 14 countries and makes its own technologies. Charge Points customers include: 3m Dell, Ebay, Google, Cole, Safeway, Sheraton, blah blah blah blah.

They also have contracts with the Treasury Department, the Va, and a host of other government entities and I'm not going to ramble anymore about who they're partnered with, but the point is they're partnered with many folk and I went ahead and piled through their presentations and I found this interesting growth chart. And basically what this is saying is that Chargepoint's growth is going to be directly proportional to electric vehicle growth as a whole. So if you are the type of person that thinks that electric vehicles are only going to go up year over year, well Chargepoint is your man according to this chart. But the reason that I actually like this chart is because of this chart.

See, the competition for Chargepoint is pretty weak. In all seriousness, it's almost obvious that Chargepoint is going to be the company to capture most of the Ev market in the next five to ten years. Obviously, we're going to have some other players, probably some of these smaller ones just start really gaining momentum. But still, this is going to be the company that captures most of the market in the early days and perhaps later on.

But it's too early to say this is a company that has the leader's advantage in an extremely capital intensive market. But one thing that I look at when valuing a company is comparing it to other companies. This is called valuation benchmarking. if you look at where Chargepoint is and contrast it with Tesla Peloton Alarm or in phase.

I mean, the valuation by almost every measure hasn't factored in nearly as much as the other leaders in similar spaces have, so I'd say a lot of hype in this is yet to come. But again, Chargepoint isn't officially on the market yet, and the way that it's coming to the market is through S-pac Sbe, And the fact of the matter is that overall, S-pac plays tend to perform better pre-merger than they do immediately post-merger So prior to the merger, prior to the merger, you get all of that short-term money going and speculating and hyping it up. And then after all that short-term money by nature, short-term decides to leave because they're going to take their profits and that causes the share price to go down and then then over a while you get long-term money piling in and piling in and piling in. and the stock price goes up if it's worth it.

So my strategy is play any pre-anticipatory runs up to merger date. but then don't hold through merger. Or if this needs to sell off for a week before it runs up to merger, that's fine. I'm not going to be holding through merger.

The only way that I could see it making sense to hold through merger is if you're going to buy it now and then hold it for five to ten years. If you're considering on trading it, I don't see it as making a lot of sense to hold through the merger. Lastly, Pltr. Now, Pltr is a big, beautiful data company.

A lot of people know it as a defense company because of its exposure to the Us Army, but it's really not a defense company. It has exposure all over the place, automotive, auto racing, legal financial compliance, and so forth. But yeah, defense is probably the most notable. Anyways, this is a platform that corporations and institutions on many different levels are using to more efficiently and effectively solve problems.

And to me, without going into an hour-long video, this is what I see value and it's number one. Their platforms are gaining mainstream attention on an international level. For example, just take their pandemic role. They power the allocation and distribution of more than 2.7 billion pieces of ppp in England powered the entire country of Colombia's response to the pandemic.

and they're also on track to play a role in tracking the manufacturing distribution of vaccines in the U.s And likely they'll have some roles in tracking outbreaks and managing clusters of covet as we leave the pandemic as well. I could go on, but it's not just that each customer, fundamentally speaking, is bringing in more money to them than ever 38 percent jump between September 2019 and September 2020.. they also have important contracts, most notably a 91 million contract with the Us Army. So this is a play that I totally see the value of, but it's also up like 200 percent in the last month.

So again, sort of reiterating my thoughts on Julia and Neo, it's okay for these plays to sell off. I know that everybody wants to push these to go up 400, and if they don't they're like these suck. But if you have to let these breathe, that's fine. Do you know how much less risk we'd have to take on to buy Pltr at 13 versus the valuation at 33 dollars? Well, obviously, well, at 13 we have twice as much upside to get just to the highs, whereas at 33 dollars, we have to bank on Pltr.

continuing to push into unprecedented territory genuine to break out into all-time highs. So again, as traders, we should not be afraid of cooling off. I'm personally going to be on the sidelines a little longer until we get a better deal. Okay folks, well if you have any questions, feel free to reach out to us below or join us on our free Ziptrader Circle Facebook group.

I'll go ahead and put the link to Ziptrader Circle in the link below or in the description below. And lastly, if you're looking to get in on our Black Friday sale, Ziptraderu will be 100 off when you type in coupon code Black Friday 100. folks have a great day and I'll see you in the next video.