Okay folks on today's video I Want to make the case for why one stock that is trading at roughly 79 cents a share may have substantially more upside. In fact, I'm going to make the case for why I may have up to 223 percent more upside. This is our latest top trade idea and it had a very wild session today, so prices might either be higher or lower by the time you watch this video. I'm shooting this at about 114 Pacific Standard time.

but I Want to present you with the bigger picture I Want to show you their assets, their cash, what they have in their pipeline potential Catalyst With that, and then talk about some potential strategies that are especially going to be useful on the next dip. But first off the bat, if you are unfamiliar with our top idea as well, our top ideas are the highest designated picks that we give here. at Ziptrader, they are the creme de La Creme We usually do about three a month. The goal of them is to find a company that is inefficiently priced based on a catalyst not yet factored in, a discrepancy between market cap and asset value, an undervalued move, or intellectual property or something like that, All of these things could create a massive inefficiency that we as straight can trade off of.

And so far of the eight top ideas that we've posted, they've had a run ranging from 44 to 156 percent when factoring in. original alert price, two peaks, and mostly within two or three trading days now. of course, past performance does not guarantee future returns and we have been in a pretty aggressive bull market all year. You know what they say, everybody's a genius in a bull market, but still I Think that if you look at the average an average Max percentage from call out right now at 94.66 percent? Well, I think that's a pretty solid record and hopefully we can continue to build on that record.

But of course again, make sure that you're always doing your own due diligence. We present ideas and setups, but if you are the one taking the risk, you got to be the one doing the ultimate. Frisk You have to ask yourself, is this an idea that I agree with? Is this something that is worth playing or is it not And most importantly, what does the risk management look like? If you are looking at our other top ideas and you're seeing that hey even the biggest Runners only lasted a couple of days? Well what does that mean? Well, it means have these are trade ideas. These aren't buy, hold and get married and have 15 kids with ideas.

There's a time and a place for them 15 kids but it's not a zip trade Anyways, we are going to get to work in a second but first day work from today's sponsor. Today's video is brought to you by Moomoo in the up to 17 free stocks that you can get if you sign up and deposit a small amount using our link down below. And folks, it's so important to choose the right platform. You could be the best driver in the world, but if your car sucks then you're not going to do very well in the race.

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This includes an add-on of ticker symbol AI which you can only get if you take advantage of this promotion before June 30th. For more information on MooMoo and how to take advantage of this, make sure to click that first link down below. Thank you again MooMoo for the sponsorship! Now back to the content. Okay folks, now it is time for our main entree ticker symbol Frtx Frtx is our latest top idea and I'll present to you why that is so Frtx is a clinical stage Pharma Company They are working to develop treatments for autoimmune, inflammatory and other debilitating debilitating diseases.

And I want to start you here with the inefficiency that I see between market cap and cash and overall assets. Their market cap at the time of shooting this lovely video was at 4.7 million and change. Here's the thing though with that, they're straight up cash and cash equivalents reported as of quarter and March 31st, 2023. we're at 10.764 million, total assets at 11.967 million, and you subtract liabilities which are about 2.1 million, and you're still looking at like 9.87 million in net assets with a market cap at 4.7 million.

That means that the stock is literally literally trading. literally trading at half at half its net asset value. AKA If they gutted the company and sold it for scraps and pocketed the cash, what would the total value be? Well, much, much more than the current market cap of the company. So then the question becomes, well, is that appropriate I Say no.

They have four assets in the pipeline right now and yes, that is an expensive process and you never know how long it's going to take or or if they're even ultimately going to be successful. But remember, but remember each stage, each step of this process has its own height potential Where if they progress and they release a press release on them, then all of a sudden the stock can rally quite a lot. An investor looks at this Pipeline and says oh, if this makes me nauseous, they're so early in the pipeline, this could take years. It could take millions and millions of dollars.

Maybe they won't even get to Market I don't want to go and buy and hold and ultimately have to wait 10 to 20 years and maybe the company completely fails like most biotech penny stocks do. An investor will look at the stock and be like this is terrible I Do not want to touch this with a 10-foot pole but a Trader looks at this and thinks hmm, I'm not really interested in feeling good about buying holding I'm interested in making Mulan a Trader looks at this and says each of these phase trials and PR that comes out around them is an opportunity for the stock to see huge huge rallies. Some would say rally rallitos but not Charlie Charlie A Trader looks at this and says what's in it for me, not what's in it for Wall Street that wants me to buy and hold everything. No, but what is in it for me and what is in it for me is the opportunity for this stock and the many opportunities for the stock to.

Rally As each of these goes through the various stages, even if half of them fail, it doesn't really matter because every time one goes through a stage, that's going to be an opportunity for a rally rally. and they have been making a lot of progress here. If you look at their Frtx02, that's in Phase One and this is what they said back in March quote The results are from part one of the first Inhuman Phase One study demonstrates the potential of Frtx02 as a generally safe and well tolerated once daily oral treatment for a broad range of autoimmune and inflammatory diseases. Frtx02 is generally safe and well tolerated within the potential therapeutic dose range, meeting the study's primary objectives.

So oftentimes when something is successful early on in Phase One it tends to move through the rest of phase one and then on to phase two. And so just for this one, ask that this one project. well, that's going to have other catalysts down the road, but we have four of these to work through. You'll also have Frtx 10, which is in the pre-clinical stage that will have another Catalyst once it moves into phase one.

Hopefully it makes it there, but I think probably highly likely. It's pretty easy to get to phase one. It's a lot more difficult to get from phase one to the eventual Pdufa the FDA approval, but when you're early on in the cycle, it's a lot easier. Frtx03 same thing and then the next gen kinase.

Inhibitors if it gets out of Discovery I would say discovery's a little bit harder to go from just Discovery to pre-clinicals but hey, but hey, it is a potential Catalyst right there. So in totality, what you have with the stock is you have a very valuable pipeline from a catalyst perspective and a company that is, well, well capitalized, far above their market cap in order to handle the further development of this pipeline. For me, when you're looking at an FDA Catalyst play, you're looking at a biotech stock. You want two things: number one, lots of cash so that they can actually move through the Catalyst without insane dilution, and number two, you want to have a lot of things in the pipeline so that there are a lot of catalysts, which again not to be a broken record, but there's a lot of catalysts here.

next. I Want to talk about a Hidden Gem in their filing? So in a filing they made on May 5th, they said they are exploring strategic options. Oh so strategory. Our board and executive management team are conducting a comprehensive process to explore and evaluate strategic options to progress the development of our novel pipeline of potential treatments for autoimmune, inflammatory and other diseases.

Potential strategic options to be explored or evaluated as part of this process may include but are not limited to a financing sale or licensing of assets, acquisition, merger, business combination, and or other strategic transaction or series of related transactions involving our company. MTS Health Partners LP has been retained as our exclusive financial advisor to assist in this review process. So they are in the process of doing what they are in the process of Fielding potential new options to help jump start their product line and getting these over the finish line through Phase one, phase Two, phase Three, phase four, and then to approval. Now markets.

When this news came out, they didn't really like it I Think they thought that this was bad because ooh, uncertainty. But from a trading perspective I'm looking at this and I'm thinking Hmm when you have certain assets being up for sale, whether it's individual assets or it's the entire company in a business combination or total acquisition, Well, usually those things get bought up at a premium. Very rarely will a company sell at a massive massive discount because it doesn't make sense to sell. It's just better to sell more shares if you're going to do that.

So from my perspective and in my opinion, it looks like this is actually a pretty solid Catalyst if they do figure out how to sell one of their assets or sell the entire company, now let's go ahead and talk about what the analysts are saying. Tip rank shows two analysts right means a rating at four dollars from Oppenheimer which is 420.56 percent of Upside and a rating from HC Wainwright at 450 which is about 485 percent of upside. Now do I think that Frtx is going to get to 4 or 450? Well, I wouldn't count on it I Mean it is possible if you get enough catalysts from the pipeline and market conditions allow it, but I wouldn't pin your hopes on it or hold your breath. How I would look at the stock though is by looking at it and saying hey, this is a stock that has shown the ability to Rally as high as 359 on previous catalysts that are going to be ongoing.

Catalyst We're going to have more and more FDA catalysts in the future. This one in March here was actually a positive phase data release and if it can do it once, it can do it again, right? And on top of that, if you're looking at this really logically, the stock is attempting to build momentum from lows. It hit at 42 cents back in April And as market conditions have been a lot more fruitful for small caps especially super small caps that have been hated on for the last 18 months while you're really starting to see momentum build in the stock, so I would say certainly worth putting on your radar if this momentum continues. News, you could easily see this become a bigger play.

Crucial levels to beat are resistance at 96 cents, previous support at 1 30. next resistance at 198, then the twice confirmed resistance at 255, and then you have that final Moon shot. Now in terms of realistic upside potential, if this gets momentum combined with the key catalysts, well, I'd say resistance is at about 255, which could mean all the way up to 223 percent of upside. Now is that going to happen? Well again, you got to make sure that the stock is showing the proof of concept the appropriate proof of concept before you're like, yeah, it's going to get 223 up No, no, no, you got to wait.

You got to make sure that showing the proof of concept to break the lower levels of resistance before you can get to the higher ones. A lot of people will look at a stock. They'll be like oh, the resistance is all the way up here. The momentum is starting I Like the Catalyst I like the asset situation, I Think it's going to go all the way up there, but no, that's not really how it works right? Even the best plays have to show a consistent level of being able to break and hold different levels of resistance.

Finding retention If it doesn't have that, it's going to be a Dunt. But I think based on what I presented, the stock has a solid shot of being a pretty good play to have on your radar very very soon. Also, by the way, if you want to be one of the first to hear about our top ideas and also the first to see our daily morning briefings each and every Market Open morning? well I will put a link to Zip Trade Review below. For example, we alerted Frtx at 62 cents a share this morning at 8 42 A.m Pacific that was before it had its run to 94 cents and then cooled off and tried holding momentum.

If being early to see our top ideas would be something that interests you. I will put a link to zipper to you down below. As always, remember the stocks that we talk about the trading ideas. They're very, very risky, especially as you get into the penny stock variety.

They run very, very quickly, but oftentimes they dump just as fast if not faster. So if you want to take the risk, you got to make sure that you're doing your own. Frisk You got to make sure that you have your own risk management. You got to make sure that you're thinking for yourself.

We can present all the ideas that we want, but ultimately it is up to you to make the decision anyways. That caps off today's video and we will see you in the next one.