Jul. 25 at 12:32 PM
$AZ Impressive day Fri in a weak tape. Good to see it. My read fwiw: 1) Shorts are starting to cover. I don't know why anyone would short a company with close to
$90MN in liquidity (
$60MN cash and
$30MN facility), that will be ebitda breakeven in Q4, with the prospect of big contracts any day. But there are 4.5mn shares short.. so lots to buy on a squeeze. 2) Pretty sure their guidance is 10k carts delivered and 30k carts backlog by year-end. That implies 11k more carts worth of contracts (they're at 19k now), so expect more contracts in Q3/Q4. 3) Q2 numbers in Aug should be better than Q1 (low bar) as deliveries start to ramp, so easy to beat. Overall I like how it's acting ahead of a few catalysts.
