February 22, 2024

Small caps traded slightly lower the first two sessions of this holiday-shortened week while the S&P 500 and Nasdaq wobbled a bit but enjoyed a bigger pop than small caps today.

Nothing high level that’s a huge priority at the moment, other than that today we saw a significant “risk on” rally as Nvidia’s (NVDA) monster quarter restoked the AI enthusiasm flame that was beginning to dim earlier in the week.

Given all the earnings reports, and another due up early tomorrow (DCBO) I’m jumping right into our stocks for short and sweet updates.

Recent Changes
None

Updates

Alphatec (ATEC) reports official results next Tuesday (we’ve already received preliminary results, which were better than forecast). The stock has pulled back to the 50-day line near 15.4. Investors are waiting for 2024 guidance before making any decisions here. We’re in the same boat. HOLD

Earnings Date: Tuesday, February 27

Braze (BRZE) reports in March so no news to discuss here. A little pullback in shares over the last week, but nothing out of the ordinary. Braze offers a customer engagement software platform that customers/brands use to connect with consumers in real-time. HOLD

Expected Earnings Date: March 29

Docebo (DCBO) reports tomorrow morning with a conference call at 8 AM ET to follow. Revenue in Q4 should be up at least 24% to $48.4 million and EPS should be $0.13 or better. We’re looking for Docebo to grow revenue by about 23% in 2024, when EPS should be up about 42% to $0.76. BUY

Earnings Date: Friday (AM), February 23

Enovix (ENVX) reported earlier in the week, and I detailed the results in a Special Bulletin. Nothing major to report since. The stock has been “meh,” but the story/potential is still great. BUY

Earnings: Done

EverQuote (EVER) will report on Monday. I’m expecting a good result, as are other investors (EVER moving to multi-month highs above 16 today). BUY

Earnings Date: Monday, February 26

Intapp (INTA) is stepping up its AI game with the release of new capabilities and a new “Intelligence Applied” strategy and branding aimed at supporting AI workflows in the accounting, consulting, investment banking, legal, private capital and real assets industries. This is according to a press release put out this morning which was followed up with the announcement the company will acquire Berlin, Germany-based AI software company Delphai. According to that press release, “Delphai applies AI across public data from tens of millions of company websites, news sources, financial statements and more, creating structured, attributable firmographic data.” In other words, Intapp will integrate this technology into existing (and probably new) products to help speed up data collection and analysis. Details on the deal are scarce, but we’ll hear more in due course. BUY

Earnings: Done

Liquidity Solutions (LQDT) reported two weeks ago, had a bad reaction, but has popped back since. No news to report. HOLD

Earnings: Done

Remitly Global (RELY) reported after the close yesterday and I detailed the results in a Special Bulletin this morning. Nothing new to add from a fundamental/story perspective. Shares are up around 18% (smack on the 200-day line) and I’m eyeing RELY for an upgrade to buy. Management will speak at Citi’s Annual FinTech Conference (February 27) and The Citizens JMP Tech Conference (March 4). HOLD HALF

Earnings: Done

TransMedics Group (TMDX) reports next Monday and there’s nothing new over the last week. This will be an extremely interesting report given how much new business the aviation service can add. HOLD A QUARTER

Earnings Date: Monday, February 26

Weave (WEAV) reported Q4 results after the close yesterday, and I sent out a Special Bulletin detailing the results this morning and keeping the stock at “buy.” Shares are trading down more than 10% this afternoon but I don’t think that’s indicative of anything wrong with the story. WEAV has a market cap under $800 million and sometimes these smaller stocks get a little weird. The company added 3,809 locations in 2023 (450 more than 2022) to end with over 31,000 locations, 2024 guidance was above consensus and I expect a beat-and-raise rhythm throughout the year. Bank of America, Stifel and Piper Sandler are all bullish. Keeping an eye out as we may fill the second half of our position soon. BUY HALF

Earnings: Done

That’s it for this week. Please email me at tyler@cabotwealth.com with any questions or comments about any of our stocks, or anything else on your mind.

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