Please ensure Javascript is enabled for purposes of website accessibility
Small-Cap Confidential
Undiscovered stocks that can make you rich

June 25, 2024

Enovix (ENVX) Gets Charged up on Mixed Reality News

Enovix (ENVX) Gets Charged up on Mixed Reality News

Shares of Enovix (ENVX) are up over 20% this morning on news the company has inked a deal to deliver sample and production batteries for a California-based company. The batteries and packs will go in a mixed-reality device. There is speculation this could be Meta (META) or Apple (AAPL), with Meta the lead contender (of those two). That’s super exciting, but it could also be some much smaller player. Still, let’s speculate for a minute. Meta sold over 600,000 units in Q1 so this could be a meaningful contract. We’ll just have to wait and see. Either way, Enovix is getting an upfront payment for tooling, then payments for deliveries (amount not disclosed).

We have been in ENVX stock for a while, and the potential for this type of deal has helped us through some of the dark days. I’m in for the long haul since, should things continue to go well, there will be many more of these types of deals over the coming quarters. The potential gains here are really significant. That said, I still expect ENVX will be a volatile stock, especially if/when news like this hits and speculators begin to drive it. I still think it’s OK to add to existing positions (averaging in), so ENVX remains a buy. BUY

Copyright © 2024. All rights reserved. Copying or electronic transmission of this information without permission is a violation of copyright law. For the protection of our subscribers, copyright violations will result in immediate termination of all subscriptions without refund. Disclosures: Cabot Wealth Network exists to serve you, our readers. We derive 100% of our revenue, or close to it, from selling subscriptions to our publications. Neither Cabot Wealth Network nor our employees are compensated in any way by the companies whose stocks we recommend or providers of associated financial services. Employees of Cabot Wealth Network may own some of the stocks recommended by our advisory services. Disclaimer: Sources of information are believed to be reliable but they are not guaranteed to be complete or error-free. Recommendations, opinions or suggestions are given with the understanding that subscribers acting on information assume all risks involved. Buy/Sell Recommendations: are made in regular issues, updates, or alerts by email and on the private subscriber website. Subscribers agree to adhere to all terms and conditions which can be found on and are subject to change. Violations will result in termination of all subscriptions without refund in addition to any civil and criminal penalties available under the law.

Tyler Laundon is chief analyst of the limited-subscription advisory, Cabot Small-Cap Confidential and grand slam advisory Cabot Early Opportunities. He has spent his entire career managing, consulting and analyzing start-up and small-cap companies. His hands-on experience has taught Tyler that the development of a superior business model is the biggest factor in determining a company’s long-term success. Accordingly, his research focuses on assessing the viability of management’s growth strategies, trends in addressable markets and achievement of major developmental milestones.