Daily Brief United States: Crude Oil, Copper, Bitcoin, CVR Partners, JAKKS Pacific , Avita Medical , Platinum, Bassett Furniture Inds and more

• US oil and gas rig count fell by 1 to 584 for the week ending 12/Jul, after rising by 4 the previous week. 
• US oil rig count fell by 1 to 478, indicating 59 fewer oil rigs as compared to the same week last year. It is at its lowest since December 2021.
• Despite a decline in the US oil rig count, US crude oil production matched the all-time high production of 13.3m bpd for the week ending 5/Jul, according to the EIA.

• BHP and Lundin rumored to be considering a joint bid for Filo Mining in the Vicuna district, an emerging copper super district in Chile and Argentina.
• Lundin Mining owns the most advanced project, Jose Maria, in the region which is permitted and fid ready.
• Argentina now has a supportive business regime, making it an optimal time for development in the region. Lundin Group retains a 33% stake in Filo while BHP owns a 6% stake.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• The crypto market has recently diverged not only from the rapidly improving liquidity conditions in the broader economy but also from various positive crypto-specific factors such as declining exchange balances, regulatory clarity, reduced Bitcoin miners’ reserves, the historically positive post-Halving period, and the imminent launch of Ethereum spot ETFs.
• This decoupling has been driven by the German government selling nearly 50,000 bitcoins over the past few weeks, most of which were sold last week, along with the start of repayments to Mt. Gox creditors.
• The substantial rebound in crypto assets this weekend, as the German Bitcoin selling ended on Friday, highlights that the tumbling prices in recent weeks were merely due to the German government, Mt. Gox, and, not least, the unjustified fear of substantial selling pressure, as we argued in last week’s Crypto Crisp titled ‘Buy the Dip’.

• UAN is undervalued due to market volatility and has potential for future share price increases
• The company’s strategic location and cost advantages in production and distribution make it a strong player in the nitrogen fertilizer market
• UAN has a normalized FCF yield of 17% and offers a significant increase in share price, making it an attractive investment opportunity

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• We are initiating coverage of JAKKS Pacific, Inc. (“JAKKS” or the company), a leading designer, producer, marketer, seller and distributor of multi-brand licensed toys and related products, with a Buy rating and a $24 price target, or 7.5X our 2025 EPS projection of $3.20.
• We believe, after a rough start to 2024, driven by weak content-led movie driven results, JAKKS is nearing a stabilization of the business and, with new licensing relationships (The Simpsons and Authentic Brands) and content-led movies (Moana 2, Sonic the Hedgehog 3) coming to the fore, is positioned for upside.
• Further, as of 1Q24, JAKKS is debt free for the first time in recent history, with cash per share of over $3.40 and tangible book value of over $14.75 per share.

• AVITA Medical has a 75% market share in the burns market, surpassing competitors
• The company’s recent financial performance has been strong, with an 84% increase in revenue in 2020
• AVITA Medical has significant potential for growth and value creation in the future, given its position in the burns industry and growing market opportunity

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• It Got Quiet around Platinum and Palladium While sales of EVs around the world continue to surge, it kind of became obvious that BEVs or mild hybrids are the choice for many consumers going forward.
• Those systems offer people the option to drive fully electric within the city and use the combustion system for further destinations.
• If the demand for BEVs continues to surge, two metals could be supported by that fact which builds the investment case for platinum and palladium.

• Herein, we analyze and discuss Bassett’s 2QFY24 earnings report.
• Management reported its results for the interim period that ended on June 1, 2024, on Wednesday after market close.
• It also conducted its “first-ever” management-sponsored and conducted earnings conference call on Thursday before market open, taking and answering analyst questions live.