Daily Brief United States: Tesla Motors, Bitcoin, United Rentals, SIGA Technologies and more

• Q2 deliveries were solidly higher versus expectations, thanks to Tesla’s 11th hour fire sales on top of fire sales to move sluggish inventory. 
• The trouble is, this likely slashed already shrinking profitability while excess inventory continued to grow.
• Margins & profits probably can’t recover as more aggressive measures already are needed in Q3 just to sustain sales.

• The second week in a row of good vibes. The crypto market is basking in a period of optimism, fueled by the momentum generated from the influx of numerous ETF filings.
• Bitcoin and Ethereum, the leading cryptocurrencies, have experienced sustained upward trends in their values.
• As a result, the vision of an interconnected on-chain, off-chain financial system is rekindled, and the hopes of a seamless integration of traditional and digital economies emerge again, with record inflows of capital into crypto to feed this hypothesis.

• United Rentals continues to perform well as the risk of a recession grows.
• The share price is not expensive as profitability and utilization rates remain strong.
• United Renters remains a sold long-term opportunity, but near-term risks should not be ignored, but United Rental remains a selling long- term opportunity.

Ahead of its H123 results and an anticipated period of increased business activity in the second half of the year, we present a preview of SIGA Technologies, which continues to have strong fundamentals (despite the bearish macro environment) with several potential inflection points on the horizon. The nearest catalysts, in our opinion, are the upcoming TPOXX deliveries to the US strategic national stockpile (which we expect in Q3/Q423) and data readouts from the post-exposure prophylactic (PEP) label expansion trials, anticipated in Q323, positive results from which could materially expand SIGA’s addressable market. With a strong balance sheet and potential incremental income generation for shareholders (via dividends and buybacks), we believe that SIGA has a resilient business case in the biotech space.