Canon Pivots From Pics To Chips

The Japanese conglomerate is best known for its printers and cameras but hopes a business pivot will help get its stock price going again. 💡

Today, the company launched a tool that helps manufacture the most advanced semiconductors. Its “nanoimprint lithography” (NIL) system is the company’s attempt to compete with Dutch firm ASML, which leads the extreme ultraviolet (EUV) lithography machine industry. 

This technology is in high demand because it plays a significant role in manufacturing semiconductors at 5 nanometers and below. Essentially, there’s a race to make semiconductors smaller and more powerful. And whoever can develop the tools needed to do that should benefit strongly from this secular growth trend. 🏭

Canon says its latest machine is able to make semiconductors equivalent to a 5nm process and go as small as 2nm. For context, Apple’s most recent iPhone models use a 3nm semiconductor. With TSMC and Samsung looking to make 2nm chips in 2025, Canon will likely attempt to siphon off some market share from ASML as overall industry demand surges. 

While the company has been developing its NIL technology since 2004, it’s failed to gain meaningful traction in the world of increasingly complex semiconductors. 📊

However, it hopes the world’s renewed focus on the industry and rising geopolitical tensions between the West and China will help it secure a leadership spot in this space. It’s still unclear, though, if the company can ship this technology to China or if it will fall under current sanctions.

$CAJ shares were flat on the day as investors assessed whether this is all hype or a meaningful shift in the company’s business prospects. 🤔

JetBlue Jumps As Icahn Accumulates

It’s been a rough few months for JetBlue shareholders after the airline’s merger with Spirit Airlines was blocked by U.S. regulators. However, the stock is popping after hours on news that a billionaire hedge fund manager is dumpster diving and sees value in the stock. 💸

Activist investor Carl Icahn reported a nearly 10% stake, which he’s accumulated on the belief that the stock is undervalued following its recent selloff. He’s already had discussions with the company regarding possibly attaining board representation.

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FanDuel Parent Lists On NYSE

The U.S. “degenerate economy” is getting its latest entrant, with FanDuel parent company Flutter Entertainment making its debut on the New York Stock Exchange (NYSE) today. 🤩

With that said, the company did not receive the traditional fanfare it would in a standard initial public offering (IPO). That’s because it was listed on the London Stock Exchange (LSE) in May 2019, and its American depository receipts (ADR) have traded over the counter under the ticker $PDYPY for years.

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Plug Power Is Charged Up

Plug Power hasn’t given investors much to be excited about over the last few years, but today’s news has people (and its stock price) charged up again. So let’s see what happened. 👇

The alternative-energy company, which provides hydrogen fuel cell technology, finalized a deal with the Department of Energy (DOE) for a $1.6 billion loan facility. This critical funding comes at a time when the company has faced immense liquidity issues, issuing a going-corn warning last quarter and disclosing a secondary share offering of up to $1 billion. 💸

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Peloton’s New Partnership

With Peloton’s turnaround strategy not yet bearing the fruit it had anticipated, the company continues to lean on partnerships to grow market share. For example, in September, the company entered a 5-year strategic partnership with Lulemon to bring its content to the athleisure brand’s exercise app. It also made Lululemon Peloton’s primary athletic apparel partner. 👟

It’s still too early to tell whether or not that cooperative effort is working, but management seems to think further initiatives like it will help boost revenues. As a result, it’s partnering with TikTok to bring short-form fitness videos and other content to the social media platform.

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