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These 5 Small Cap Stocks Lost Over $17M Last Week

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Small-cap stocks are generally an ideal investment for investors which a high-risk appetite. Small-cap stocks have a market capitalization of under $3B.

These companies provide a higher rate of return as they are generally driven by high growth prospects. These shares are also more volatile compared to mid-cap or large-cap stocks.

The Vanguard Small Cap ETF [VB] which is a broad indicator of the small-cap space, Ā declined over 3.3% last week. Here we look at small-cap stocks that underperformed the market significantly in the first month of Oct. 2018.

GoPro

GoPro [GPRO] shares fell 13% last week to close trading at $6.26. The stock has burnt significant investor wealth over the last two years due to a decline in product shipments.

GoPro launched the highly anticipated Karma drone two years back but had to recall shipments shortly after the product launch. The company then decided to discontinue the production of Karma and exited the drone market.

Earlier this year, GoPro has launched several products across price points to target different customer segments. It will be interesting to see if this will improve device sales and result in revenue growth for the company.

Market Cap: $931.5M

Year-to-date Return: -17.3%

Last week decline: $139M

Windstream

This telecom company has had a horrendous run in the last two years. Windstream [WIN] shares have declined 51% this year after slumping 76% in 2017. The stock declined 8.2% last week.

Some analysts believe the rising debt levels of Windstream might drive the firm to bankruptcy. Earlier this year, Michael Rollins from Citigroup [C], reduced Windstream’s price target to $1.

According to Rollins, Windstream is in a ā€œprecarious operating position and faces rising financial risks.ā€

Market Cap: $193.2M

Year-to-date Return: -51.35%

Last week decline: $17M

Frontier Corp.

Similar to Windstream [WIN], Frontier Corp. [FTR] continues to underperform the markets significantly. The stock is up marginally by 0.7% this year. It has however declined 22% in 2016 and 87% last year. Shares fell 5% last week.

The company has been impacted severely by subscriber losses and falling profitability. FTR purchased Verizon’s [VZ] CTF (California, Texas and Florida) assets for $10.54B way back in 2016.

Though this initially resulted in cost savings, the cord-cutting phenomenon coupled with the demand for a cable-based internet impacted the company’s revenue.

FTR has to discontinue its dividend payouts and impose a reverse stock split to continue trading on NASDAQ.

Market Cap: $720.57M

Year-to-date Return: -0.74%

Last week decline: $37M

Pandora

Shares of music streaming company, Pandora [P] declined close to 6% last week. In the last week of Sept., the stock rose 4.6% as Sirius XM [SIRI] announced its intention to acquire Pandora for $3.5B.

Pandora shares have had an impressive run in 2018, as the stock has risen close to 86%.

Market Cap: $2.41B

Year-to-date Return: 86%

Last week decline: $140M

Fitbit

Fitbit [FIT] too has burnt significant investor wealth in the last two years. This stock fell 73% in 2016 and 25% in 2017. Shares have slipped close to 12% in 2018 as well.

Fitbit shares were recently impacted by the launch of the Apple Watch Series 4. The company’s shares have declined driven by Fitbit’s loss in the wearable market. Fitbit shipments have fallen in a growing wearable space.

The company has struggled to compete against Apple [AAPL], Garmin [GRMN], Xiaomi and Fossil [FOSL].

Market Cap: $1.24B

Year-to-date Return: -12%

Last week decline: $70M

Business

How Big Real Estate Moguls Avoid Taxes (And How You Can, Too) šŸ‘€

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I was looking around Google for an old article on tax strategies and this five-year old video of myself happened to pop up.

I’m interviewing a tax expert about how real estate investors avoid paying taxes in perpetuity—AND how everyday citizens can do the same thing.

(Real estate—our TEMPLE I and TEMPLE II projects included—has a number of tax benefits savvy investors have capitalized on for years, including Opportunity Zone breaks and 10-year tax abatements.)

There’s the 1031 exchange, of course, which I’ve shared with you guys before. 

Just to refresh your memory, the 1031 Exchange allows you to roll over gains from your last project into a new property TAX FREE—as long as said property is worth the same or more.

But there’s ANOTHER TAX LOOPHOLE that can take your portfolio to an entirely new level by splitting your capital gains into MULTIPLE properties.

So I thought I’d share it with you guys. šŸ’Ž

You can check it out here.

Let me know what you think. šŸ˜Ž

PS: In our next update, I’m going to break down how real estate moguls get paid from their properties…tax free. šŸ‘€
PPS: If you want to learn how to implement generational wealth strategies like this one, you can join our NYCE wealth academy (TRIBE U) here.

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How I run a $300M+ business from the beach…(and how you can TOO!)

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Yes, you read that right.

If there’s anything the pandemic taught us, it’s that the paradigm of ā€œofficeā€ and ā€œworkspaceā€ has been shaken to its CORE.

Universities are teaching via Zoom, court dates are done virtually, FULLY REMOTE businesses are valued at $1B+, and legitimate Inc. 5000 startups are run from…wherever. šŸ“²

This is my office for the day…

I am actually running our business from the beach, typing this from here.

It’s 4:28 pm CET, which means it’s 10:28 am EST and I am CRUSHING my to-do list.

(And the team will continue to crush it while I’m asleep. That’s the šŸ—)

So how did we get here?Ā 

We launched NYCE and our mission to create 100,000 millionaires in March, 2020…just as the global COVID-19 lockdown happened. 😳

As a result, we shut down our main office and set EVERYTHING up to run remotely…

SMOOTHLY! And a system that allows us to outperform competition by 200%. (You can build this system, too. More on this in a second.)

Here’s what we were able to do since then:

  • Gained 6M+ followers across all platforms šŸ“ˆ
  • Add 1500+ new apartments to the portfolio šŸ¤‘
  • Grow to $300M in real estate šŸš€
  • 105% investor returns šŸŽ‰
  • 700K+ community members šŸ¤

And here’s the best part…

Having team members in all the main time zones gives us a 24-hour work cycle vs. 9-5/eight-hour on-the-clock performance.

This means we get 3x the productivity of a similar company. šŸ”„

Let me repeat that…3x PRODUCTIVITY vs. our competitors.

Meanwhile our project management software grants us 24-hour TEAM-WIDE connectivity that tracks all tasks and lets us know if productivity dips even a little bit.

There is ALWAYS someone senior awake. It could be Martin in Barcelona…Nat in New York…Vineet & Arif in New Delhi.

All the while giving YOU GUYS wealth hacks and daily content. šŸ”„

OK, so how can you do it?!

Well, the first step is to have an actual side hustle you’re launching. Not just an idea, a validated business.

MAJOR KEY: Do NOT spend money until you’ve made your FIRST DOLLAR! šŸ—šŸ—šŸ—šŸ—

(You can catch a replay Business Launch masterclass here and see TRIBE member Nessa launched her business on the spot and got her first $45K client shortly after.)

One of the easiest ways to start is with Airbnb—you can start that in 10 minutes. Literally. (Here’s a guide if you need it.)

Once you have your business, you build a virtual infrastructure (you really just need two softwares, which are FREE), manage the team accordingly and run the business from there.

I’m gonna put together a step-by-step video breakdown this weekend inside the new TRIBE U on the FIVE key things you need to do this for YOURSELF. šŸ’µ šŸ’Ž

From what software to use, how to build a team, how to keep.

In the meantime, drop a comment if you’re ready to build some wealth and any questions if you want more…

Let’s get to work. šŸ™Œ

PS: If you can’t be bothered with video and just wanna get to work, we’re hosting a TRIBE U workshop that will help you get this process started on the spot. It’s $479 $49. šŸ”„

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Money

CHART: How Blockchain Powers Bitcoin

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Blockchain, Bitcoin. Bitcoin, blockchain.

The two terms go hand in hand—and have become almost ubiquitous with this year’s insane rise (and fall) of Bitcoin.

But what does it all really mean? How does it come together? In this week’s chart, our friends at CB Insights break down exactly how blockchain powers Bitcoin.

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