KEY THEMES
The earnings season is upon us with more companies slated to report their 2020 results soon. Some have already started doing so, while others are reporting their interim (e.g. H1 results)—all ended December 2020. What does the market really care about the results? So far, it seems that the market cares more about overhyped stories more than their underlying numbers, in what we can politely call a “momentum-driven” market. One of our long ideas that we reiterated yesterday, namely MM Group [MTIE], ended up a full 10% on the day. On the other hand, another albeit short idea has not lived up to our expectations. Al Ahly for Development & Investment [AFDI], one of our short ideas in our STANDPoint note published 14 days ago, extended its gains yesterday, triggering our rule of thumb 20% stop loss.