AQB is on the watchlistAquaBounty (AQB) NASDAQ:AQB
AquaBounty is a company that deals currently in aquaculture services, specializing in the farming of bioengineered Atlantic salmon that can grow to market size faster than what the conventional market offers.
The appeal in ABQ is clear. As global natural salmon production decreases due to environmental constraints put upon by climate change and pollution, aquaculture of salmonids is already used to meet market demands at a competitive price. Bioengineered salmon is reportedly faster to produce and more efficient; therefore, following conventional logic, bioengineering salmon is the logical next step for a competitive market to meet increasing demands.
Their product is known as the: Aquadvantage Salmon
Cathie Wood from ARK invest has backed this and they currently own 12.18%/ 8,640,421 shares.
The Vanguard Group also have a stake of 2.09% with Blackrock trailing behind at 0.82%
My only concern is the public perception of GMO foods. As reported by The Hartman Group, consumer perception of GMO foods is increasingly negative year by year.
Chains such as Costco have refused to serve these GMO salmons which may pose a potential risk for ABQ in the short term.
But long term we will have to continue modifying organisms in order to reach a point of sustainability.
Looking at the chart we could retest 10$ again easily before Earnings. Due to the fact, their patented product hasn't yet arrived in the US, it could crash back after if it doesn't beat estimate EPS.
Then again, it is FDA approved so hopefully, it will take the market by storm when things open up again in the summer.
If it drops to the 5$ range I will open a long position. If it consolidates at 7-8$ I may reconsider.
(Disclaimer not financial advice just opinion)
