DCA ZoneFinally a new Starbucks competitor has arrived! Here's my possible DCA zone. I may have to settle for around $30, watching the RSI to see how it looks along the way
LC0A trade ideas
$LKNCY Showing a strengthHello everyone,
Im looking to enter below $35.50 my target is $36.36
Can go to $37 too but thats about it
Trade safely and stop loss is your bestie 📈✅
$LKNCYOTC:LKNCY broad market move call. All counts shown. $2024 pull back is the final buy for the rally to $100 +
LNKCY: Cup'n Handle, not confirmed (44.2%)(21/1000)(21/1000)
Bullish Cup'n Handle for LKNCY.
Not confirmed.
Pros:
1- PPS above 50MA and 200MA
2- RS above 0
3- R/R ratio above 5
4- 250RSI above 50 and climbing
5- 50MA above 200MA
6- Both 50MA and 200MA ascending
7- (3/1000)
Bullish Cup'n Handle for STM on the Weekly chart.
Not confirmed.
Pros:
1- PPS above 50MA and 200MA
2- RS above 0
3- R/R ratio above 5
4- 250RSI above 50 and climbing
5- 50MA above 200MA
6- Both 50MA and 200MA ascending
7- ATR ascending, more volatility
8- Golden cross in blue.
Cons:
1- Figure is not confirmed
2- No break out yet
If confirmed, target price is 46,39$
Stay humble, have fun, make money!
MAAX!
LKNCY - Breakout Entered Advance StageLKNCY has made a powerful breakout from its accumulation zone. This breakthrough came on the back of strong quarterly earnings, positive net income, and growing revenue.
INTRODUCTION:
LKNCY is a strong rival of Starbucks in China. It is rapidly adding new stores, reaching the nationwide number of nearly 8,000. In contrast, Starbucks has 6,000 stores in China despite its decades-long presence.
BREAKOUT & ADVANCE STAGE:
When a stock enters Advance Stage (called as Stage-2), its movement gets fast particularly when it is supported by strong earnings. LKNCY stayed in Accumulation Zone (Stage-1) rangebound for almost 2 years while the company did not post positive earnings for many years. But now, it has broken the resistance of accumulation stage, and entered advance stage on the back of impressive quarterly earnings.
EARNINGS GROWTH
Luckin's post-quarter revenue is up 18% while post-quarter earning has expanded a whopping 561%. Its earning trend and footprint growth in China shows it to be a truly growth stock. It has had negative margin for the past few years which kept its price growth lurking and slow. However, its revenue growth has never slowed down because of its rapid expansion and widening customer base.
FUTURE PROSPECTS
Although not enough data is available about the future growth of LKNCY, its current growth trend reveal good prospects for the future. Its technicals are sound and financials are rapidly improving.
Time for a breather? Expecting price to retest resistance turned support before continuing or break downwards.
Good luck with your trades!
LKNCYLKNCY closed above the 200 MA on the daily and the 50 MA on the weekly this week. It seems LKNCY is retracing to the local high which is also the 0.236 fib. The RSI seems a bit oversold but I think the target will be met.
Nothing I say is financial advice!
LKNCY Bearish TrendLKNCY Is in a bearish trend, despite being above the down trend line, a true bottom may be far away
In the short term although bullish action should come about as it repeats pattern in green
Price when trending along downtrends like this can continue for awhile is the main takeaway.
Luckin coffeeI think we are forming a bull flag and once we break resistance we are in a technical target to the area of 26 dollar. On the rsi we are also at a point where the rsi previously found support/resistance so if we could break that it would also be a good sign. This could offer a great long opportunity.
Nothing I say is financial advice.
LKNCY Repeating MA patternIt can be seen after the MA arrives and makes a small turn towards the upside, price immediately follows
This can be observed on the latest MA (yellow)
The price is within a Rising Wedge (a bearish pattern) but this observation of the MA's give me hope for a bull breakout, as can be seen with each MA in the past
Luckin Coffee Settles USD 175 Mn Class Action Lawsuit Over FraudLuckin denied wrongdoing in agreeing to settle while its U.S.-based lawyer did not immediately respond to media requests for comment on Tuesday.
After their founding in 2017, Luckin Coffee's hype and share price peaked around early 2020 as they broke out to rival global coffee icon Starbucks. Then Muddy Waters Research dropped a bombshell claim of falsified revenue on behalf of the company to inflate share prices. The internal probe found that its chief operating officer and other staff fabricated about USD 310 million of sales in 2019, or about 40% of annual sales projected by analysts. The SEC stated that Luckin raised more than USD 864 million from equity and debt investors while the fraud was taking place. The Securities and Exchange Commission consequentially delivered accounting fraud civil charges and fined Luckin USD 180 million last December.
Then came the fall from grace. Within two months their share price sank more than 80%. Shares are now trading around USD 15 as the stock is up an impressive 220% in the past year. Their unaudited financials for the first half of 2021 show that they achieved a 16% store-level profit margin and that net revenues increased over 106% resulting from higher net selling prices and an increase in items sold. They've still managed to achieve positive revenue growth amidst all of the settlement fees and negative publicity. Luckin Coffee also still manages to operate around 5,259 stores in China maintaining a firm presence. Things should be looking up for Luckin as the clouds clear while investors can capitalize on their refocus.
Luckin Coffee: Back on Track?The tech-powered coffee chain may soon be ready for another public listing.
The Chinese coffee pioneer went on to achieve positive revenue growth despite the expected surge in its settlement fees and continued operating losses. More financial data from Luckin will be worth paying attention to in the near future.
Unexpected revenue improvement
On September 21, 2021, Luckin Coffee (LKNCY:US) filed its annual report of 2020 with the US Securities and Exchange Commission (SEC), which took much longer than many market participants anticipated. Although the fraud in 2019 astonished the China tech world and the company was expected to experience a wide range of store closures and steep revenue decline, its 2020 results surprisingly improved.
In the consolidated financial statement, the previous inflated revenue of CNY 5.10 billion in 2019 was adjusted to CNY 3.02 billion. The net revenue in 2020 reached CNY 4.03 billion, a 33.3% growth rate year-on-year. Operation expenses rose by 6.2%, which was largely contributed by the CNY 475 million of losses related to fabricated transactions and restructuring, reaching a total of CNY 6.62 billion. The company continued to be loss-making, with a net loss of CNY 5.59 billion. Yet, the figure includes CNY 2.40 billion of provisions for settlements (for SEC & equity litigants). The non-GAAP net loss, which ignores the above-mentioned expenses, was CNY 1.97 billion, an improvement from a CNY 2.79 level in 2019.
Business expanded despite upheavals
Another surprise came from Luckin's growing store number under the cloud of fraud, COVID-19 lockdowns, delisting and management team upheavals. As of July 31, 2021, the firm had 4,030 self-operated stores and 1,293 partnership stores. The former store type almost stayed unchanged (from 3,929 in 2019) in terms of numbers while the latter increased by 47.9% from 2019. The report also shows that the coffee chain closed many under-performing stores, most of which were self-operated. This might be a hint for the brand's determination on cost-saving and a switch to a franchise model. With the closing of stores, Luckin was no longer larger than Starbucks, but the coffee brand is still the second-largest since no other coffee chain can surpass it yet, in terms of the number of stores.
Amid intensifying competition, self-operating store expansion failed to improve per-store revenue
Though it was actively scaling up its business in previous years, evidence shows this strategy did not lead to improvement in per-store revenue for Luckin. In 2020, this problem was still haunting the coffee brand, as its intensive growth factor for self-operated stores (revenue per store per day) significantly underperformed, going negative (-10.1%). Nonetheless, the company's structural adjustment to focus on franchising might be promising, as the intensive growth factor (+106.5%) for partnership stores approached the extensive growth factor (+146.6%), implying that the brand's attempts in opening more partnership stores was advancing side by side with improvement in unit economics.
Chinese consumers, especially those from first- and second-tier cities, have developed a habit of drinking coffee, providing a fertile ground for the enlargement of the fresh-brewed coffee market. Interestingly, brought up by the trend the success of Luckin created, novel domestic coffee brands such as Manner have started to emerge, and foreign coffee houses such as Tim Hortons that covet China's coffee 'blue sea' have entered as well. Soon, Luckin should expect an even more competitive industry landscape.
In addition, the company was relying heavily on its coupons to acquire customers and expand its business. In the short term, this strategy is cash-burning and requires a vast capital backup, and in the long term it may be unsustainable if their products are not favored by the target consumers, especially now that company is delisted, short of fingertip capital support.
Last notes
Yet, Luckin's omnipresence in China is still unchallenged by other native and international brands except for Starbucks. Business-wise, it seems the firm is also reacting to the sustainability problem by cutting down its coupon expenses. In 2020, its sales and marketing expenses took up only 13% of the total expenses compared to 20% in 2019 and 31% in 2018. With opportunities yet to be explored in this coffee blue sea, it would be interesting to track the future release from this troubled Chinese coffee leader that survived all the internal and external adversities.
For the full article with the charts, please visit the original link. [/ b]
Is it going to rebound?Luckin Coffee: Back on Track?
The tech-powered coffee chain may soon be ready for another public listing.
equalocean.com
%80 up %20 down%80 up %20 down
Short % of Shares Outstanding (Jun 14, 2020) 15.59%
Shares Short (prior month May 14, 2020) 37.73M
Entry point and heading to $21Entry point and heading to $21, we may see more than that before this year end.
Main target is $100.
Entry point and target Second entry point and target, we may see a very high price before this year end.
:)
$LKNCYFound support on 1y uptrend / double support from last resistance area. Let's see if it turns from here
Easy bulltrend with wild swingsLuckin Coffee has had some wild swings the past two weeks. However the current midlong trend is quite modest at the moment. Sell spikes and buy back when it hits the middle or lower part of the trend channel.
Luckin Coffee $LKNCY Long to $25Luckin fell from $51 to $1 on de-listing, but the fraud has been resolved supposedly, and is on the verge of being re-listed. It should see similar levels upon re-list.
PT: $25
$LKNCY possible mapIf we do bounce, i wanna see 1st take the preview high and then send it with haste to 12.6 thereabouts. Fib extensions only as a possible roadmap.
