Author: Doug Kass

Upside:

-INFQ +22% (signs $100M quantum computing LoI with US Commerce Department under CHIPS Act)

-GFS +15% (signs $375M quantum computing LoI with US Commerce Department under CHIPS Act)

-QBTS +15% (signs $100M quantum computing LoI with US Commerce Department under CHIPS Act)

-RL +9.6% (earnings, guidance)

-APLD +9.5% (leases 300 MW AI Factory campus)

-ELF +8.4% (earnings, guidance)

-AAP +7.9% (earnings, guidance)

-CRML +7.6% (executes definitive 15-year offtake agreement with REalloys Inc. for rare earth element concentrate from Critical Metals’ Tanbreez Project in Southern Greenland)

-IBM +6.2% (IBM and Commerce Dept confirm first Purpose-Built Quantum Foundry, supported by proposed $1B CHIPS Award)

-NIO +5.7% (earnings, guidance)

-RLAY +5.6% (prices 22.9M shares at $12.00/shr for gross proceeds ~$275M)

-USAR +3.6% (selected for DOE $19.3M funding for rare earth separations pilot)

Downside:

-DAVA -23% (earnings, guidance)

-INTU -15% (earnings, guidance; cutting workforce)

-RKLB -6.4% (files up to $3B common stock offering)

-STLA -5.8% (Investor Day commentary)

-KR -4.0% (reportedly new CEO plans steep price cuts to win back customers)

-AMST -3.5% (profit taking)

-NTES -3.3% (earnings, color)

-DE -3.1% (earnings, guidance)

-KD -2.8% (Susquehanna Cuts KD to Net Neutral from Net Positive, price target: $13)

-WMT -2.2% (earnings, guidance)

Positions: None.

Positions: None.

Positions: None.

Treasury Auctions

11:00 a.m.: Treasury announces a 3 and 6 month bill auction and a 13-Week Auction; 

11:30 a.m.: Treasury hosts a $100B 4 and $95B 8 Week Bill Auction; 

1:00 p.m.: Treasury hosts a $19B 10-Year TIPS Auction

Fed Speakers

11:20 a.m.: Federal Reserve Bank of Chicago President Austan Goolsbee (Non-Voter) Radio Appearance — WBEZ; 

12:20 p.m.: Fed Bank of Richmond President Barkin (Non-Voter) speaks before the Urban Land Institute Triangle Capital Markets Lunch Event, Raleigh, NC (Audience and media Q&As expected)

Economic Calendar

Positions: None.

Camping World $CWH expected to file Chapter 11 bankruptcy with $3.5 billion of unpayable debt.

West Marine (one of largest boat suppliers in US) just filed Chapter 11 bankruptcy today holding over $1 billion in debt.

RV and Boat Bankruptcies. The signs are clear. pic.twitter.com/hBUvxQ5sWJ

— Roger (@rdd147) May 21, 2026

Position: None

SpaceX IPO valuation implies a 93x revenue multiple and you don’t even have a P/E ratio because the company has negative earnings https://t.co/diZ4BcO5m0 pic.twitter.com/sw8SHmdBad

— Boring_Business (@BoringBiz_) May 20, 2026

Position: None

I have followed my best pal JTG invest over the last two decades and I wanted to point out his instincts at inflection points — particularly on the long side — are remarkably good. (TLR ain’t bad either!)

Which brings me to cannabis (which I too have been adding to):

Johnthegreek

Well, I did the unthinkable. Just bought a sizable amount of MSOS. I feel it’s time. 

pops4

Back the heavy hauler up! 🙂

TLR

Im in very large – im hearing things are moving

Johnthegreek

Me too. 

TLR

An investment not a trade but now is the time

Dougie Kass

OMG

TLR

Schedule III Rescheduling Hearing Set for June 29

the DOJ and DEA announced an expedited administrative hearing beginning June 29, 2026 to consider the broader rescheduling of marijuana from Schedule I to Schedule III, with the intent to conclude no later than July 15. This is a hard deadline . U.S. Department of Justice

Moving to Schedule III allows medical cannabis operators to deduct ordinary and necessary business expenses — rent, payroll, marketing, and operating expenses — starting in tax year 2026. The order also directs the IRS to consider retroactive 280E relief for prior years. That’s a direct hit to the bottom line in a very good way

Johnthegreek

I’m not sure how I’ll handle this. Investment, trade, but I’m in pretty good and I’m committed to staying patient. 

have a great night Tony. 

TLR

You too pal!

Position: Long MSOS (M); Short MSOS calls (VS)

Bluto:“Wormer, he’s a dead man! Marmalard, dead! Niedermeyer…”
Otter:

“Dead!”

–Bluto’s Big Speech – Animal House (9/10) Movie CLIP (1978) HD

I should have stayed short ($WMT).

Walmart drops the big one and lowers next quarter guidance …

Positions: None.

* Cash positions near the lowest in decades…

When the “talking heads” in the business media say market participants are negative, show them this chart:

Position: None

After todays earnings, $NVDA has a PE of 41. That is essentially pricing $NVDA at $12 trillion based on historical semiconductor PE of 20.

Why does that matter? Today $NVDA announced an $80 billion stock buyback that people were saying “drop the 🎤 on”. In reality that buy back…

— Roger (@rdd147) May 21, 2026

Position: None