Weekly Investment News and Analysis

Last week, Dow Jones rose 3.4%, S&P 500 was up 5.3%, Nasdaq composite gained 7.15%. eToro’s stock surged 34% following its Nasdaq IPO, marking renewed investor enthusiasm after recent market volatility. Banking app Chime revealed accelerated revenue growth of 32% in Q1, bolstering prospects for its imminent IPO. Perplexity is discussing raising US$500 million at a US$14 billion valuation, reflecting growing investor confidence in its AI-driven search capabilities. Nvidia and AMD announced significant AI chip deals with Saudi Arabia, capitalizing on relaxed U.S. export restrictions. Coinbase will join the S&P 500 index even as the company reported a customer data breach potentially costing up to US$400 million. CoreWeave’s stock dropped 7% after cautious revenue guidance, despite explosive growth, underscoring investor sensitivity to volatility in AI infrastructure spending. Google ‘super intensely’ debated buying Netflix, according to Google’s CEO. CrowdStrike’s CEO gave away 92% of his voting power. OpenAI said Friday it released an artificial intelligence coding “agent” that can automate software engineering tasks such as fixing bugs and answering questions about a codebase. Google is also working on AI agents, and other features. In Canada, Robinhood agreed to buy WonderFi for $250 million. Shopify shares jumped 18% after announcing its inclusion in the Nasdaq 100 Index. Cohere missed its revenue targets by 85%, highlighting slower-than-expected enterprise AI adoption. Canadian VC activity slowed sharply, with Q1 seed-stage deals hitting a pandemic-era low and exits virtually halted amid trade uncertainty. In news pertaining to Sophic Capital clients, Intermap reported robust Q1 results, growing revenue to $4.3 million from $1.7 million last year, driven by acquisitions and large government mapping contracts. The company reaffirmed 2025 guidance, targeting revenues of $30-35 million with a 28% EBITDA margin. Boardwalktech formed new strategic partnerships and strengthened its advisory board. Cybeats enhanced its SBOM Studio cybersecurity platform with AI-driven features, earning recognition from Canadian government-backed initiatives. American Aires expanded its NASCAR sponsorship.

Last week, Dow Jones fell 0.2%, S&P 500 lost 0.5%, Nasdaq composite was down 0.3%. eToro is targeting a US$4 billion valuation in its U.S. IPO, aiming to raise up to US$500 million amid improving market conditions. CoreWeave, which faced investor concerns over its heavy debt during its recent IPO, and reduced its IPO target from US$2.7 billion to US$1.5 billion is now exploring additional debt financing. OpenAI abandoned plans to fully separate its for-profit subsidiary from its nonprofit parent after legal challenges, opting instead to restructure into a public benefit corporation. DoorDash expanded internationally through a US$3.8 billion acquisition of Deliveroo and a US$1.2 billion purchase of hospitality software firm SevenRooms. Palantir raised its full-year guidance following strong Q1 results, driven by surging demand for AI analytics software. AMD reported robust 36% quarterly revenue growth fueled by its data-center business, despite ongoing competition from Nvidia. Super Micro issued weak guidance, citing ‘economic uncertainty and tariff impacts’. Rivian cut its 2025 delivery forecast amid tariff-driven disruptions. Disney reported ad revenue gains driven by live sports. Apple announced plans to integrate AI-powered search into Safari, threatening Google’s dominance, while also hinting AI could eventually replace the iPhone within a decade. Apple is also reportedly planning to introduce Meta Ray-Ban style smart glasses around 2027. Uber expanded its robotaxi partnerships. Robinhood plans to launch a blockchain-based platform enabling European investors to trade U.S. securities, underscoring fintech’s growing global reach. In Canada, Shopify reported strong Q1 earnings, posting revenue of US$2.36 billion, a 27% increase y/y despite ongoing trade tensions. Sophic Capital Client, Kraken Robotics subsidiary 3D At Depth completed its 1,000th subsea metrology project, showcasing advanced LiDAR technology and operational efficiency.

Last week, Dow Jones rose 3%, S&P 500 gained 2.9%, Nasdaq composite was up 3.4%. Tesla’s Chair denied reports of a plan to look for new CEO. Jeff Bezos plans to sell up to US$4.75 billion worth of Amazon shares over the next 12 months. Amazon successfully launched its first Project Kuiper satellites. Waymo and Toyota are exploring a partnership to develop an autonomous vehicle platform for personally owned vehicles. Meta Platforms on Tuesday released a standalone smartphone app for its Meta AI assistant. Apple has officially approved the first app with links to external payment options in the United States with Spotify. Apple also further shifted its supply chain away from China, significantly increasing reliance on U.S.-manufactured chips and expanding iPhone production in India. OpenAI is incorporating more shopping features into ChatGPT search results. Visa launched AI agent payments tools. Temu has discontinued its direct-from-China shipping model. In news pertaining to Sophic clients, Kraken Robotics grew 2024 revenue 31% y/y to $91.3 million, driven by subsea battery sales, with net income rising sharply to $20.1 million from $5.5 million. Kraken also announced new orders totaling nearly $60 million and the opening of a Nova Scotia production facility in 2025. Ionik reported a 28% increase in annual revenue to US$179.1 million. American Aires achieved a quarterly sales record of $8.6 million in Q4 (130% increase y/y YoY). Aires reaffirmed 2025 guidance projecting revenues of $28–$32 million and EBITDA of $2 million loss to a $2 million gain. Plurilock reported annual revenue at $59.1 million, driven by software and services, improving gross margin to 13.1% from 8.5%. Legend Power Systems secured a significant repeat order for eight additional SmartGATE systems, highlighting strong customer ROI and operational benefits. Cybeats expanded its cybersecurity contracts with Emerson Electric and renewed a key deal with a major U.S. security agency, emphasizing increasing demand for software supply chain security.

Last week, Dow Jones rose 2.5%, S&P 500 gained 4.6%, and Nasdaq composite was up 6.7%. Megacaps, like Meta, Microsoft, Apple and Amazon still are below recent highs and their upcoming earnings reports this week will provide insight into numerous demand drivers, including cloud computing spend, AI capex, e-commerce, advertising, consumer tech demand — and of course tariff impacts. Neuralink is seeking US$500 million at an US$8.5 billion valuation, intensifying competition in brain-computer interfaces. Alphabet reported steady Q1 revenue growth of 12%, despite slowing search revenue amid rising AI competition from OpenAI’s ChatGPT. ServiceNow exceeded revenue forecasts, driven by software subscriptions and internal AI efficiencies, boosting its stock after-hours. Tesla faced a challenging quarter, with profits plunging 66% due to reduced automotive sales and controversial CEO Musk’s political affiliations. Apple plans to shift all U.S.-sold iPhone production to India by 2026, reducing reliance on China amid escalating tariffs. Intel will reportedly cut over 20% of staff amid ongoing restructuring. Boeing has agreed to sell parts of its digital aviation unit to private equity group Thoma Bravo for US$10.55 billion. Amazon’s competitor to SpaceX’s Starlink, known as Project Kuiper, is struggling to scale up production of its satellites to hit a key U.S. government deadline. In regulatory news, Google abandoned its cookie-removal plan, while the EU fined Apple and Meta Platforms under new digital competition laws. FTC sued Uber over alleged deceptive billing practices related to its Uber One subscription. Temu and Shein increased U.S. prices ahead of tariff changes, reflecting ongoing trade uncertainties.In Canada, investment bankers applauded new securities rules aimed at reinvigorating the IPO market. In Sophic Capital client news, Cybeats announced its participation at the upcoming RSAC™ 2025 Conference, highlighting its SBOM Studio cybersecurity platform. Cybeats also expanded its SBOM Consumer product, entering new sectors such as healthcare, finance, energy, telecom, and defense, and launching pilots with a U.S. defense agency and Orange S.A.

Last week, Dow Jones fell 2.7%, S&P 500 lost 1.5%, Nasdaq declined 2.6%. U.S. startup funding surged 116% Y/Y to US$91.5 billion in Q1 2025, dominated by AI startups including OpenAI, Anthropic, and Grok. Figma confidentially filed for an IPO after its failed acquisition by Adobe, boasting an annual recurring revenue of US$900 million. Autonomous trucking firm Kodiak Robotics announced a SPAC merger, valued at US$2.5 billion, backed by investors ARK and Soros Fund Management. Nvidia anticipates a US$5.5 billion charge due to new U.S. restrictions on AI chip sales to China, creating uncertainty despite earlier tariff exemptions. ASML missed quarterly order expectations amid similar tariff uncertainty, although demand for AI-driven chipmaking remains robust. TSMC reported strong Q1 revenues and profits, seeing no immediate impact from U.S. tariffs but cautioned future clarity. Tesla’s California EV market share dipped below 50%, impacted by political controversies surrounding CEO Elon Musk. Palantir secured a significant AI software contract with NATO for military intelligence processing. California considered legislation lifting its nuclear power moratorium to support energy-intensive AI data centers. Google faces potential dismantling of its ad-tech monopoly following an antitrust ruling. Meta Platforms’ share of the amount of time people spend on social media apps has “declined…potentially meaningfully,” Meta Platforms CEO Mark Zuckerberg testified on Wednesday afternoon. In Canada, in news pertaining to Sophic Capital clients, Kraken Robotics was highlighted as a hot pick in Canadian small caps by a portfolio manager. Plurilock provided a corporate update, emphasizing a strategic shift towards high-margin software solutions and expanding commercial markets for cybersecurity.

In a volatile week, stocks rebounded from 2025 lows. 2025 volatility has not yet resulted in as many +/- 3% days as we saw in March 2020 (~15 days that month). Aided by Wednesday’s historic gains, Dow Jones was up 4.95% last week, S&P 500 gained 5.7%, while NASDAQ rose 7.3%. Notable tech gains included Apple, Nvidia, and Tesla. However, due to increased tariffs, Micron Technology raised prices on certain memory products, while Apple rapidly shipped 600 tons of iPhones from India to avoid immediate tariff impacts. Fearing a potential price increase, many customers reportedly flocked to Apple Stores to buy new iPhones and other products before they get more expensive. The president of the European Commission said Europe could tax digital ad revenues of Meta Platforms and Google in retaliation for US tariffs. MicroStrategy, said it will report an unrealized loss of US$5.91 billion from its bitcoin holdings, as a cryptocurrency selloff wiped out most of its recent gains. Broadcom is launching a new share buyback program of up to US$10 billion. The U.S. Secretary of Defense directed the Department of Defense to cancel US$5.1 billion in contracts with consulting firms including Deloitte, Accenture and Booz Allen Hamilton as part of efforts to slash government spending. Amazon CEO Andy Jassy forecasted AI costs would decline despite the company’s aggressive investments, earmarking up to US$100 billion for AI-related projects. Google Cloud introduced new AI tools and unveiled the Ironwood chip designed for complex reasoning tasks. In Canada, Sophic Client, Kraken Robotics secured $11 million in new orders for its underwater batteries, pushing its year-to-date battery orders to $45 million. Kraken also announced a new synthetic aperture sonar service for offshore energy markets launching July 2025.

Last week, Dow Jones fell 7.5%, S&P 500 lost 9.1%, Nasdaq Composite was down 10%, both near 11-month lows. Nasdaq is more than 20% below recent highs, and officially entered a bear markets. Major technology stocks including Meta, Amazon, Nvidia, and Apple fell sharply due to newly announced tariffs by President Trump. Several high-profile IPOs, including Klarna, StubHub, and eToro, have been stalled due to the escalating trade tensions and recent market volatility. Circle, however, filed publicly for an IPO a few days before the market’s latest leg down. Tesla reported its worst quarter since 2022 as deliveries fell well below expectations. Microsoft has pulled back on data center projects around the world. Apple is developing a revamp of its Health app to incorporate an AI -powered agent product to designed to replicate a doctor. Amazon’s new AI agent will shop third-party sites for you. Meta plans to introduce its first smart glasses with a screen by the end of this year, code-named Hypernova, with a price tag of over US$1,000 and features like hand-gesture controls and a screen for displaying photos and apps. In Canada, MDA Space announced it will acquire SatixFy Communications in an all-cash deal valued at ~US$193 million. Tiny acquired a controlling 66% stake in DJ software provider Serato for US$66 million. In news relating to Sophic Clients, Plurilock secured US$5.9 million in new federal and public sector contracts in the U.S. and Canada. ADM Endeavors reported fiscal 2024 revenues rose 11% to US$5.76 million, driven by growth in government sector sales and promotional products. Net income increased 136% y/y to US$324,311. Xcyte Digital’s subsidiary, Streamlined Communications, experienced rapid client growth as legacy conferencing providers phase out services.

After a promising start last week, Dow Jones ended the week down ~1%, S&P 500 fell 1.5%, and Nasdaq composite lost 2.6%. CoreWeave raised US$1.5 billion in its IPO Thursday, a smaller amount than it had expected. OpenAI expects its revenue will triple to US$12.7 billion this year. X and xAI will be merged, in a combination that values xAI at US$80 billion and X at US$33 billion. EToro Group filed for an IPO, showing revenue tripled last year. The IPO of Cerebras Systems, which designs semiconductors for AI, has stalled. BYD’s sales surged 29% last year, topping US$100 billion. Tesla is aiming to produce first “legion” of Optimus robots this 2025. AppLovin shares tumbled as much as 13% Thursday after Muddy Waters issued a short report. Google says tech is ‘5 years out from a real breakout’. Some European companies and government agencies are thinking about dumping cloud services from Amazon, Microsoft, and Google in favor of European providers. Apple will reportedly spend US$1 billion on NVIDIA servers for AI. Robinhood will roll out checking and savings accounts later this year to its paying “Gold” subscribers. In Canadian news pertaining to Sophic Capital clients, Intermap reported strong 2024 results, with revenue rising significantly to US$17.6 million from US$6.2 million in 2023, the Company guided for continued robust growth in 2025, forecasting revenues between US$30–35 million and ~28% adjusted EBITDA margins. Plurilock entered into a strategic partnership with cybersecurity giant Forcepoint. American Aires expanded its market awareness through a featured segment on the reality TV show “Military Makeover with Montel®,”. Boardwalktech partnered with Trillium Digital Services to strengthen its supply chain solutions. In other Canadian news, Descartes Systems made a US$164.4 million acquisition. EMERGE is acquiring golf apparel company Tee 2 Green in a US$2.2 million deal expected to push EMERGE to positive cash flow.

Last week, Dow Jones rose 1.2%, S&P 500 gained 0.5%, Nasdaq moved up 0.2% — a welcome sign after successive weeks of declines. CoreWeave is seeking an IPO valuation of US$27– US$32 billion, even as some investors question the company’s heavy debt load and capital intensive business model. Ticket reseller StubHub filed for an IPO. StubHub rival Vivid Seats has seen its stock price fall by more than 45% over the past year, and reportedly is seeking a buyer. Perplexity is in talks to raise US$500 million to US$1 billion at a US$18 billion post money valuation. Google will acquire the cybersecurity startup Wiz for US$32 billion. SoftBank is acquiring Ampere Computing, a chip design startup, for US$6.5 billion in cash. Accenture stock fell 7.3% after the firm said efforts to tighten U.S. federal spending are starting to weigh on its revenues. Nvidia unveiled a slew of new software for robotics, including a simulator it made with Disney and Google’s help. Boston Dynamics demonstrated another major leap in humanoid mobility. Robinhood is getting into prediction-betting markets just in time for March Madness. BYD unveiled its new super-charging EV tech, to build a charging network in China. In Canada, Shopify will transfer its US stock listing to Nasdaq, from NYSE. SolarBank announced an equity financing of up to US$19 million. Tribe Property Technologies announce a Non-Brokered Private Placement of ~$800K led by its senior leadership team. In news pertaining to Sophic clients, Boardwalktech announced the closing of an initial tranche of its Non-Brokered Private Placement for aggregate gross proceeds of approximately $1.1 million. Intermap’s global insurance business is off to a strong start in 2025 with awards surpassing $1.1 million. Legend Power’s voltage adherence risk measurement led to an accelerated purchase order. Cybeats provided a market update for critical infrastructure & energy sectors. Streamlined Communications, an Xcyte Digital company, joined London Stock Exchange’s marketplace. Plurilock received multiple industry awards recognizing its leadership in cybersecurity innovation and service excellence.

Last week Dow Jones lost 3.1%, S&P 500 fell 2.3%, and Nasdaq was down 2.4% — all three major indices hit six-month lows during the week. Autonomous trucking startup Kodiak Robotics, is in talks to merge with Ares Acquisition Corp. II in a SPAC deal that would result in a post-merger valuation of US$2 billion. Klarna eked out a slim US$21 million profit last year after a series of annual losses following an international expansion into the U.S. according to the Company’s pre-IPO filing. Hinge Health has officially filed to go public. Anthropic reached $1.4 billion in annualized revenue as of this month. Binance, the world’s biggest crypto exchange, announced it has received a US$2 billion investment from MGX. Mortgage firm Rocket agreed to buy Redfin at a valuation of US$2.4 billion, a 50% premium. Google announced two new AI models to power robots, built on top of its most recent main Gemini model. Meta is reportedly testing in-house chips for AI training. In Canada, in news pertaining to Sophic Capital clients, Kraken Robotics expanded its U.S. footprint with the acquisition of 3D at Depth. Kraken will indirectly acquire 3D at Depth for US$17 million in cash subject to adjustment for, among other things, any debt indirectly assumed or paid out on closing and to customary working capital adjustments. 3D at Depth has grown revenue at a 20% CAGR over the last three years and reported 2024 unaudited US GAAP revenues of US$14 million, gross profit of US$8.4 million (60%), and US$1.1 million of Operating Income. Plurilock secured a $1.4 million contract with the Canadian Federal Government. The Company also provided an update on the status of exercised Warrants. Over 22 million of $0.25 warrants have been exercised, raising more than $6 million. The remaining $0.25 warrants could bring over $2 million in additional funds. In other Canadian news, Toronto based Cohere is partnering with LG to offer AI products for South Korea. Toronto-based construction technology startup Augmenta has secured an additional US$10 million in seed funding to refine and expand its building design software.

Last week, Dow Jones fell 2.4%, S&P 500 was down 3.1%, and Nasdaq composite lost 3.45%, major indices continue to chop around in a headline-driven market. Genesys, a private equity-backed customer service software company, delayed what would have been one of the largest 2025 IPO, citing a sliding stock market. Gemini, the crypto exchange founded by billionaire twins Cameron and Tyler Winklevoss, has filed confidentially for an IPO. Discord, the social messaging app, is in early talks with bankers about an IPO. Humanoid robotics firm ‘Figure’ is planning to raise US$1 billion to US$2 billion in equity financing at a US$38.5 billion pre-money valuation. That’s a staggering 15 times its valuation from a year ago. Anthropic, announced Monday that it has raised US$3.5 billion in its Series E funding round, hitting a US$61.5 billion valuation including the new money. CrowdStrike shares dropped nearly 9% in extended trading on Tuesday after the cybersecurity software provider issued disappointing earnings guidance. Broadcom’s latest quarterly results, boosted shares more than 11% in after-hours trading. Trump signed an executive order to build a Bitcoin reserve — crypto prices dropped following the announcement, because the stockpile will only involve the government maintaining existing crypto holdings. OpenAI reportedly plans to charge up to US$20,000 a month for specialized AI ‘agents’. Taiwan Semiconductor Manufacturing Company plans to invest US$100 billion in new chip manufacturing facilities in the U.S. In Canada, Spectra7 Microsystems will be acquired by Parade Technologies. Shareholders could receive a special cash distribution of ~$0.028/sh. In news pertaining to Sophic Capital clients, Beacon Securities launched research coverage of Intermap) with $4.00/share price target. Legend Power debuted its voltage adherence risk metric to identify and combat “dirty power” in buildings.

Last week, Dow Jones rose 0.95%, S&P 500 lost 1%, and Nasdaq composite fell 3.5%, despite Friday’s bounce. Both Nasdaq and S&P 500 have almost given up their post US election gains. General Catalyst, the powerhouse venture capital firm, is reportedly considering an IPO. Shein’s profits dropped by more than a third last year, adding to the Company’s challenges ahead of a long-planned London IPO. Stripe struck a deal with investors to finance a tender offer for current and former employees to sell shares at a US$91.5 billion valuation. Stripe’s valuation had fallen to US$50 billion in March 2023. Anthropic is finalizing a US$3.5 billion fundraising round that values the company at US$61.5 billion. Nvidia projected 65% revenue growth in its April quarter on strong chip orders. Apollo Global is in talks to lead a US$35 billion debt financing by Meta to build data centers in the U.S. Meta is also planning to launch a standalone AI app. Microsoft said its plan to spend US$80 billion on data centers “remains on track”. Alibaba will spend US$53 billion on cloud and AI over next three years. Apple plans US$500 billion in US investment, 20,000 research jobs in next four years. Figure will reportedly start ‘alpha testing’ its humanoid robot in the home in 2025, earlier than expected. In Canada, Cohere’s annualized revenue hit US$70 million, up more than 3x since last March. In news, pertaining to Sophic clients, Boardwalk announced a Non-Brokered Life Offering, for up to $1.5 million. The Company also recently reported Third Quarter Fiscal 2025 financial results. The Company’s pipeline continues to scale with several engagements in the latter stages; and cost savings initiatives are tracking ahead of guidance. Kraken received $34 million of SeaPower battery orders. Plurilock launched new offerings to strengthen cyber resilience. American Aires teamed up with former UFC fighter Tim Kennedy’s Apogee Schools to create first US-based EMF-friendly schools.