Jan. 14 at 10:34 PM
$CRGO i’ll be the guy that says, don’t panic! When you invest in companies in the pre-profitable stage of development the fluctuations down (and up) with interest rates and expectations of interest rate changes are maddening!
Over the last week, the reality that (U.S. dollar) inflation isn’t under control yet has set in. During the government shut down, data wasn’t being collected and processed on time.
Now we clearly know that the Federal Reserve isn’t going to lower interest rates, at least for the rest of Jerome Powell’s term.
When a company isn’t profitable yet, like CRGO, that means that its stock price is based upon expectations of cash flows far in the future, because the current ones are actually negative. Under these circumstances, anything that says interest rates stay high has a much greater effect on the stock price than it does on a larger company with current profits.
So hold your bag, everybody! This is a normal reaction to expectations for high interest rates!
