Starbucks to phase out iconic cups, AMC rises after buying major Hycroft stake, Incannex rallies

Yahoo Finance Live takes a look at several of the day's trending stock tickers, including Volvo's partnership with Starbucks to install EV charging stations.

Video transcript

BRAD SMITH: Time now for the Yahoo Finance triple play, everyone. Rachelle, Dave and I have three stocks to put on your radar, with just about 35 minutes left in the trading session. And we'll see how they're all moving on the news of the day for each. So I'll kick things off, and this certainly was some interesting news on the day. It's AMC, and they are acquiring about 22% of a gold mining and materials mining company, essentially.

And of course, Hycroft is this name, Hycroft Mine that's been put on the radar of so many who have been tracking shares of AMC on the day. There's some independent third party studies confirming that this 71,000-acre Hycroft Mine in northern Nevada has 15 million ounces of gold deposits and 600 million ounces of silver deposits.

What's more on this, the CEO Adam Aron says, to state the obvious one, would not normally think that a movie theater company's core competency includes gold or silver mining. However, he did point to AMC having success in demonstrated expertise, guiding a company with otherwise valuable assets through a time of severe liquidity challenges. Raising capital, strengthening balance sheets, he goes on further.

But I think we can all sum this one up as a bit of a head scratcher coming into it on the day, but perhaps we can add a little more context to this because let's also think about the companies that have either added digital gold or physical gold onto their balance sheets as their own attempted hedges as well. And so perhaps this is not so abnormal from AMC after all.

DAVE BRIGGS: It is, indeed, a bit of a head scratcher for me, in particular, because this company's had some choppy waters over the last couple of years, declaring bankruptcy back in 2015, $500 million in debt. They've had a lot of messes, laid off half their workers at a mine in Nevada this year. AMC just kind of doubling down in the past. Again, we heard them invest in movie theater popcorn outlets at shopping malls this year as well, shopping malls pretty much disappearing from the American landscape. So I guess if you look at their recent year, maybe it's not a head scratcher. Maybe it's consistent, Rachelle.

RACHELLE AKUFFO: I mean, you have to wonder, a lot of these meme stocks, I mean, we saw the sort of roller coaster they've been on. Maybe there is gold in those hills over there. And as you mentioned, Brad, with digital gold with Bitcoin, that's something that was considered that, but even that's changed now with what we've seen out of Russia and Ukraine.

Now I'm going to switch gears now and go to my stock pick, which is the ticker symbol, IXHL, which is Incannex Health Care. Now that's been rallying since Monday. It's an interesting story here. Now this is an Australian cannabinoid drug developer. Shares were up 400% in early trading today and even halted at one point. It's now trading at about $45.50. It's still up around 100% for the day, though.

Now the company's latest phase two trials on reducing obstructive sleep apnea showed lots of promise. Now this is the kind of sleep apnea that if you have it, it means you're more likely to get a more serious version of COVID, should you fall sick. So controlling it, obviously, very important to health outcomes. Now the stock has been volatile, though, since it started trading on the NASDAQ. And this only started trading on the NASDAQ just last month. So I think part of it might be fear of missing out, and part of it might be sort of this forward-looking view as to where the future of health tech might be going as we look beyond COVID as well.

DAVE BRIGGS: And my plate is Starbucks, forming a partnership with Volvo today. They will launch 60 EV charging stations out west, 15 different stores between Denver and Seattle every 100 miles, well within the distance of most EV vehicles. And you don't have to have a Volvo to charge it at a Starbucks. You do have to have a ChargePoint account. That is the partnership. But provided you have that account, you can drive up your Tesla, Chevy, Ford, whatever it may be.

But also Starbucks in the news today for ditching these babies, or at least, they'd like to. By 2025, Starbucks would like to phase out their ubiquitous signature single disposable cups. I can't imagine a day without them but they plan to roll out either bring your own mug, or they're going to rent one on a daily basis to you. You pay a deposit. When they tried this out, it was a $1 deposit. They'd give you a reusable mug. You would return it. They would wash it. You could get a new one each day.

I can't imagine them without these things. Today, guys, I went dirty chai, doubleshot, almond milk latte. Wow, that is a mouthful. That's how I roll. What do you guys have? And can you imagine the rental reusable mug there?

BRAD SMITH: Dave, first and foremost, it sounds like you're calling football plays when you walk up to the counter at Starbucks, so I got to address that. Secondly, I, in the before times, was a big-time avid user of the reusable cup. I would go into Starbucks or go into any type of place and see if I could just pass them mine. And now I've just become a hoarder of reusable tumblers and so forth. So I can't wait for this to come back, quite frankly.

And then on the Volvo side, that partnership, I think, recharging in the future are going to be huge. Let's not forget, rather, that Starbucks has been trying to trim some of that overhead. That square footage that they have to operate allows for more of that mobile or to-go or pick-up, mobile order online, and then pick up, and then maybe hang out in your car while you're charging for a little bit.

And perhaps we'll see some reorders or higher ticket prices as a result of that, too. So I think that's a good strategy for Starbucks. We'll see how it plays out for them. For Volvo, moving lower. Starbucks holding on to about 5% in gains on the day's activity. This was a successful triple play. We'll have to get Rachelle's order. I believe she's a white mocha order-- correct, Rachelle?

RACHELLE AKUFFO: That is correct.