UTME Stock Skyrockets 133%, Now Up Over 1000% Since IPO

UTME Stock Skyrockets 133%, Now Up Over 1000% Since IPO

Shares of UTME Stock spiked 133% on Wednesday, following a massive pump since its IPO. Congrats to all those that participated. But what does the company do and what is behind this 1000%+ move?

What is UTME?

Some of these Chinese companies are very difficult to figure out because there is so little information on them.

UTME is one of those. For whatever reason, it is insanely popular, considering how far and fast it has advanced in such a short period of time.

But what do they do?

This is the best we could find.

According to Robinhood:

UTime Ltd. engages in the design, development, production, sales and brand operation of mobile phones, accessories and related consumer electronics. The firm also provides Electronics Manufacturing Services, including Original Equipment Manufacturer and Original Design Manufacturer services, for well-known brands, such as TCL Communication Technology Holdings, Ltd., a subsidiary of TCL Corp., Haier Electronics Group Co., Ltd., a subsidiary of Haier Group Corp., and Quality One Wireless LLC, based in Orlando, Florida.

The company operations are based in China whereas most of the products are sold globally, including India, Brazil, the United States, and other emerging markets in South Asia and Africa as well as Europe. It operates through two in-house brands, “UTime,” which is known as middle-to-high end label and targets middle class consumers from emerging markets; and “Do”, as low-to mid-end brand, is positioned to the majority of grassroots consumers and price-sensitive consumers in emerging markets.

The company was founded by Minfei Bao, Junlin Zhou and Bo Tang in June 2008 and is headquartered in Shenzhen, China. The listed name for UTME is UTime Limited Ordinary Shares. 

What is the Big Deal with UTME Stock?

Are you bullish on UTME? Well, so are a lot of people. The stock is up over 1000% since IPO earlier this week. In fact, it is one of the top performers of all time…

Pretty good for a company that has very little to no information posted about it online.

So what was the big news today? New technology? Patent?

Well, we could not find much on the actual move, but here is the latest analysis.

According to Yahoo Finance:

Shares of UTime Ltd. soared 133.3% in very volatile afternoon trading Wednesday, enough to pace all gainers on major U.S. exchanges, in the China-based mobile phone maker’s second day of trading on the Nasdaq. On Tuesday, the stock closed at $39, or 875% above its $4 initial public offering price, which was at the low end of the expected range of between $4 and $5 a share. The company sold 3.75 million shares in the IPO to raise $15 million.

With the stock now trading nearly 23 times the IPO price, the company’s current market value was $752.4 million, up from $33.1 million at the IPO price. The stock has been halted nine times for volatility so far on Wednesday, after being halted 14 times for volatility on Tuesday

The company recorded a net loss of RMB21.7 million ($3.1 million) on revenue of RMB193.1 million ($27.3 million) in 2020, after a loss of RMB11.9 million on revenue of RMB238.1 million in 2019. The company went public at a time that the Renaissance IPO ETF has lost 4.7% over the past three months, while the iShares MSCI China ETF has slipped 1.4% and the S&P 500 has gained 7.3%.

Parabolically’s Take

It is generally a good idea not to involve yourself and your money in things you do not understand. And that is definitely the case here.

We cannot find a good reason for this magnitude of a move and believe it is probably wiser to stay away from this. Especially considering how far and fast it has moved.

This is just a general update, so please check back for more info when we find news on UTME stock.

And if you have any insights on this stock, please comment below!

Support and Stay Up To Date With Parabolically

What’s going parabolic next? Subscribe to Parabolically for the latest analysis on crypto and stock predictions!

Have you started trading stocks and crypto yet? Use this link to get free stocks and trade on Robinhood (and crypto if you are in a permitted state) or WeBull.

Follow our Trading Card eBay store for the latest Pokemon, Yugioh, Dragon Ball Z (and more) rare trading cards!

Like this content? Donate Dogecoin and Bitcoin Cash to support us!

Dogecoin Wallet: DNxsABknQCQA32TWmPStha1tVj4nfsVfwN

BCH Wallet: qzwl082g83r9crkuff8z4j40rt7jsllnws6s5fyeph

Total
6
Shares
Leave a Reply

Your email address will not be published. Required fields are marked *

Related Posts