Shares of London-listed GSTechnologies Ltd (LON: GST) exploded 88.6% higher today, extending yesterday’s gains in an unexplained rally as buyers pushed the company’s stock price higher.
GSTechnologies is an integrated ICT solutions provider with a huge presence in Asian countries such as Thailand with its operating headquarters located in Singapore.
The company announced that it had raised £198,000 via a share placement on 19 January 2021.
WELCOME BONUS - Free Share Bundle When You Invest £50!
Get up to £500 cashback for investing with IG.
GSTechnologies’ EMS Wiring Systems won a $1 million contract to install an integrated security system on a Singapore data centre in December 2020 with the contract’s expected completion date being Q1 2021. The company’s shares rallied 40% at the time.
The company was also affected by the coronavirus pandemic which saw it seek government support in its home country of Singapore including salary subsidies as its earnings and profits took a hit.
Today’s rally leaves GST stock trading near its all-time highs, which means its stock price is quite extended.
Traders who have missed out on the 2-day rally may be best served to wait for a pullback before establishing new positions.*
*This is not investment advice.
GS Technologies share price.
GST Technologies shares rallied 88.6% higher to trade at 0.80p having risen from Monday’s closing price of 0.424p.