- Guardforce AI (GFAI) stock surged 32.25% despite a lack of news.
- Investors have finally caught on to the many deals signed by the firm.
- GFAI shares have been falling, but they may have just bottomed.
The Guardforce AI Co Ltd (NASDAQ: GFAI) stock price surged 29.9% despite the company’s lack of significant announcements. It appears that investors are finally catching up to what has been happing with the firm recently.
Guardforce was on a spree in June, where it started the month by signing a letter of intent to purchase twelve other companies for $18 million. In addition, the company signed the LOI with Shenzhen Kewei Robot Technology to acquire an extra twelve robotics companies.
Also read: The Best Tech Stocks To Buy Right Now.
The announcement came after an initial definitive agreement to acquire seven robotics companies in China. However, GFAI shares kept falling despite the positive announcements as investors ignored the news.
Towards the end of the month, Guardforce AI announced that it had opened new offices in San Francisco, California and Tokyo, Japan, expanding its Robotics as a Service (RaaS) business in the two new areas.
Guardforce AI offers T-series robots for food delivery, reception services, and the disinfection of restaurants, hotels and shopping malls. At the time, GFAI’s CEO, Terence Yap, noted that the two markets offer significant opportunities for its RaaS business due to the high labour costs in San Francisco and Japan’s ageing population leading to a shortage of workers.
Two days later, Guadforce AI closed a deal to acquire Beijing Wanjia Security System from Shenzhen Yeantec for about $8.4 million. The company has been operational for 25 years and has a robust client roster of retail businesses that use its integrated alarm security solutions.
On 30 June 2022, Guardforce unveiled a collaboration agreement with Hong Kong Industrial Artificial Intelligence and Robotics Centre to develop Robotics-as-a-Service solutions and artificial intelligence cloud platforms globally. However, despite all the above activities and milestones, GFAI stock fell 44.75 in the past month.
However, many hope today’s rally will lead to a sustained recovery, given that over 4.54 million shares had changed hands at writing. There seems to be renewed investor interest in the stock.
So, should you buy GFAI stock? The answer depends on your investment goals, but GFAI could be a decent long-term investment.
*This is not investment advice. Always do your due diligence before making investment decisions.
Guardforce AI stock price.
The Guardforce AI stock price rallied 32.25% premarket to trade at $0.37, rising from Thursday’s closing price of $0.2781.