GSMG - Micro Cap Up Over +100% in Early Trading

2023-04-18 09:54:04 ET

A Beijing-based media company is getting some serious attention during Tuesday’s premarket action after the company announced the signing of a $60 million strategic investment with two institutional investors at $2.48 per share, according to this morning’s release.

Seeing that shares of %GloryStarNewMediaGroup (Nasdaq: ) closed Monday at just $0.48/share, it’s not exactly a surprise that traders saw this strategic investment level as a bullish sign. Traders are currently willing to buy shares of this micro cap at $1.11/share (+131.25% implied open for sellers) at the time of writing.

Glory Star New Media Group Holdings Ltd is a provider of advertisement and %ContentProduction services and operates a mobile and online advertising, digital media, and entertainment business in China. Through its CHEERS App, the company allows its users to access its online store (e-Mall), video content, live streaming, and online games. The company mainly offers and generates revenue from the copyright licensing of self-produced content, advertising, and customized content production and others. It has two operating segments, namely Cheers APP Internet Business and Traditional Media Businesses. The majority of the company's revenue is earned through Cheers App Internet Business segment.