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Source: ranjith ravindran, Shutterstock
Summary
- Scrips of Koss Corporation (NASDAQ:KOSS) surged 42 percent in morning trade.
- It was among the top volume leaders on Nasdaq.
- Company revenues grew by 18.4 percent to US$4.9 million in Q4.
Scrips of US-based audio equipment developer Koss Corporation (NASDAQ:KOSS) surged over 16 per cent to US$21.53 per share on Thursday amid a Reddit-fuelled rally. Koss was among the top volume leaders on the NASDAQ exchange, with some 38.33 million shares traded in the morning session.
KOSS’s 10-day and 30-day volume average have been 6.5 million and 6.4 million, respectively.
But growth inference can also be drawn from the stock’s rising value, which went up 95 per cent in the last five days and over 1000 per cent in the last six months. Most of the gains were accrued in late January and February.
The blue-chip tech companies had gained more than 40 percent value in 2020 as small investors dashed to add these stocks to their portfolio and earn quick money amid a falling economic output. These investors appear to shift their focus away from the expensive blue-chip stocks to companies that have future growth potential.
Pic Credit: Pixabay.
What Investors Are Looking At?
The company’s revenue grew by 18.4 percent to US$4.9 million in Q2 2020, compared to the corresponding period a year ago. The income per share for the quarter was US$0.07, in contrast to a loss of US$0.03 per share a year ago. The increased sales in the latter half of the year pushed its net income by 5.9 percent to US$10 million during the period.
Koss Corp designs, manufacture, and sells various audio technology products such as Bluetooth stereo headphones and other phone accessories, wireless audio speakers, and computer headsets, among others. It has a market cap of over US$221 billion.
The company is likely to gain from new investors’ bullish sentiments as they are raring to venture into sensitive sectors which otherwise.
Other stocks have benefited from the recent social media-led rally in the stock markets include GameStop Corp (NYSE:GME), Blackberry (NYSE:BB), AMC (NYSE:AMC), Nokia Oyj (NYSE:NOK), and Naked Brand (NYSE:NAKD).
