Talk about big gains. Little-known Graphene NanoChem (OTCMKTS:GRPEF) is absolutely skyrocketing Monday, up 39,900% in intraday trading. But what is the company? And what has its share price soaring? Here is what investors need to know about GRPEF stock.
To start, Graphene NanoChem is a basic materials company that calls Kuala Lumpur in Malaysia its home. Importantly, the tiny company focuses on commercializing graphene. It also works with performance chemicals, advanced nano-materials and oilfield chemicals.
But what about this has investors so excited? Here are 13 things you need to know now about GRPEF stock to understand its gigantic move:
- GRPEF is truly a teeny-tiny stock. It closed out Friday, Nov. 20 at a share price just a fraction of 1 cent. Now, after the rally, it is up to 4 cents.
- Importantly, the company focuses its business on two divisions.
- The first is the advanced chemicals division that deals with intermediate, functional and performance chemicals. These chemicals have many applications.
- The second division is the advanced materials division.
- This is likely the division behind the major surge in GRPEF stock.
- That is because the advanced materials division focuses on graphene.
- Although there is no real news today about Graphene NanoChem, investors are increasingly excited about graphene.
- Graphene is a so-called supermaterial.
- Essentially, it is a single layer of graphite. However, its atoms are arranged differently than graphite, in a hexagonal structure.
- This means that graphene is incredibly strong. Some estimates say it is 100 times stronger than steel.
- Because it is so thin, it is also incredibly flexible. This means graphene has an ideal combination of strength and flexibility.
- This means it could be used in flexible electronics, solar cells, semiconductors and water filtration.
- One report suggests that the global market for graphene has a compound annual growth rate of over 41% between 2019 and 2026.
Graphene and the Major Rally in GRPEF Stock
So without any new press releases, what should investors takeaway from Graphene NanoChem and GRPEF stock? Essentially, this high-flying name represents a lot of risks. However, investor interest in graphene is something to keep on your radar.
Importantly, even with the spike in GRPEF stock, it is trading with low volume. And even after rallying almost 40,000%, shares still are trading at just 4 cents. That makes this little-known company incredibly risky for investors.
But the excitement behind the company is worth keeping on your radar. As I wrote above, scientists are increasingly considering the applications of graphene. Even researchers from the Massachusetts Institute of Technology think it has big potential! And importantly, we know investors are continuing to look for disruptive technologies. This makes the appeal of GRPEF stock pretty obvious.
So what should you do now? Start by doing your research on graphene. Once you better understand the supermaterial and its applications, you can consider Graphene NanoChem and its peers.
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On the date of publication, Sarah Smith did not have (either directly or indirectly) any positions in the securities mentioned in this article.
Sarah Smith is a Web Content Producer for InvestorPlace.com.
